J.C Penny Company Inc (NYSE:JCP) Has Big Plans For Nike Inc (NYSE:NKE) Including 600 New Nike Shops Located Within Department Stores
In order to boost customer incentive, to come shop at J.C Penny Company Inc (NYSE:JCP) Department Stores, the department-store giant, recently announced that it would be ensuring the grand opening of over 600 Nike Inc. (NYSE:NKE) shops, throughout their stores.
This was announced on Tuesday, in the same announcement, it was disclosed that these stores would have a variety of products available. Including Nike merchandise, such as Basketball clothing, training, running, and other categories of merchandise.
More about the Nike shops opening at J.C Penny Department Stores
In a news release on the matter, John Tigher, the Chief Merchant of J.C Penny, stated, “Nike is immensely popular across all categories and with the rapid rise of activewear and athletic shoes, we want to have the best expression of Nike in any department store.”
Despite this major move by J.C Penny, the exact locations, which would become privy to having a Nike store, within their own store, was not disclosed. In the statement, it was revealed that a test store had been open.
The location for this demo project was in Portland. This is situated close by to the hometown of Nike, which is Beaverton, Oregon. It was however revealed, that the company would be willing to divest stores such as the brick-and-mortar stores.
The significant of this move from a rivalries perspective
The market of attracting, and retaining shoppers, is a nasty one. This is the reason that stores such as the Local American Apparel, have shut down due to bankruptcy, and the cause for J.P Penny to make such a bold statement to its competitors.
This is also the concern that J.P Penny announced at the Weitzman Annual Forecast, which was held in Texas last week. The concern was that J.P has over 1,000 stores throughout the nation, which can be considered too many if there is not an accurate split regarding brand definition.
J.P Penny stock closed at $6.81, after witnessing a decline of $0.13 or 1.87%