Analyzing the Impact of Government Action on Macy's Business

This report provides a comprehensive analysis of the impact of government actions and policies on Macy's Retail Store. It examines the company's business profile, including its mission, market position, and challenges from competitors. The report delves into the specific government actions affecting Macy's, such as changes in business policies, increased governance, and legal compliance requirements, and assesses their implications on the company's operations, finances, and strategic planning. It further explores the organizational structure, stakeholders, and current business environment, highlighting the need for Macy's to adapt to evolving market conditions and government regulations. The report concludes with recommendations for Macy's to develop strong strategic policies, leverage technology, and manage financial risks to maintain sustainability and competitiveness in the retail industry.

[TYPE THE COMPANY NAME]
IMPACT OF GOVERNMENT ACTION ON
THE MACY’S RETAIL STORE
Business action based on the government
policies
Name of the author-

Table of Contents
Introduction.................................................................................................................................................2
Business profile overview............................................................................................................................2
Macy’s incorporation...............................................................................................................................2
Overview of the organizational team and employes..................................................................................4
Stakeholders................................................................................................................................................4
Current Environment:..................................................................................................................................6
Conclusion...................................................................................................................................................6
References...................................................................................................................................................7

Introduction
This report is revealing the key challenges and actions which needs to be taken by
business organization named Macy’s Retail store against the action and government policies
framed by the government. This report will envisage upon the impact of the government action,
political challenges on the business situation and its operations. This report divulges the
government action, organization and team members, stakeholders and current environment
which are interrelated to each other’s and should be evaluated by company before formulating
the strategic policies and business frameworks. In this report, the main focus has been made on
detailed overview of your company as well as the government action that is it facing addressing
the several factors such as government action, organization and team members, stakeholders and
current environment. It will help in identifying the business sustainability and environmental and
economic challenges faced by Macy’s Retail store in business market (Walters, 2018).
Business profile overview
Macy’s incorporation
It is an international software app company which is globally offering an application tool which
ease online retailing activities. It strengthen the online business platform which will help in
grabbing potential clients of Macy’s company. This newly developed app plays pivotal role in
strengthen the business output and grabbing more clients in market. The Macstyle App has
focused on product differentiation strategy in market which will help company to develop and
innovate new technologies and system process. This company has focused on using the advance
technologies and system process to strengthen the business outcomes and effectively increasing
the overall market share on international level (Walters, 2018).
Mission
The main mission of Company is to develop an online dashboard mechanism in business
to use and access unique online mechanism for clients so that it could strengthen their
satisfaction level. It is focusing on developing advance technologies Hi-tech features in its
business to grab more clients in market. 22% market share and increased the number of clients
by 3% since last year. In addition to this, growing number of the mobile phones and use of

advance technologies have enables clients to access the online market more effectively..
However, Macy’s has been facing tough competition from several rivals named as ; JCPenney’s,
Nordstrom, and Saks.
Macy has faced loss of AUD 1451 million for pension plans and rest of the amount of 261
million have been done to supplementary retirement plans. Company has been facing high loss in
its business due to the increased business loss and it could be mitigated only when company
strengthen its business policies and program as per the changed government action plans for the
industry (Lisa Fu, 2018).
Overview: Governmental Action
With the ramified economic changes, government has changed the business policies and program
which may have positive and negative impact on the business functioning of the Macy App. The
sudden changes in the business policies and increased governance mechanism have resulted to
forced closure of the business outlets. In addition to this, strict corporate governance, has also
resulted to failure to comply with the applicable domestic and international laws. It has also
increased the penalties. The stock turnover program have also increased due to strengthen legal
compliance (Marcy’s, 2017). Government has changed the policies and forced company to set up
a legal department to comply with the listing and legal compliance. In addition to this, legal
rights renewals for patents, trade market and loyalty card program need also to be renewed by
company as per the newly introduced legal compliance program of the government. It is
analyzed that government has also passed legal policies related to the listing agreements which
also need to be followed by company. for instance, if company wants to implement particular
change in business then it will have to pass resolution and take the consent from the
stakeholders. The government has changed its business policies and traits which is promoted
with a view to increase the government treasure. The main issue in this is related to higher cash
outflow from its business functioning which company will have to face due to the changes in its
business policies. Furthermore, political changes may also negatively impact the business
strategic plans. It is analyzed that if company fails to analyze these changing political factors
then it might negatively impact the strategic alliance of company undertaken with other
organizations (Walter. 2018). The government action is designed with a view to promote the
stakeholders for investment and saving them from the business possible risk in market.

Government issued more treasury bonds in market to attract investors for the risk free securities
where they could earn more return on their invested capital. This could easily help investors to
create value on the investment. It also impacted the return on capital employed of company in
long run (Davis, Yue, & Davis, 2017).
Overview of the organizational team and employs
There are several employs and staff members who are indulged in creating the value of the
business. Company has several departments and all the department is handled by the line
managers who takes all the imperative decisions. There are 10 team members in one team who
are assigned particular project and the same is supervised by the team leader. In addition to this ,
with the consistent changes in the legal compliance and rules, company has set up legal
compliance department in which 12 employees from the law field are indulged in indenting the
applicable laws and regulations which company needs to comply. Nonetheless, it will increase
the costing of the Macy’s Retail store by 1.5% at least but eventually strengthen the business
sustainability in long run (Wolinsky, Wolinsky, & Wolinsky, 2015). Company has also arranged
the matrix project team members who are indulged in undertaking expert projects. It will not
only help company to strengthen the business strategic program to create value on its
investment. Government has also made mandatory for companies to comply with the data
privacy acts and other legal laws to strengthen the legal compliance which have resulted to
setting up another legal department which will set up harmonization in its domestic and
international regulatory compliance program. Macy has been accompanied with the several
employees and staff members who are indulged in the functional and strategic work of the
organization. The CEO of company is making efforts to set up different set departments and
team members who are indulged in taking the imperative decisions. It is analyzed that employees
are also focusing on creating innovative business functioning so that company could create core
competency in market (Tokosh, 2018).
Stakeholders
Jeff Gennette has been with the Macy for its sustainable business m. there are several internal
and external stakeholders who have been impacting the business since very long time.
Shareholders, employees, promoters and other legal staff members would be the internal

stakeholders who directly and indirectly affected by the business functioning of organization
(Walters, 2018). However, they are highly responsible for the business growth and its sustainable
business practice in long run. In addition to this, core competency of the Macy in market is
developed by employees and staff members of the organization. It is analyzed that the sales of
the company has increased by 3.6% since last year which is good indicator for its business
growth. In addition to this, overall costing of the business have been gone down which have
eventually increased the return on capital employed (Darden, & Babin, 2015).
On the other hand, the return on capital employed has also increased due to the low costing of
the business. It is further observed that there are other external stakeholders such as government,
strategic alliance company, suppliers, transportation activity holders and social media partners
who are connected with the Myer for its business activities. These persons are directly and
indirectly into the business activities to achieve the set objectives and goals in short term and
long run of Macy’s Retail store. The business is highly depend upon the quality of the work
function of employees and support from the external stakeholders. If company could establish
harmonization between the need of the internal stakeholders with the external stakeholders then
it could easily strengthen the business output in effective manner (Mortimer, & Grimmer, 2018).
As per the data given by Jeff Gennette, Macy’s Retail store offers customers oriented services
and focus on satisfying clients for their activities and actions. Currently all the external and
internal stakeholders are focusing on making Macy’s Retail store more technologies oriented and
promoting organization in virtual world more. It will be helpful in competing with the rivals in
market with the developed advance technologies and system process. This will be the most
effective strategy of the Macy’s Retail store to compete with the challenges and changes of the
government in market. Therefore, it could be inferred that the main action taken by the
stakeholders towards the changes of the government is related to the advance technologies and
system process. All the challenges of the government changes will be mitigated by using the
advance technologies and system process. In addition to this, setting up legal department in
Macy’s Retail store will also be used as medium to set up harmonization in its domestic and
international reporting frameworks which could add value to the organizational objectives and
goals in effective manner (Akturk, Ketzenberg, & Heim, 2018).

Current Environment:
The current business environment of the company is challenging and demand company to
strengthen the business functioning to create core competency in market. It is analyzed that
company should focus on creating core competency in market by focusing on developing the
advance technologies and system process in market. It is analyzed that Macy’s Retail store has
also faced issue due to its high debt funding in its business. It is considered that company has
kept 42% debt funding in its business which will also increase the financial risk of the business as well.
This may negatively impact the business when company fails to cover its interest payment from
the earnings before interest and tax. In addition to this, financial crises, strict regulatory
compliance and high completion in market are also the major factors for its business destruction
in long run. Macy’s Retail store could easily mitigate these issues by entering into the strategic
alliance for its marketing and production activities so that it could reduce its cost of its business
process and also attract more clients through virtual world (Duffy, & Hynes, 2016). The initial
reaction of company to mitigate the risk arise from this issue was related to issue of more capital
in market and increasing the overall profitability. This made company to cover its interest
payment. However, the profitability of company is based on the increased turnover which is
supported by the advance technologies and process in organization.
Conclusion
After assessing all the details and key points on the internal and external factors of Macy’s Retail
store, it could be inferred that company needs to develop strong strategic policies and program to
compete with the government action plans in market. However, it has to lower down the
financial debt in its business as if it wants to strengthen its business in this ramified business
factors. Now in the end, it could be concluded that company could use the advance technologies
and financial strategic planning to compete with the sluggish market condition in market. It will
help company to strengthen the sustainability in market. The government action is designed with
a view to promote the stakeholders for investment and saving them from the business possible
risk in market. Therefore, company has focused on customizing its business process as per the
client’s needs and demand in market.

References
Lisa Fu (2018) Macy's has figured out the formula to survive the retail apocalypse (M) [Online]
Retrieved from https://markets.businessinsider.com/news/stocks/macys-formula-to-
survive-retail-apocalypse-2018-5-1024738837
Macy’s (2017) macy’s, inc. retrieved from announces actions to streamline store portfolio,
intensify cost efficiency efforts and execute real estate strategy http://phx.corporate-
ir.net/External.File?
t=2&item=g7rqBLVLuv81UAmrh20Mp55v+jGibw1L7JgzDHFA4NN3hPybrQN5q1DU
vHd9XRSehdshMQ9z97WPo7BH9kkaWA==&cb=636382767159070243
Walter. L., (2018) Why The New Challenges Of Macy's Create New Questions [Online]
Retrieved from https://www.forbes.com/sites/walterloeb/2017/06/12/why-macys-new-
challenges-create-new-questions/#697f55c43f94
Davis, L., Yue, H., & Davis, D. (2017). Shopping orientation, store attributes, and apparel retail
format preference.47(6), 536-556.
Wolinsky, J., Wolinsky, R. I., & Wolinsky, S. W. (2015). U.S. Patent Application No.
14/444,773.
Tokosh, J. (2018). Is the Macy's in my mall going to close? Uncovering the factors associated
with the closures of Macy's, Sears, and JC Penney stores. Growth and Change. 4(6), 66-
81.
Walters, K. (2018). Hard Sell: Work and Resistance in Retail Chains by Ikeler P. 47(6), 536-556.
Darden, W. R., & Babin, B. J. (2015). Service Orientation and Ancillary Service Perceptions.
In Proceedings of the 1990 Academy of Marketing Science (AMS) Annual Conference(pp.
411-414). Springer, Cham.
Mortimer, G., & Grimmer, L. (2018). Location and voice technology are the future of retail. The
Conversation, (11).

Akturk, M. S., Ketzenberg, M., & Heim, G. R. (2018). Assessing impacts of introducing ship-to-
store service on sales and returns in omnichannel retailing: A data analytics
study. Journal of Operations Management, 61, 15-45.
Duffy, J. F., & Hynes, R. (2016). Statutory Domain and the Commercial Law of Intellectual
Property. Va. L. Rev., 102, 1.