Marketing your strengths, knowing your customer - includes related article on BrandsMart - Special Report: Reinventing the Discount Store

Discount Store News, May 15, 1995 by Teresa Andreoli

The Eden Prairie, Minn.-based consumer electronics superstore re-sold the tickets to employees and simultaneously raised $25,000 for Success by 6, a local, early-education initiative for children under the age of six.

Continuing cost performance involves pushing the decision-making processes toward those closer to the customers, Martinez said. And using general terms, he advised retailers to focus on speed and simplicity.

Giving individual stores autonomy, thereby pushing decision making closer to the customer, is an idea upon which Wal-Mart has capitalized, and Kmart has resisted.

Finally, establishing a high-performance culture can be achieved by offering stock options. "It's a key way to develop an "ownership mentality," Martinez said.

Some of the most successful retailers, such as Wal-Mart, The Home Depot and Toys "R" Us, are already in tune with the benefits of this approach, and each applies this strategy to all employees, not just executives.