Along with the changing business world, customers change as well, becoming more demanding and knowledgeable than before. In turn, company management had shifted their focus on their clients or customers so as to stay successfully in business. This transition meant that organizations have to completely reformulate their conventional business aims and purposes from being process-focused to customer-centered. Hence, in order to bring out exceptional customer services within the company operations, the management should employ fine-tuned organizational restructuring. Moreover, employing proactive customer commitment involves the consideration on culture and infrastructure (Lowenstein, 1997).
Organizations that capitalize on customers' active participation in organizational activities can gain competitive advantage through greater sales volume, enhanced operating efficiencies, positive word-of-mouth publicity, reduced marketing expenses, and enhanced customer loyalty (Lovelock & Young, 1979; Reichheld & Sasser, 1990). Rather than going after every potential source of revenue, companies eliminate useless assets that do not add value for customers' satisfaction. Business organizations implement bureaucratic policies and procedures for the benefit of the staff, customers and the company in general. According to Bowers, Martin & Luker (1990), if consumers somehow become better customers -- that is, more knowledgeable, participative, or productive -- the quality of the service experience will likely be enhanced for the customer and the organization.
Home Bargains is recognized to be United Kingdom's small-medium supermarket, dominating its retail sector. Home Bargains's triumph as the company explains is due to an excellent Operating Strategy and Management team (Home Bargains, 2005). Founded in 1990, Home Bargains has indeed come a long way since its first-opened store in Burnt Oak, Edgware. Today, 17 years after it was founded by TJ Morris, HOME BARGAINS is Britain's leading food retailer.
Home Bargains started off with self-service supermarkets in the Northern England during the 1990s. After a few years of operations, Home Bargains management then realized that selling a wider variety and larger stock volumes, and employing fewer staff dramatically lowered product prices. This was the start of great things for the company. Even as everything else crumbled into pieces during the war, Home Bargains was at the onset of its prosperity, thriving in the midst of adversity. It was in the 1990s when Home Bargains came to Britain to introduce self-service stores. About 15 years after, Home Bargains had become a familiar name, not only for groceries, but also for fresh food, clothing, and other household goods (Home Bargains PLC Interim Report, 2003).
1. Wide knowledge of retail industry
2. Competent top management and rank & file for operation and maintenance
3. Existing customer base
4. Financial investment backing.
5. Strong IT returns through internet shopping
1. Low supervision on international market
2. Considerably late exploitation of the Internet.
1. Expansion of target market
2. Healthy market environment
3. Increasing detraction of small retail businesses in UK