MACY’S SWOT ANALYSIS

http://fernfortuniversity.com/term-papers/swot/nyse/2960-macy-s--inc-.php/

Macy's, Inc. SWOT

Analysis / Matrix
Business Essays, Term Papers & Research Papers

SWOT analysis is a strategic planning tool that can be used by Macy's, Inc. managers to do a
situational analysis of the organization . It is an important technique to map out the present
Strengths (S), Weakness (W), Opportunities (O) & Threats (T) Macy's, Inc. is facing in its current
business environment.

The Macy's, Inc. is one of the leading organizatations in its industry. Macy's, Inc. maintains its
dominant position in market by carefully analyzing and reviewing the SWOT analysis. SWOT analysis
a highly interactive process and requires effective coordination among various departments within
the organization such as – marketing, finance, operations, management information systems and
strategic planning.

The SWOT Analysis framework facilitates an organization to identify the internal strategic
factors such as -strengths and weaknesses, & external strategic factors such as - opportunities
and threats. It leads to a 2X2 matrix – also called SWOT Matrix.

The Strengths-Weaknesses-Opportunities-Threats (SWOT) Analysis / Matrix enables the

managers of the Macy's, Inc. to develop four types of strategies:

Skip Ad
 SO (strengths-opportunities) Strategies
 WO (weaknesses-opportunities) Strategies
 ST (strengths-threats) Strategies
 WT (weaknesses-threats) Strategies
 SWOT Matrix Strategies Objective
 The primary purpose of SWOT matrix is to identify the strategies that a firm can use to
exploit external opportunities, counter threats, and build on & protect Macy's, Inc. strengths,
and eradicate its weaknesses.
 Step by Step Guide to Macy's, Inc. SWOT
Analysis
 Strengths of Macy's, Inc. – Internal Strategic Factors

As one of the leading companies in its industry, Macy's, Inc. has numerous strengths that
help it to thrive in the market place. These strengths not only help it to protect the market
share in existing markets but also help in penetrating new markets. Based on Fern Fort
University extensive research – some of the strengths of Macy's, Inc. are –

Read - Macy's, Inc. Porter 5 Forces Analysis & Industry Analysis
 
Successful track record of integrating complimentary firms through mergers &
acquisition. It has successfully integrated number of technology companies in the past
few years to streamline its operations and to build a reliable supply chain.
  Good Returns on Capital Expenditure – Macy's, Inc. is relatively successful at
execution of new projects and generated good returns on capital expenditure by building
new revenue streams.
  Successful track record of developing new products – product innovation.
  Superb Performance in New Markets – Macy's, Inc. has built expertise at entering new
markets and making success of them. The expansion has helped the organization to build
new revenue stream and diversify the economic cycle risk in the markets it operates in.
  Automation of activities brought consistency of quality to Macy's, Inc. products and
has enabled the company to scale up and scale down based on the demand conditions in
the market.
  Strong dealer community – It has built a culture among distributor & dealers where
the dealers not only promote company’s products but also invest in training the sales
team to explain to the customer how he/she can extract the maximum benefits out of the
products.
  Strong Free Cash Flow – Macy's, Inc. has strong free cash flows that provide
resources in the hand of the company to expand into new projects.
  High level of customer satisfaction – the company with its dedicated customer
relationship management department has able to achieve a high level of customer
satisfaction among present customers and good brand equity among the potential
customers.

Weakness of Macy's, Inc. – Internal Strategic Factors


Weakness are the areas where Macy's, Inc. can improve upon. Strategy is about making
choices and weakness are the areas where a company can improve using SWOT analysis and
build on its competitive advantage and strategic positioning.
 Not very good at product demand forecasting leading to higher rate of missed opportunities
compare to its competitors. One of the reason why the days inventory is high compare to its
 competitors is that Macy's, Inc. is not very good at demand forecasting thus end up keeping
higher inventory both in-house and in channel.
 Need more investment in new technologies. Given the scale of expansion and different
geographies the company is planning to expand into, Macy's, Inc. needs to put more money
in technology to integrate the processes across the board. Right now the investment in
technologies is not at par with the vision of the company.
 High attrition rate in work force – compare to other organizations in the industry Macy's, Inc.
has a higher attrition rate and have to spend a lot more compare to its competitors on
training and development of its employees.
 Limited success outside core business – Even though Macy's, Inc. is one of the leading
organizations in its industry it has faced challenges in moving to other product segments
with its present culture.
 Days inventory is high compare to the competitors – making the company raise more capital
to invest in the channel. This can impact the long term growth of Macy's, Inc.
 Investment in Research and Development is below the fastest growing players in the
industry. Even though Macy's, Inc. is spending above the industry average on Research and
Development, it has not been able to compete with the leading players in the industry in
terms of innovation. It has come across as a mature firm looking forward to bring out
products based on tested features in the market.
 There are gaps in the product range sold by the company. This lack of choice can give a new
competitor a foothold in the market.
Opportunities for Macy's, Inc. – External Strategic Factors
 New customers from online channel – Over the past few years the company has invested
vast sum of money into the online platform. This investment has opened new sales channel
for Macy's, Inc.. In the next few years the company can leverage this opportunity by knowing
its customer better and serving their needs using big data analytics.
 Lower inflation rate – The low inflation rate bring more stability in the market, enable credit
at lower interest rate to the customers of Macy's, Inc..
 Government green drive also opens an opportunity for procurement of Macy's, Inc. products
by the state as well as federal government contractors.
 Opening up of new markets because of government agreement – the adoption of new
technology standard and government free trade agreement has provided Macy's, Inc. an
opportunity to enter a new emerging market.
 New environmental policies – The new opportunities will create a level playing field for all
the players in the industry. It represent a great opportunity for Macy's, Inc. to drive home its
advantage in new technology and gain market share in the new product category.
 Decreasing cost of transportation because of lower shipping prices can also bring down the
cost of Macy's, Inc.’s products thus providing an opportunity to the company - either to
boost its profitability or pass on the benefits to the customers to gain market share.
 Organization’s core competencies can be a success in similar other products field. A
comparative example could be - GE healthcare research helped it in developing better Oil
drilling machines.
 The new technology provides an opportunity to Macy's, Inc. to practices differentiated
pricing strategy in the new market. It will enable the firm to maintain its loyal customers with
great service and lure new customers through other value oriented propositions.
Threats Macy's, Inc. Facing - External Strategic Factors
  Intense competition – Stable profitability has increased the number of players in the industry
over last two years which has put downward pressure on not only profitability but also on
overall sales.
 No regular supply of innovative products – Over the years the company has developed
numerous products but those are often response to the development by other players.
Secondly the supply of new products is not regular thus leading to high and low swings in
the sales number over period of time.
 Growing strengths of local distributors also presents a threat in some markets as the
competition is paying higher margins to the local distributors.
 Rising raw material can pose a threat to the Macy's, Inc. profitability.
 Shortage of skilled workforce in certain global market represents a threat to steady growth
of profits for Macy's, Inc. in those markets.
 Increasing trend toward isolationism in the American economy can lead to similar reaction
from other government thus negatively impacting the international sales.
 New environment regulations under Paris agreement (2016) could be a threat to certain
existing product categories .
 New technologies developed by the competitor or market disruptor could be a serious
threat to the industry in medium to long term future.
Limitations of SWOT Analysis for Macy's, Inc.
Although the SWOT analysis is widely used as a strategic planning tool, the analysis does have its
share of limitations.

 Certain capabilities or factors of an organization can be both a strength and weakness at the
same time. This is one of the major limitations of SWOT analysis . For example changing
environmental regulations can be both a threat to company it can also be an opportunity in
a sense that it will enable the company to be on a level playing field or at advantage to
competitors if it able to develop the products faster than the competitors.
 SWOT does not show how to achieve a competitive advantage, so it must not be an end in
itself.
 The matrix is only a starting point for a discussion on how proposed strategies could be
implemented. It provided an evaluation window but not an implementation plan based on
strategic competitiveness of Macy's, Inc.
 SWOT is a static assessment - analysis of status quo with few prospective changes. As
circumstances, capabilities, threats, and strategies change, the dynamics of a competitive
environment may not be revealed in a single matrix.
 SWOT analysis may lead the firm to overemphasize a single internal or external factor in
formulating strategies. There are interrelationships among the key internal and external
factors that SWOT does not reveal that may be important in devising strategies.

 Weighted SWOT Analysis of Macy's, Inc.

 In light of the above mentioned limitations of the SWOT analysis / matrix, corporate
managers decided to provide weightage to each internal strength and weakness of the firm.
Organizations also assess the likelihood of events taking place in the coming future and how
strong their impact could be on company's performance.
 This method is called Weighted SWOT analysis. It is better than doing simplistic SWOT
analysis because with Weighted SWOT Analysis Macy's, Inc. managers can focus on the most
critical factors and discount the non-important one. It also solves the long list problem
where organizations ends up making a long list but none of the factors deemed too critical.
 Limitation of Weighted SWOT analysis of Macy's, Inc.

 This approach also suffers from one major drawback - it focus on individual importance of
factor rather than how they are collectively important and impact the business holistically.

https://pestleanalysis.com/macys-swot-analysis/

Macy’s SWOT Analysis 2022: Opportunities

and Threats
MAY 4, 2022 BY ABDUL MOMIN

If you’ve never been to Macy’s, don’t even call yourself a US resident. No matter in which state
you live, it is simply not possible that you’ve never been there.

Macy’s is one of the most famous department stores in the US. This is because its stores have a
wide variety of brands in them. Such variety provides a significant number of options to the
customers; that’s why they prefer going to Macy’s.

People have given Macy’s the status of the US’s national store, which is impressive. In this
article, we will first share Macy’s background with you, then conduct a SWOT analysis on
Macy’s.

Macy’s SWOT analysis will provide us insight into the strengths, weaknesses, opportunities,
and threats that Macy’s faces.

Okay, so we will start off by sharing the history of Macy’s quickly so that you know about the
business in advance. Macy’s is an American department store chain. It was founded in 1858.

In 1994, it got associated with Bloomingdale’s, America’s other big store. Later in 2007, it was
renamed Macy’s; it has gained skyrocketing popularity from there onwards.

Macy’s is considered a home for all the fashion industry’s top brands. Therefore, customers
prefer visiting Macy’s since they get access to all the top brands, such as Puma, Zara, Under
Armour, H&M, etc., in one place.
Macy’s offers personal use products to its customers, from clothes to kitchen use
products, furniture, home decor products, and dining products.

Besides its majestic stores and state-of-the-art facilities, Macy’s is also known for
its Thanksgiving day parade. Macy’s conducted the first Thanksgiving day parade in 1924. Since
then, a parade is organized by Macy’s to celebrate Thanksgiving every year.

The parade has always been a center of attention for the people of New York. Every year,
millions of people gather to witness one of the most vibrant parades, including helium balloons,
marching bands, floats, and much more.

Macy’s has many stores opened up across the US in every state. There are 570 stores present at
510 different locations across the US.

Macy’s is financially powerful. In 2020, Macy’s was ranked the number one department store in
the entire US since it had the highest sales, worth $17.35 billion.

Moreover, Macy’s International presence has also helped it generate vast sums of revenue.
Macy’s is considered the market leader since it was named the world’s largest department store
chain in terms of revenue after generating revenue of more than $24.97 billion in 2019.

In 2022, Macy’s managed to generate revenue of $25.3 billion which tells much about its
popularity.

Looking at the rich history of Macy’s and how it has managed to become the market leader in the
industry of department stores, we feel the need to carry out a SWOT analysis to see what
strengths, weaknesses, opportunities, and threats it has to face.

The SWOT template of Macy’s will give us complete insight into the internal and external
factors affecting Macy’s.

The SWOT template of Macy’s will give us complete insight into the internal and external
factors affecting Macy’s.

Contents
 Strengths of Macy’s
o Vast Variety
o Customer Relationship Management
o Marketing
o Macy’s Popularity
o Use of Technology
 Weaknesses of Macy’s
 o Failed Expansion Projects
o High Dependence on the US Market
o Expansion
 Opportunities for Macy’s
o Increase Global Presence
o Diversify
o Mergers and Acquisitions
 Threats Faced by Macy’s
o COVID-19
o Tough competition
o Global Recession
 Macy’s SWOT Analysis: Final Thoughts

 Strengths of Macy’s
 Strengths are the strong points of an organization. Factors considered as strengths help an
organization to move upwards in the market.
 Here we will discuss some of the strengths of Macy’s that helped it grow over time.
 Vast Variety
 Macy’s offers a large variety of products to its customers. So if you want to buy furniture,
home appliances, clothes, and toys for kids, you don’t have to go to different shops; just
visit Macy’s, and you can get all of that in one store.
 Macy’s has a wide variety of products that have helped it increase its customer base.
Customers feel much more satisfied shopping at Macy’s than at any other store.
 Customer Relationship Management
 Macy’s is known for excellent customer service and relationship management. When you
have a problem with your purchase, their customer service agents go out of their way to
ensure you are satisfied.
 Macy’s understands the value of excellent customer service and excellent quality and
tries its best to accommodate its customers to the maximum. This is why Macy’s is
considered among the topmost retailing brands in customer satisfaction.
 Marketing
 Marketing is an essential tool to attract customers; without effective marketing, it is
impossible to compete in such a competitive market.
 Macy’s has probably the most amazing and unique way of doing marketing all across the
globe. Instead of spending millions of dollars like its competitors on printed and digital
advertising, it carries out a Thanksgiving day Parade. This parade serves the purpose of
both a cultural event and a marketing act for Macy’s.
 Macy’s Popularity
 Gaining popularity among the masses is the dream of every brand. To become a
household name, years of marketing and a good reputation are needed. However, Macy’s
has managed to become a household name.
 The company has been around since 1858, and its stores are popular among all consumer
demographics due to their wide-ranging products. This provides Macy’s competitive
advantage over its competitors.
 Use of Technology
 In the era of technology, Macy’s is using technology for its own benefit. Macy’s has
expanded its operation with the use of technology. In addition, the retailing brand is using
digital channels to increase its sales.
 It is predicted that by 2023, Macy’s sales worth $10 billion will be made from digital
channels.
 Weaknesses of Macy’s
 SWOT analysis is incomplete without discussing the weaknesses of an organization. The
letter W in the acronym SWOT represents the weaknesses an organization possesses.
 Weaknesses are the shortcomings of a company that stops it from achieving its potential.
 After discussing the strengths of Macy’s, In this section, we will shed light on some of its
shortcomings.
 Failed Expansion Projects
 When the New York retailer announced that it would follow its previous US expansion
and open stores in the UAE, loyal American customers living abroad rejoiced in
anticipation for their favorite department store to arrive.
 But a few years later, Macy’s canceled their expansion plans without any direct
explanation as to why. Macy’s has disappointed many international customers with this
move, and now those customers may have lost trust in Macy’s long-term commitment to
global expansion plans.
 High Dependence on the US Market
 Macy’s has a strong market position and has a high market share. However, the company
has a heavy dependency on the US market which increases its vulnerability to the
negative socio-economic issues of the country, such as increasing unemployment,
poverty, inflation, etc.
 Although Macy’s also has an international presence, it is nothing compared to its
presence in the US. Out of 787 stores in total, 570 of them are present in the US.
 Expansion
 The most used strategy to increase revenue and market shares is to expand the company’s
operations. For example, Macy’s has been dominating the US market for quite some time
now, but it hasn’t grown outside the US as much as it could.
 Macy’s wasted its potential to dominate the world market. Instead, it could have
increased its market share to a great extent by entering untapped markets across the
globe.
 Opportunities for Macy’s
 Opportunities are the chances that are provided to the organization to grow. These
changes arise naturally due to the external environment.
 Now we will have a look at some of the opportunities ahead of Macy’s to attain growth
and expand its operations.
 Increase Global Presence
 Macy’s has achieved a lot in the US. It is already considered the market leader in the US.
Since operations of Macy’s are going well in the US, this is the perfect time for Macy’s
to increase its global presence by focusing on international markets.
 This will help Macy’s increase its revenue and market share. It will also help Macy’s gain
popularity all across the globe.
 Diversify
 Macy’s sold men’s and women’s clothes and accessories, cosmetics, home goods, and
other items for decades. However, since Macy’s has now managed to hold a significant
market share, it could now diversify what it has to offer.
 Besides offering the usual, Macy’s can now diversify its operations by offering second-
hand clothes, or it could use its name to enter the food and beverages industry. This will
increase Macy’s revenue stream and expand its customer base.
 Mergers and Acquisitions
 Macy’s has reached the point where it could merge or acquire its competitors. However,
with many competitors in the surrounding area, it does get suffocating. Therefore, in
order to remove competitors from the market, Macy’s can apply mergers and acquisition
strategies.
 The acquisition of a competitor could be just what Macy’s needs to expand its operations.
By gaining new market share, Macy’s could sustain its position as the market leader in
the future.
 Threats Faced by Macy’s
 For any organization, factors that can adversely impact the organization’s
performance are considered threats. Now we will discuss some of the threats that Macy’s
is facing currently.
 COVID-19
 Macy’s is one of the companies that observed severe losses during COVID-19. The US
was one of the most affected countries during COVID-19. Due to its strict lockdown
policies, Macy’s observed an almost $1.1 billion loss during COVID-19.
 After the vaccination process, an ease in the lockdowns was observed, and everything
started getting back to normal. However, still, there’s a threat of further waves of
COVID-19. These upcoming COVID-19 waves are considered a threat to Macy’s.
 Tough competition
 No matter how well a company is doing, it is always worried about its competitors. Being
part of a market full of competitors always trying to take your position can be stressful.
Cutthroat competition is observed in the department store industry.
 Although Macy’s has a significant market share, it still has to watch its competitors
ensure its position in the market. Several retailing brands such as Nordstrom, TJ Maxx,
and Kohls are always chasing Macy’s to steal its market share.
 Macy’s competitors are a threat to Macy’s. To stay one step ahead of its competitors,
Macy’s should look for ways to gain a competitive edge.
 Global Recession
 Recessions are always painful for businesses. What they actually do is take away wealth
from people and lower their standard of living. Other than that, during recessions, there is
always uncertainty. Due to uncertainty, people save more and spend less.
 After COVID-19, as the world came back to normal, significant inflation was
experienced worldwide. In addition to that, due to the current tension between Russia and
Ukraine, it is expected that the world will experience a recession soon.
 The global recession risk can be considered a threat to Macy’s. As the living standard
would drop because of the recession, sales of Macy’s would experience a considerable
drop that can result in serious financial problems for Macy’s.
 Macy’s SWOT Analysis: Final Thoughts
  In this article, we shared the history of Macy’s with you and told you about how it has a
significant share in the US market.
 Then we moved on to the SWOT analysis of Macy’s, where we learned the strengths,
weaknesses, opportunities, and threats that Macy’s faces.
 We carried out this SWOT analysis in the form of an article. Still, the highlights of this
SWOT analysis can be represented through a SWOT Matrix, which is a more efficient
way to describe SWOT analysis.
 After reading this article, now you know what external and internal factors influence
Macy’s. We assume that now you also have an idea about how to conduct a SWOT
analysis.

SWOT analysis is a handy tool to analyze internal and external factors affecting the operations of a
business. To understand what SWOT analysis is in detail and how it is conducted, look at some of our
examples of SWOT analysis.

https://www.edrawmax.com/online-swot-analysis-generator.html
https://www.edrawmax.com/article/macys-swot-analysis.html

1. Lead-in
The retail market is highly competitive and has multiple dominating players, and Macy's is one
of them. From a small retail store, their journey has taken them to be one of the top retailers in
the US. They have a global presence as of 2022 and have more than 511 stores, including 446
departmental stores.

SWOT analysis of Macy's can point out their strengths and weaknesses that have helped them
to be in their present position. From the SWOT analysis of Macy's, you can get an idea of the
opportunities and threats that can impact their future business. In this guide to master SWOT
Analysis, we will introduce a free SWOT analysis Online creator EdrawMax Online that helps
create wonderful SWOT analysis diagrams with utter ease.

2. About Macy's
2.1 Introduction of Macy's

Macy's is one of the largest US-based retailers and has a massive customer base. They have
connected with their customers with their 160 years of experience. It has helped Macy's to
emerge as a successful business. The company is headquartered in New York and deals in varied
items, from accessories and apparel to furniture and decor. Macy's location at Herald Square is
known to be the largest retail store in the world and is estimated to be valued at around $3
billion. The company earns most of its revenue from its US stores but is gradually trying to
expand its business.
In this condition, their strengths can be helpful if they plan their future steps based on their
opportunities. They can also work on their weaknesses and cushion their threats to ensure their
growth. A detailed SWOT analysis of Macy's can help them gather insight into their strengths,
weaknesses, opportunities, and threats. It is significant to know the basic details of the company
to do an objective SWOT analysis of Macy's:

2.2 Overview of Macy's

Name Macy's Inc.

Founded 28 October, 1858
Industries served: Fast food
Geographical areas served: Worldwide
Headquarters: New York, United States
Current CEO: Jeffrey Gennette
Revenue (US$): 24.971 billion (Dec 2020)
Profit (US$) 578 million (Dec 2020)
Employees: 123,000 (Dec 2020)
Main competitors: Nordstrom, Amazon, SEPHORA, Wayfair, etcetera

2.3 History of Macy's

1858 Rowland H.Macy opened R.H. Macy & Co. in New York City
1888 The Straus Family went to a general partnership with Macy's
1902 Macy's moved to their new location in Herald Square.
1996 Their website Macy's.com was launched
2003 Bloomingdale enters Atlanta Market
2006 More than 400 May Company stores are converted to Macy's
2008 Macy's launched a sustainability initiative for environment protection
2010 Bloomingdale opened in Dubai, company's first international location
2015 Macy's acquired the beauty retailer Bluemercury
2016 Bloomingdale opened in Kuwait, the second international store of the brand
2018 Macy's launches online store and pick up in every location

3. SWOT Analysis of Macy's

Strengths

 Brand Image: Macy's is one of the biggest brands in terms of retail. They have been
operating for over 160 years. They have a loyal customer base, and their brand
recognition is helpful for the growth of their business. Their reliability and positive brand
 image are an addition to their profile. They were ranked 120 by Fortune in Fortune 500
companies.
 Trusted e-commerce service: Retail market is a competitive space. Therefore, the
companies must work on their physical sales as well as their e-commerce sales. Macy's
has successfully upgraded their business to have an online marketplace from which they
earn a significant profit. It has increased the number of its customers.
 Variety of products: As a retail store, Macy's can fulfill the requirements of a wide
range of customers. They offer various products, including apparel, cosmetics, home
decor, accessories, and more. Choices for men, women, and kids are there in their
collection, and they have products from multiple brands, including Macy's,
Bloomingdale, and Bluemercury.
 Relationship with customers: Macy's has given effort to their customer relationship
management. They pay attention to customer service and address their grievances. Over
the years, this has helped them have a positive brand image. They have incorporated
automation in their business, which has allowed them to offer a smooth service to satisfy
the customers. Thus, they have become a household name and a profitable retail brand.

Weaknesses

 Over-dependence on the US market: For their sales, Macy's is highly dependent on the
US market. Therefore, the economic condition of the US will directly impact the business
of Macy's. They will also be vulnerable to the socio-economic conditions of the country.
At the same time, as a chunk of their revenue comes from the US market, Macy's decided
to have rapid expansions in the US. As a result, they fail to provide quality service to
their customers.
 Limited Presence: Though Macy's is a prominent name in the US retail market, they
have failed to use its maximum potential to ensure its growth. They have not expanded in
the countries that have high demand. They also have a limited presence in the countries
they are operating. There are mostly one to two stores at a location. It is a drawback
holding them back from further growth.
 Management issues: Macy's management has made wrong decisions, which acted
against them as they tried to grow their business. Their weaknesses include failure to
create a streamlined operation and execute Polaris Plan. There has been a lack of proper
strategies to help the company expand and offer a smooth service simultaneously.

Opportunities

 Expansion of their Business: Since Macy's is a prominent name in the US market, it can
use its resources to expand globally. They can do thorough market research to find which
countries are ready with potential customers. They will gain an advantage if they plan to
expand in countries with at least some brand recognition. Otherwise, they can tie up with
local brands to gradually penetrate the economy. It will help them have a global presence
if they can appropriately strategize their moves.
 Improving e-commerce: Macy's has already launched their e-commerce services. It has
helped them successfully reach more customers. They can work on having a smooth
system streamlining the operations from the supply chain to the logistics. They can work
 on their online business in countries with limited presence and serve with one of two
stores. It will help them to determine the customers' demand, and at the same time, they
can reach more customers.
 Emerging Market: For expansion, the brand can consider emerging economies.
Countries like Asia, Africa, and Latin America have emerging markets where the demand
for luxury items is rising rapidly. The brand can make strategies to penetrate these
markets. It will not only decrease their dependence on the US market, and the process
will increase their revenue.
 Mergers and Acquisitions: Macy’s has been in the market for more than 160 years, and
it may lead to stagnation. They may have an innovative approach toward their business
and consider mergers and acquisitions for expanding their business in a new sector. They
can find suitable companies for mergers or acquisitions. It will help them to increase their
presence in the market.

Threats

 Pandemic situation: The global economy is recovering as it almost collapsed due to the
pandemic. The recession and inflation in some countries are also making the economy
unstable. It can result in losses for retailers like Macy's.
 Change in Buying Habits: High unemployment and declining economic conditions are
unfavorable for retail businesses. People are not willing to purchase luxury items, which
get reflected in Macy's sales figures.
 Trade Pressure: The company depends on multiple conditions like politics, trade laws,
and trade relationships between countries. When the nation's politics is not better, it can
disrupt the supply chain. Hence, the business gets impacted. The present political
scenario in some countries and the tension of countries with the US can negatively impact
the growth of Macy's.
 Competitive market: Retail market space is competitive, with many players having
loyal customer bases. Some are constantly using their innovative plans and marketing
tools to reach more customers. This cut-throat competition can be a threat to their
business.

Macy's SWOT Analysis Diagram

As you saw here, SWOT analysis is an integral part of any organization's progress as it not only
depicts the strengths and weaknesses in detail but also introduces the opportunities and threats it
faces. In order to retain the information for a long time, students and professionals are advised to
work on a Macy's SWOT analysis diagram using the astounding customization options offered
by EdrawMax.
4. Free SWOT Analysis Diagram Creator
Now that you have seen how easy it is to understand the SWOT of any company, let us check out
some of the cool features of using the free SWOT analysis diagram software.

 This free SWOT Analysis creator is free, and even the one-time yearly fees offer many
features that most other SWOT analysis software fails to provide.
 With EdrawMax Online, you can access your remotely stored file and create SWOT
analysis diagrams on the go.
 In EdrawMax, you get access to the template community that has user-generated
templates.
 EdrawMax lets you create 280+ diagrams, 3x times more than what Microsoft Visio
offers.
 When it comes to EdrawMax, you do not have to worry about the safety and security of
your files. All the files in EdrawMax are highly encrypted.
 This free SWOT analysis creator comes for Windows, macOS, Linux, and web
(EdrawMax Online).
 EdrawMax Online
Create 280+ types of diagrams online
Access diagrams anywhere, anytime
Everything in desktop + Templates Community
Team management and collaboration
Personal Cloud and Dropbox Integration
TRY ONLINE

EdrawMax Desktop
Create 280+ types of diagrams
Support Windows, Mac, Linux
Full access to resources and templates
On-premises software for business
Enterprise-level data security
DOWNLOAD

5. Key Takeaways
The present economic condition is a significant factor that affects the business of almost all retail
companies. Macy's is also vulnerable to the economic conditions of the world. It can present
declining economic conditions that may harm the growth of the business. Macy's can concentrate
on their online business to have more customers. They should use innovative marketing and
proper planning to expand their business globally.

As you saw in this detailed guide to understanding the SWOT analysis diagrams, EdrawMax is
an all-in-one diagramming tool that offers a wide range of online resources, templates, symbols,
and other important elements that helps in creating wonderful SWOT analysis diagrams.
With EdrawMax Online, you can share your SWOT analysis diagrams on multiple social media
platforms and export them to a wide range of file formats. So, what are you waiting for?
Download EdrawMax today and create some wonderful SWOT analysis diagrams for your
organization.

Reference
1. Dane, K., 2022. Macy's SWOT Analysis 2022 - Macy's Inc. - Business SWOT Analysis.,
[online]. Business SWOT Analysis. Available at: https://bswotanalysis.com/macys-swot-
analysis/ (Accessed 5 September 2022).
2. Parker, B., 2022. Macy's SWOT Analysis., [online] Business Strategy Hub. Available
at: https://bstrategyhub.com/macys-swot-analysis/ (Accessed 5 September 2022).

https://www.mbaskool.com/brandguide/lifestyle-and-retail/4779-macys.html
https://www.mbaskool.com/marketing-mix/services/16828-macys.html
SWOT analysis and info

https://bstrategyhub.com/macys-swot-analysis/
This is a very Valuable Swot source