贝恩行业分析-RetailCo1

bcCompiler:Reviewer:RetailCo.Created:August26,1999Copyright©1998Bain&Company,Inc.SevaRozanovThomasShannonbcRetailCoCorporateStrategyToolkit2RetailCo2•Background•Approach•Conclusion•Implementation•ResultsAgendabcRetailCoCorporateStrategyToolkit3RetailCo2•RetailCoS&PRetailIndex01/01/8501/11/8501/09/8601/07/8701/05/8801/03/8901/01/9001/11/9001/09/9101/07/9201/05/9301/03/9401/01/95$0$20$40$60$80$100DollarsPerShareDateRetailCois$10+B“specialityretail”conglomeratewhosefinancialperformancehasdeterioratedsince1990BackgroundbcRetailCoCorporateStrategyToolkit4RetailCo2•Achievetopquartileperformance-market/bookvalue:2.8x-returnonequity:17-18%-annualearningsgrowth:10-12%•Divestbusinessesthatarepoorfits•Preparethecompanytoweatherchallengingindustryconditions•CreateacompellingvisionandgrowthstrategyFinancialObjectivesStrategicObjectivesBackgroundRetailCoObjectivesbcRetailCoCorporateStrategyToolkit5RetailCo2Agenda•Background•Approach•Conclusion•Implementation•ResultsbcRetailCoCorporateStrategyToolkit6RetailCo2•Definethecharacteristicsofasuccessfulstrategy•Developarangeofviablestrategicalternatives•Assessandprioritisethestrategicalternatives•Buildconsensusaroundthepreferredstrategy•Fullyquantifytheimpactofappropriateactionsteps•Gainfinalapproval•LaunchimplementationApproachbcRetailCoCorporateStrategyToolkit7RetailCo2ComponentsofSuccessfulStrategyDoable:•Evolvesfromcurrentbusinessmix•FitsRetailCo’scorecompetencies•Isfundable•Developssignificantcompetitiveadvantages•CapitalizesonthevolatilityofretailcyclesUnderstandable:•Communicatesaclearandcompellingapproachtothebusiness•WillbefullyvaluedbyanalystsandshareholdersDesirable:•Createscleareconomicvalueandtop-quartilefinancialresults–buildsaportfolioofhigh-potentialbusinesses–makesbusinessunitsmorevaluabletoRetailCothantoothers•Avoidexcessivelayers,overheads,anddecisionprocesses•IsattractivetokeymanagersintargetedbusinessesandfunctionsApproachbcRetailCoCorporateStrategyToolkit8RetailCo2••Marketsize•Marketgrowth•Segmentreturns•Segmentprofitabilitytrends•Competitiveintensity•Supplierpower•SegmentstabilityMarketAttractiveness•Marketshare•Marketsharetrend•Geographiccoverage•Currentprofitability/EVA•Earningstrend•Managementteam•Retailbrandequity•Infrastructureandsystems•CustomervaluepropositionStrategicPosition•Corporateexperience,skills,andvalues•Corporatefunctionalsupport•Corporateportfoliodevelopment•Cross-divisionalsharingFitRetailCobusinesseswereevaluatedalongthreegroupsofcriteriaApproachRevisingtheMixofBusinessesbcRetailCoCorporateStrategyToolkit9RetailCo2FactBase•Howstructurallyattractiveisthismarketsegment?(projected)–industrysize–industrygrowth–industryprofitability–competitiveintensity–buyerconcentration/power–supplierconcentration/power–committedcapitalrequirements–stageinmarketevolution–acquisitionopportunities•Howdoesthestockmarketvaluethissegment?–industryvolatility–marketvaluationmultipleandtiming–valuetransparencytostockmarket•Dowehaveastrongpositiontoday?–marketshare(local/regional)–marketsharegrowthtrends–profitability–relativecostposition–brandequity–conditionofassets•Dowehavethekeysuccessfactorstoachieveastrongpositiontomorrow?(orcanweacquire/buildthem)–functionalprocesscapabilities–coststructure–newproduct/conceptdevelopment–humanresources/peopleskills–capitalresources•HowdoesthisbusinessfitwithotherRetailCodivisionsandcapabilities?–cashflowgenerations/requirements–commonfunctionalprocesses–commoncustomerprofiles–linkagetocentralresources–uniquepeopleskillsThefivequestionsapproachwasusedtobuildfactbaseoneverybusinessofRetailCoApproachbcRetailCoCorporateStrategyToolkit10RetailCo2Agenda•Background•Approach•Conclusion•Implementation•ResultsbcRetailCoCorporateStrategyToolkit11RetailCo2BusinessUnitEvaluations(1of2)DivisionConclusionStrategicPositionMarketAttractivenessFitNorth•Largemarketreadyforconsolidation,goodprofitability,verystrongpositionHolland•LargepotentialmarketwithopportunitytoboostgrowthandprofitabilitythroughacquisitionsandimprovedoperatingefficiencyItaly•Rapidlygrowingchannelwithhighreturns.NeedtoinvesttocapturemarketshareandimproveoperatingefficiencyHongKong•Largeoverallmarketwithslowgrowth.CashprovidercapableoffundinggrowthbusinessesLuxembourg•Reevaluategrowthplans.EconomiesofscalenotyetachievedbutsegmentextremelyprofitableConclusionbcRetailCoCorporateStrategyToolkit12RetailCo2BusinessUnitEvaluations(2of2)Britain•Moderatesizesegmentwithgoodprofitabilitybutstrongcompetition;decliningmarketshare,lowrelativeoperatingmarginsIreland•Decliningmarketsegment,poorposition,littleopportunityforsale,potentialforsavingsbyfoldingintoHongKongFrance•Overcapacityinsegment,losingmarketshare,belowaverageprofitabilitySweden•Largeoverallmarketbutrequiressubstantialinvestmenttodevelopnewproductsandachievescaletoimprovecostposition;businesshaspoorfitwithRetailCoskillsSpain•Smallsegment,lowgrowth,highvolatility,andseasonalityDivisionConclusionStrategicPositionMarketAttractivenessFitConclusionbcRetailCoCorporateStrategyToolkit13RetailCo2BusinessUnitRecommendationsDivisionStr