Nordstrom Case Study

guest Service at Nordstrom and Potential Conflicts Case Study Vanessa E. Rivera Saint Leo University Customer Service at Nordstrom and Potential Conflicts Case Study With 50,000 employees and 170 stores through out(p) the United States Nordstrom is a major(ip) player in the luxury goods department. Founded before as a app argonl store by John W. Nordstrom and Carl Wallin, Nordstrom became the largest self-governing shoe chain in the United States. By 1960, Nordstrom decided to discharge the c messinesshing arena by purchasing Best Apparel, and come tod to protract it markets through the acquisition of other luxury goods.Nordstroms continued addition and success stem from their craft philosophy based on special service, selection, quality and take to be (About Nordstrom, 2011). Today Nordstrom has grown from one downtown Seattle shoe store into a nationwide fashion specialty chain with noneworthy services, generous size ranges and a selection of the finest apparel, shoes , and accessories for the entire family (About Nordstrom, 2011). For over coke years, the focus continues to be the same catering to client needs, individually. Nordstroms business philosophy could not be achieved without its exceptional employees.Nordstrom has an smooth record in the advancement of women and minorities. In their commitment to diversity they cultivate an environment where the contributions of all(prenominal) employee, customer and vendorare respected (Nordstrom Cares, 2011). Their focus on caring for their people even goes to creating a closelyness program. The wellness program knowing to help employees focus on bring out eating, better living, and a better sense of balance. Their wellness program provides support through on-site health screening, coaching, and online resources. Nordstrom employeesare treatedas a part of a family.It is no wonder why Nordstrom continues to be voted Forbes 100 Best Companies to piss for. Their empowering of the employees is what stimulates the excellent customer service they provide. Their reverted pyramid is a re entry of their philosophy and structure. At the top, of the pyramid are their customers, followed by sales and support people. In the midriff are the department managers followed by the merchandising group, store managers, and regional managers. At the bottom, of the pyramid is where you will find the executive team and board of directors (Nordstrom Our Structure, 2011).Nordstromsoutstandingefforts have helped steer this luxury retailer from the economic problems in 2008 and 2009. The 2010 annual report card shows an increase in net sales, internet before income and taxes, net earnings, earning per basic share, earning per diluted share, and cash dividend paid per share. To be specific, net sales for 2010 have increased by 12. 7% from determination year and net earnings have increased by 39%. Nordstrom came out of the Great Depression and will continue to come out of the many financial cri ses they encounter because of their undertake to dealing with customers.The implications of their philosophies can be seen in their annual report. In times of recession were customers choose to sink their money wisely, they choose to spend it in a place were their discoveris maximized. Nordstrom knowsitsnot the price but the customer service that gains and retains trusty customers that generate strong profits (Nelson & Quick, 2011). Conflict is any situation in which incompatible goals, attitudes, emotions, or behaviors lead to disagreement op opposition for two or more than parties (Nelson & Quick, 2011). Dealing with dissatisfied customers can be a commodious source of conflict for retailers.Conflict can be considered as a breakdown in the standard mechanism of decision making, so that an individual or group experiences difficulty in selecting an alternative (Rahim, 2000). Given Nordstroms approach to customer service and customer relationships the breakdown causing difficu lties does not occur. They diffuse conflict situations by choosing to take the blame or outcome of proof a focusing from the customer. Their ability to deliver happy customers has led them to continue for over 100 years through the various ups and downs of the economy. One of the major problems affecting Retailers with their success is customer satisfaction. Retailers know that satisfied customers are liege customers (Ahmad, 2009). Nordstroms approach to customer service and customer relationship vigilanceis intendedto build relationships that result in customers returning to make more purchases. Nordstrom seeks to enhance customer relationships by carrying the right products that satisfy client needs, their presentation of goods generate interest in their clients, and their ability to provide extraordinary customer service been proven to be appropriate with the release of their 2010 annual report.Customers are the most important assets of a company, therefore, the competitive le adership goes to those companies that are customer-oriented. Customers are increasingly demanding unique, individualized buying experiences that enhance existing relationships as well as provide fresh, exciting sources of value (Ross, 2008). Customers today perceive value arising from their experience they receive to be greater than the actual goods they acquire. Nordstroms approach to customer service and customer relationship management allows Nordstrom to continue to be a competitive giant in the retailer industry. One way of classifying trends of conflict management styles is to examine the styles assertiveness (the extent to which you want your goals met) and the amenableness (the extent to which you want to see the other partys advert met) (Nelson & Quick, 2011). Nordstroms management culture states, healthy competition is good (Nordstrom Cares, 2011). Competing is a style that is assertive in nature and usually uncooperative. This is not the role with Nordstrom. Managemen t encourages winning through a team environment.Competition in small doses is stimulating competition encourages people to go above and beyond to meet their goals. The key to Nordstrom competing style is that they do not achieve their goals at the expense of others. They recognize outstanding performance but value liberality above all. We still believe the golden rule has a lot of merit Treat others asyoudlike to be treated. We work hard to offer great service to each and every customer and we believe great service begins with courtesy to everyone, customers and coworkers alike (Nordstrom Cares, 2011).Their style similarly reflects collaboration. Nordstrom works towards collaboration arriving at a solution that is satisfactory to two their customers and employees. Their focus is providing customers with the best possible service. They meet client needs and man doing so accomplish their desire of excellent customer service. It is a win-win style for the organization and the clien t. Nordstrom also approaches customer relationship management through pliable. In a compromising style, both parties are equally powerful. A compromising styleis used for avoiding protracted conflict (Rahim, 2000).