Topic > Swot Of Home Depot - 952

IntroductionHome Depot is a nationally and somewhat internationally recognized company. Not only do they have stores in the United States, but they have also made inroads into Canada, the District of Columbia, Puerto Rico, and Mexico. They are the largest retailer in the United States behind Wal-Mart. Home Depot is known for its bright orange logo and its multiple departments available to individuals and businesses. They have primary operations in the home center and hardware store industries. The strongest competition in this space comes from Lowe's, True Value Hardware, and Ace Hardware. Some other industries where you may find Home Depot competing include building materials retail and distribution, consumer electronics and appliance retail, convenience stores and truck stops, and gasoline retailers. The areas driving demand for Home Depot's primary industry are home remodeling and new home construction. Products included in this industry include lumber and building materials (50%), hardware, tools, plumbing and electrical supplies (25%), and paint and lawn and garden products (5%) (Hoovers, 2008). The home center and hardware store industry consists of national and regional chains and independent retailers. Strengths • Brand recognition • Employee safety training • Corporate/social responsibility Home Depot, as an established company, has a lot of strength behind its name. One of the biggest strengths would be brand recognition. Home Depot is known throughout the United States as a home improvement/supply store. Smaller emerging businesses would have difficulty entering such a market by competing with stores like Home Depot or Lowe's. Brand recognition is of great importance to the consumer. It provides a sense of trust to the buyer. Their well-known logo that attracts attention due to its bright orange color and warehouse-like stores helps consumers recognize the brand. Home Depot provides a strong focus when training its employees on safety. New hires complete a training course designed for their specific type of work. They also provide “refresher” opportunities for employees on workplace safety. Home Depot encourages open discussion about potential workplace hazards so they can be corrected in a timely manner. If employees are educated about safety in their work environment, their consumers will also be safe within the work area. Home Depot takes great pride in being a corporate and socially responsible company. According to Home Depot's main website, they are built on the principle of creating value for their shareholders while at the same time not forgetting their own values.