Sears Roebuck & Co. demise

[dpson]

There is word out on the "net" is that Sears may be nearing the end. Like several of the old school retailers; such as Montgomery Wards, Woolworths, Newburys, etc. it's time may have come. Its kind of sad for me as I got my first worldly experience at Sears, working first as a part-time clerk in men's clothing and later as a commissioned salesman (oops, sorry sales associate) in "automotive" and "TV's and stereos" during my college years. I learned more about people during that time in my life than any time before or since in my 60 plus years on this earth. I especially learned about the "bell curve" (read the book), which shows that roughly 75% of the people in the world are generally good people, treat them right and they will treat you right, another 15% are grumpy, but not completely unreasonable and then there is the last 10% who just plain a$$holes and there is nothing you can ever do to make them happy. This "rule", like the Peter Principal, applies everywhere, including the Studebaker Forum.

[Chris Pile]

Aren't they owned by K-Mart these days?

[jclary]

Aren't they owned by K-Mart these days?

That's the arrangement I recall. At first, I thought Sears would elevate the quality of K-Mart but it seems as they both joined in a downward spiral.

[Warren Webb]

I worked at Sears for just over a year & quit 6 years ago. Worst job of my life! I was berated for selling the cheapest tires to ones that could hardly rub 2 dimes together. Sorry if I have compassion for people but I like to sleep nights. Pressure you to credit card applications, give you 4 hour shifts when it's so dead you could fire a shot through the shop & not hit anything. A district manager that is so inept that he refuses to acknowledge that the economy was in the depths of a major recession even though more then half of the stores in the center were empty.

The final straw for me was when my father passed away. I was supposed to work the day of his memorial service so I told the manager I wouldn't be coming in because of that. His response was, in a very threatening voice, " your coming to the mandatory meeting that night aren't you?" I went & all I heard was a "ra- ra meeting" of how wonderful we can be. 2 hours of my life that were a total waste of time.

The following Saturday I went in & was told by the assistant manager that another employee had stolen a job I had quoted the night before. I changed the repair order in the computer to my number but left his number in for the alignment which he had sold. 15 minutes later I checked & the other employee had changed it all back to his number so I confronted the manager, showed him my printout from the night before & demanded he make things right. I told the manager how he knew this employee was a thief when he hired him & if he didn't set it right there would be consequences. Needless to say he didn't do a thing, so I walked out & the following Monday I spoke with the H.R. department at the headquarters in Illinois. I listed 6 violations of company policy that the manager had done for them to check on with specific evidence. The following Saturday the manager was terminated & a few weeks later the store manager was fired too. They messed with the wrong boy.

It's no wonder to me that they are failing. The real estate holdings have more value then what they sell. Think back years ago the store brands that were carried, J.C. Higgins, Allstate, ect. All that they carry now is Kenmore & Craftsman & even Craftsman are now carried in Ace Hardware stores too so they no longer are exclusive to Sears.

[jnormanh]

That's the arrangement I recall. At first, I thought Sears would elevate the quality of K-Mart but it seems as they both joined in a downward spiral.

I love Sears. Last year we bought a new Panasonic TV 47" there for $350. It was $700 at Costco.

A month ago we bought a new Frigidaire double oven from Sears, $1300 installed, $2100 elsewhere.

If you don't check Sears, you may make a mistake.

[t walgamuth]

My sister just left there after 20 years selling big appliances for them. I figured it was because sears was not long for this life. My mom worked there also doing the same thing at least 20 years. It was good money back then.

[58L-J8 Guy]

There is word out on the "net" is that Sears may be nearing the end. Like several of the old school retailers; such as Montgomery Wards, Woolworths, Newburys, etc. it's time may have come. Its kind of sad for me as I got my first worldly experience at Sears, working first as a part-time clerk in men's clothing and later as a commissioned salesman (oops, sorry sales associate) in "automotive" and "TV's and stereos" during my college years. I learned more about people during that time in my life than any time before or since in my 60 plus years on this earth. I especially learned about the "bell curve" (read the book), which shows that roughly 75% of the people in the world are generally good people, treat them right and they will treat you right, another 15% are grumpy, but not completely unreasonable and then there is the last 10% who just plain a$$holes and there is nothing you can ever do to make them happy. This "rule", like the Peter Principal, applies everywhere, including the Studebaker Forum.

Dan, The Sears store here in Butler closed a few months ago, the K-Mart is still operating.
Dave

[Commander Eddie]

That's the arrangement I recall. At first, I thought Sears would elevate the quality of K-Mart but it seems as they both joined in a downward spiral.

Sounds like the Packard, Studebaker story.

[jclary]

Sounds like the Packard, Studebaker story.

I thought that, but didn't have the nerve to bring it up here. But, now that you have broached the idea, there are, at least on the surface, some obvious parallels. A collection of investors, with little passion for their product. Instead, "players," mainly passionate about being clever in timing their investments, buying & selling, winning more than losing. It is still going on with many corporations that value money manipulation over loyalty to a particular manufactured product.

Sears, General Electric, and others, have huge holdings beyond their corporate image. Both, have enormous finance assets (credit cards, banking, etc.), real estate, and corporate connections, of which, most of us "laymen" are unaware. It is when the investor organization begins to break down into an investor "mob" that things can go terribly wrong. In that scenario, the smart ones (lucky?) sell short, take the money and run, leaving the rest holding the loss. Also, often, good profitable divisions have their profits raided to support another division losing money. Add to this mix, infighting, mismanagement, poor judgement, and outright incompetence, and you have a corporate death spiral.

Before Studebaker/Packard ceased automobile production, there were dozens of other auto companies that had already faded into memory. Just like Studebaker/Packard, many of them delved into other investments/products. Some are just better at survival than others. If I knew the answers, many of you would probably be working for me. (Fortunately for us all, I was not afflicted with business genius.) I think it is why corporations are often treated like a living, breathing person. They come into existence, grow, thrive, become old, decline, and die.

Just this morning, sitting in church, awaiting for the start of service, I noticed an elderly man enter and make his way towards where my wife and I were sitting. I remember when the tall stately man was very vigorous, and vibrant. Now, he uses a cane, and walks with difficulty. I think he is now in his late 80's. A nice lady sitting behind me leaned up and whispered to me, "there's someone going downhill fast." I was kinda surprised by that comment. Especially since the woman that whispered that to me is 98 or 99 years old!

Why some corporations, like people, survive better than others, is not clear to me, but a reality of life. Sears, and some other retailers, seem to have lost a step or two. Not as vibrant, with worn or outdated facilities, and no longer offer services that would attract customers. I still have the tractor my dad bought there in 1950. I remember when you could buy your guns, ammo, hunting license, coveralls, shoes, and feed for your animals at sears. If us kids were good during our Sears trip, Mom & Dad would buy us a bag of candy, or roasted nuts on the way out.

Last time I was in a Sears, the place was unclean, escalator was jerky, and the staff was indifferent. I enjoy checking out the tool department, but there are more attractive choices closer. So, I rarely make it to Sears anymore.

[lark55]

Does anyone remember the tv ads in the eighties touting the fact that the Chinese airline was using Craftsman tools on their planes.

[studegary]

Aren't they owned by K-Mart these days?

I didn't check it out, but I remember Sears and K-Mart as being both under a Sears Holding Co. umbrella now.

The old S. S. Kresge (the predecessor of K-Mart) store on Main St. in Poughkepsie now houses a business that grows special salad plants.

[wittsend]

I am not surprised in the least. For 10-15 years now I've been telling my wife that Sears will never survive. I'm shocked it has lasted as long as it has. I thought they would go before Penny's. Probably only lasted because Sears was 'another place to buy on credit' after all the other cards maxed out. The place was very much "Your father's Oldsmobile." There was nothing inspiring. The Malls and the Internet were the places to shop and Sears was so - Yesterday.

I have no business background what so ever, but I saw K-Mart's closings when Walmart's moved in, the demise of Radio Shack, Penny's on shaky ground when they became 'the old brand' in the Malls and Sears on the ropes a LONG way off. And, I'm not sure it can be prevented. Especially with younger generations they want their own "identity" and that includes what and where they buy. Maybe in 2075 they can bring back Sears (the retail store) when "retro stores" might be all the rage.

[556063]

Have a dear friend that was caught in the Daimler/Fiat/"Bailout" disaster at Chrysler, as a former Chrysler Dealer's son. He's taken a job with a local Sears store as a retail salesperson. The store is owned by an independent contractor, so he is again working for a "dealer". That is the direction Sears is going. The Craftsman tool thing has been bastardized like so many other formerly exclusive brands (i.e. John Deere lawn tractors at Lowe's). Why someone would put their life savings into becoming a "Sears Independent Contractor" may only be the Kenmore appliances, which are now LG (Korean) made and not Whirlpool (a smart move in my opinion since I've dumped my Whirlpools/GE's for LG branded stuff which is much more trouble free). This seems to be the direction Sears is going. Goodbye "Big Box". Hello Rural America.

Sears bought K-Mart for their real estate portfolio. And, Sears owns a ton of the best retail real estate in the US. They will exist until that real estate is repurposed. That's what Sears is now. A company existing to divest itself. Much like Studebaker in 1963.

[53commander]

It's a shame, I always enjoyed the Sear's toy catalog at Christmas when I was a kid. To me that catalog was a gift in itself. Last time I went to Sears in the mall near me was a few months ago. My wife and I walked in and noticed we were the only ones in the store. Finally found a employee and asked if they were out of business (it was real bare inside) and they said no they are open and seemed a little shocked at the question.

[Hallabutt]

Sad when you live long enough to see an American institution like Sears fail! From a very young age I learned from watching my father. He almost always shopped at Sears. The family house was always furnished with Sear's products, consequently Kenmore, Allstate and Craftsman were what I grew up with. My father was frugal, cheap might be a better name, but he also wanted reasonable quality. For more then half of my seventy+ years that's what Sears came to mean to me, assured quality at a reasonable price. I, like my father, hate shopping and with Sears there was no need to comparative shop. Sears was always the place that I could do my one stop shopping. I always felt confident that I wouldn't be disappointed. I can't really date when I began to loose that comfortable feeling, but I'm sure it was when Sears began to carry other brands that were competing with their house brands. It had lost it's identity, it became just another department store.