This is from Patriot UpDate.
Jame Cash Penny would be heartbroken at the decline of his beloved company.
Mr.Penney was a devout Christian would be appalled at former CEO Michael Francis’ pro homosexual ads.
J.C.Penney’s customers have voted with their wallets and told the company they do not support the radical homosexual agenda.
Mainstream media organs such as The Wall Street Journal, New York Times, and USA Today are all concerned over the on-going decline of retail giant, J.C. Penney (JCP). The latest bad news for the once prosperous retailer is that dwindling sales are forcing it to slash 2,000 jobs and close 33 stores. JCP executives are blaming this latest step backwards on three factors: 1) The ill-advised business strategies of former CEO, Ron Johnson—particularly his decision to replace periodic mega-sales with what he called “everyday low prices,” 2) a persistently shaky economy, and 3) the growth of on-line shopping.
While there is no question that the three reasons given by JCP executives for the company’s continued decline are valid, there is an additional reason that is going unstated. In fact, it is being treated like the elephant in the board room that JCP executives are simply ignoring.
That elephant in the board room is the serious damage done to JCP’s corporate image in the eyes of its middle-class customer base when former CEO Michael Francis decided to turn JCP’s nationwide marketing campaign for Mother’s Day and Father’s Day into a campaign on behalf of the same-sex marriage movement.
JCP’s pro-homosexual marketing campaign was a slap in the face of many loyal JCP customers whose worldviews are anything but pro-same-sex marriage. It was at this point that JCP’s problems began in earnest.
Although the tepid economy, on-line shopping, and strategic missteps of Ron Johnson have played major roles in the decline of JCP, ignoring the values of a substantial portion of its customer base has also been a factor in the decline.
When former CEO Michael Francis decided to make a statement about same-sex marriage and use the prestige of JCP to give his statement validity, he failed to anticipate the unintended consequences of his actions, actions that cost JCP investors millions of dollars and threatened to drive the company into bankruptcy.
In deciding to build a marketing campaign around the homosexual agenda, Francis must have thought, “With the support and approval of the mainstream media, how can I go wrong?” He can be forgiven for thinking that having the assistance of the mainstream media would be enough to ensure success in his effort to make a positive statement about same-sex marriage.
After all, hadn’t same-sex marriage advocates established a successful track record of using the mainstream media to bludgeon opponents into supporting their agenda or at least not opposing it? Perhaps the mainstream media would have a similar level of influence on JCP’s customer base.
If this was the assumption of Michael Francis, he misjudged both his customers and the effect of the mainstream media has on them. He hired comedienne Ellen DeGeneris, a homosexual and same-sex marriage advocate, as the company’s national spokesperson.
On Mother’s Day 2011, JCP shocked its customer base—many of whom still hold to traditional American values—with an intentionally provocative, same-sex marriage ad featuring a family with two “moms.” Then in spite of a tidal wave of protests from customers, the retail giant obstinately ran a similar ad on Father’s Day featuring a family with two “dads.” Francis quickly learned what happens when businesses ignore sound business practices in favor of political ideology.
Customer response to JCP’s in-your-face endorsement of same-sex marriage was hard for even the most ardent supporters of the issue to ignore. Following the controversial ads, the company posted a $163 million loss, saw its stock price drop by 8.8 percent, and endured a 10 percent decline in customer traffic.
CEO Michael Francis was fired for ignoring a rule retailers learn in Business 101: Know your customer. JCP has always appealed to a fairly conservative, middle-American customer base. The store was founded on traditional America values, and a substantial portion of its customers still subscribe to those values. When JCP walked away from its founding values, customers who still subscribe to those values walked away from JCP.
New CEO, Ron Johnson, was brought in to fix the problem, but he quickly learned that his predecessor’s misguided support of same-sex marriage had left him with a larger than expected mountain to climb. Another truth that every business leader must understand—and apparently Ron Johnson didn’t—is that when a business gets at odds with its customers, the disgruntled customers talk to friends and they, in turn, talk to friends and soon the “piling-on effect” comes into play.
Ron Johnson did nothing to repair the damage done to JCP’s corporate image by the same-sex marriage marketing campaign that was the brain child of his predecessor. Now, he too is gone. But JCP executives still have not learned from the ill-fated experience of their two former CEOs. If the retail giant continues to ignore the elephant in the living room created by Francis, it problems will just continue and so will its decline.
Read the rest of this Patriot Update article here: http://patriotupdate.com/articles/j-c-penneys-decline-going-unsaid/#62dkbK8kixPJzITO.99