J.C. Penney to Challenge Zara to Uniqlo With Joe Fresh
In watching the current developments going on with J.C. Penney, investors are quite worried. There are radical changes being spearheaded by the CEO Ron Johnson in an attempt to boost sales and increase the company’s connection with customers. After disappointing earnings, however, the outlook is bleak for Johnson and his plans, which have failed to prove themselves worth the effort. There have were even rumors of ousting the CEO, but they were soon denied by the company.
With this latest move, J.C. Penney is gambling that the Joe Fresh Brand will quickly catch on with shoppers and become a trend. If the plan fails, however, investors will quickly lose faith in the company. With failed prior initiatives, another will only prove that the turnaround is far out of Johnson’s reach. For the company’s survival, it is essential that something, anything is done to revive sales and boost J.C. Penney’s presence in the fashion world.
Personally, although I am not in tune with the latest fashions or chains that are popping up like Uniqlo, I do not expect great things out of the Joe Fresh brand. I feel that it has too much to compete with in New York with so many other options available, and in the end, it’s still just a Canadian brand being sold by the same J.C. Penney. Really though, the target audience is female, so I can’t really say I know what I’m talking about, but I’ll be sure to keep an eye on how J.C. Penney fares in the future.