Thread regarding Sears layoffs

WSJ article from 2018 (linked through archive.org due to paywall)

https://web.archive.org/web/20200121105509/https://www.wsj.com/articles/how-sears-lost-the-american-shopper-11552647601

"Arthur Martinez: I came to the conclusion that we couldn’t do two jobs, fixing the catalog and fixing the stores. The catalog was the easy choice to be sacrificed.

After a very anguished debate, the board came to agree with me. The hard part was that 50,000 people lost their jobs.

Michael Ryan: That was eye-opening for everyone. We had antiquated distribution centers and the catalog was too expensive to print and we just closed it versus trying to fix it. It was a turning point".

"Frank DeSantis: Sears was the Amazon of its day. It sold everything for everybody. The catalog was the precursor to the internet. It gave access to everything in the store to people around the country. Over the course of 100-plus years, Sears had accumulated a wealth of customer shopping data.

Sears had anticipated the changing trends of retailing so many times in the past. But it missed the biggest change in recent history, the shift to online shopping.

Arthur Martinez: We closed the catalog in 1993. The internet hadn’t been created yet. We had to focus on the mother lode, which were the roughly 900 full-line stores.

In 1999 we started paying attention to the internet. And we did it much sooner than anyone else in the business. We already had the infrastructure to deliver appliances to people from a warehouse. So we launched sears.com with the appliance business.

Eddie Lampert talked about spending a lot of money, but he didn’t build much of an online business".

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Post ID: @OP+1bbRzCUg

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Good article. Although nobody would have realized it at the time, the right move would have been to keep the catalog and transition it to the internet in the late 90s.

@iff+1bbRzCUg You obviously were not alive in 1993. Yes, the internet technically existed, but most people did not use it. We bought our first computer at Sears in the early 90s and had Prodigy (which Sears partly owned and marketed in its stores). Prodigy was not the internet as you know it today (and neither was AOL), you couldn't just type in a website address. Buying things on the internet was almost unheard of until the early/mid-2000s.

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Post ID: @8loi+1bbRzCUg

Al Gore said he created the Internet. Trinex was created by Sears, IBM AND CBS. IBM deployed it via CICS transactions. Now there was some Big Blue forward thinking!!!!

Prodigy was left in the dust by AOL. AOL was left in the dust by TheLayoff.com. It is here that the cream of the crop comes to wallow and await the latest Elevator Video.

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Post ID: @luu+1bbRzCUg

Arthur "Axe from Sacks" Martinez is either bluffing here or is/was completely out of touch (together with most of the Sears board back in the day).
The "Internet", was "created" by both Sears and IBM in February of 1984, and it was called then "Trintex (later - Prodigy)":
https://www.nytimes.com/1996/05/08/business/sears-ibm-near-a-deal-to-sell-prodigy.html
(Sears did not get out of their proto-Internet business until May of 1996, after investing closer to $1 billion in it, then selling their share for $100 millions - what an unfortunate timing!).

Blind leading blind, indeed!

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Post ID: @iff+1bbRzCUg

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