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T. J. Maxx Case Study

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T.J. Maxx is known on the stock exchange as TJX. There website (www.tjx.com ) give statistical information about the company which has other store brands such as Marshalls and HomeGoods in the United States, Winners, HomeSense and Marshalls in Canada, and T.K. Maxx and HomeSense in Europe; an T.K. Maxx in Australia. The TJX companies are the leading off-price retailer in the United States and worldwide. Combined they have garnered more than 33 billion dollars in revenues, approximately 3,800 stores in nine countries on three continents and approximately 235,000 workforce associates. Success is obvious from the previously touted statistical data, but what is the secret, albeit, strategy that differentiates T.J Maxx and its subsidiaries from other retail giants? On company’s website (www.tjx.com), the former Chief Executive Officer T. J. MAXX: RETAIL THEORY OR RETAIL THERAPY? 4 (CEO), now Executive Chairman of the Board, Carol Meyrowitz, noted that the off-price …show more content…

Ms. Meyrowitz described the layout of their stores and display of inventory as an experience called a “treasure hunt” by turning over inventory 9-12 times versus a retail average of 3-4 times. The recipe offers exceptional value with opportunitist buying due to strong relationships with well over 18,000 vendors and 1,000+ buying associates. This is a flexible business model of selling excess inventory at cheaper prices (Popina, 2014). Current CEO and President is Ernie Herrman effective January 2016 and has an extensive experience in off-price retailing and started with T. J. Maxx as a buyer in 1989 (BusinessWire, 2011). Per Luna (2015) from the Boston Globe, succession planning of leadership took about one year but historically the company has promoted from within by selecting the number two person in the business, so Mr. Herrman, who started as a buyer with T.J. Maxx, was next in

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