Evaluate two (2) key changes in JC Penney's management style from the company's inception to the present day. Indicate whether or not you believe the company is being managed well today. Provide support for your position. James Cash Penney began his business empire in 1902, opening his first store called Golden Rule in Kemmerer, Wyoming. It provided dry goods such as work clothes, fabrics, and sewing supplies to coal miners and their families. His business philosophy was to hire good employees, train them well, and sell a good quality product at a low price to keep prices low (McInnis, n.d.). He and the company have followed this philosophy for over 40 years, growing from one store to over 2,000. He believed that customer service was the most important aspect of a successful business and focused his efforts on trying to improve the customer experience. He also believed in having his managers and an employee invest in the company by offering an ownership stake in the stores and was one of the first companies to offer stock options to regular employees. Today, under current management, the company has moved away from JC Penney's philosophy and the company has suffered as a result. The problems began before Ron Johnson was hired as the new CEO in 2012. JC Penney's had become just another retailer raising prices, only to then reduce them to attract customers. Only 0.02% of all products sold by JC Penney in 2011 were sold at full price (Guinto, 2013). This is contrary to JC Penney's philosophy of providing a quality product with a small margin. Ron Johnson was brought in to try to reinvigorate the company. It tried to get back to the basic premise of offering good quality products at a reasonable price... middle of the paper... because JC Penney went back to its roots of providing their core customer base with the products they offered. wish. A key change in management structure that can be helpful in meeting changing customer needs and the changing market environment is the elevation of the marketing department in the decision-making process so that the company can identify the customer it wants to sell to and replenish the shop accordingly. If JC Penney's wants to win back its core customers, it needs to listen to them and provide good quality products at a reasonable price and not try to be a high-end boutique department store. If it wants to be a high-end department store, then it needs to develop a marketing plan that supports that direction. In any case, the marketing department must be significantly involved in charting the company's course.