In this case study, we look at Ollie’s Bargain Outlet, a massive cheap retailer of name brand products. There were 30 stores in 2004 with the store growing to over 200 with their sights set in on 950 stores within the US. This chain of stores is an extreme version of Marshalls or TJMaxx with extreme low costs, even over 70% off retail prices. This chain is like Costco if Costco had extremely low prices that are unbeatable compared to retail stores. However, its ever-changing array of merchandise makes it considered a miscellaneous retail store. ● Outline the main issues mentioned or discussed in the case. This case study does not necessarily have a direct issue that is discussed. Rather, the case goes over who Ollie’s is, what they do, how …show more content…
If you were able to invest in Ollie’s, would you? Why or why not? Strengths: Established brand: Ollie's has built a strong brand presence in the discount retail industry, known for its "good stuff cheap" value proposition. Low/Bargain prices: Ollie's ability to negotiate discounted prices allows them to offer competitive pricing on a wide range of merchandise. Supply chain: The company's streamlined supply chain and strong vendor relationships allow them to maintain inventory of discounted merchandise. Weaknesses: Limited geographic and online presence: Ollie's operates primarily in half of the United States and a restricted online platform limiting its market reach and growth potential in other areas. Inventory reliance: It may face challenges in consistently obtaining enough desirable products without closeouts and wholesalers. Economic Vulnerability: As a discount retailer, Ollie's may take a hit from consumer spending habits during economic downturns. Opportunities: Expansion into new markets: Ollie's can expand into regions where it has no presence, tapping into new customer segments, and driving growth. E-commerce growth: Investing in the enhancement of its online platform could enable Ollie's to capture a larger share of the growing e-commerce market and reach customers beyond its physical store …show more content…
Ollie’s focuses on extreme discounts prices, a massive selection of unique products for any buyer, and a focal point on brick-and-mortar stores for these deals to be found. By keeping a low online presence, Ollie’s makes itself more exclusive and does not need to try and regulate online sales with its in-store inventory. Macy’s, on the other hand, is a department store hosting broad products that are positioned in specific sequences, sells on every platform at a slightly higher price than retail stores, and hosts several promotions throughout the year on its “higher end” products. With this strategy, Macy’s is a household name with an international presence and an industry leader and plenty of capital to continue growth and market its brand. Marshalls is a mixture of the two. Marshalls has low- and high-end products at a lower cost than places such as Macy’s, focuses heavily on home goods and clothing, with a store experience offering the feeling of treasure hunting, and a national