All GLG News Analyses Filed Under: Retail

The key word here is "Troubled Retailers". Retail, especially sharp retail is more likely to reap rewards, unless of course, the market swings wean business away from one sector to another. The premise in retail is also the ability to earn across the range sold. A narrow range of products allow more...

Slowing economy put new store sites on ice across region. The fact that this is announced during what has been the historical most optimistic month for retailers makes this retrenchment even more ominous. Retailers are a cautious lot. The good ones have a reputation for careful scrutiny...

Zale Inc's recent poor performance and increased debt is more than management. Zale has not adjusted to the weakening economy or the present consumer retail environment. Recent poor share performance is traced to the recent retrenchment in the share performance of...

Contrary to current retail wisdom, heavy discounting isn't a panacea for success; at least profitable success.  Troubled retailers in the midst of some kind of turn around may actually decrease the likelihood of success by following the crowd. 

Retailers are taking deeper discounts to bring in customers and at the same time they are extending the hours of operations to make it easier for the customer to shop.  Hail Mary passes are a last ditch effort to win, but they most often fail.

What happened to the good old days, when the right gift at the right price was important.  The notion that couponing. and additional discounts will attract more customers to buy more has historically failed, and ultimately the retailer is left with undesirable goods and hence,...

Having lost most of its retail jewelry talent over the last 18 months, Zales's new Chairman hires a non-jewelry Chief Executive to turn the company around.  Whether he's got the 'right stuff' is uncertain.  But one thing is clear, he doesn't know anything about the jewelry business and doesn't...

Even with the number of online customers leveling off, and expected sales the weakest since 2002. Retailers are offering discounts and incentives to lure online shoppers. Sales at major online retailers remain strong, and customers seem to be gaining confidence with the average price of items purchased...

Retailers are cutting prices as much as 60% and keeping longer hours in an attempt to increase sales, as result of decreasing sales over the holiday week. Internet sales, costs of fuel and foods, consumer debt, and the present economic downturn are the main reasons.

The question remains whether a bigger discount strategy this December leaves retailers in a better or worse position to improve earnings in subsequent quarters.    I doubt it.  Here's why.