Toys 'R' Us

Strength

Toys 'R' Us are known for being the leading retailer for children's toys and games. The company has a big reputation as an authority on toys and baby products. The company has 1500 superstores in the United States and Worldwide. It also owns the baby brand, Babies R Us, which also adds another 200 + stores. The company offers an assortment of 11,000 individual toy items throughout the year. Toys 'R' Us also markets successfully on the web, it has a huge distribution network that benefits from advanced logistical systems. Toys 'R' Us sells many different ranges. There are benefits and disadvantages to this. However, the company has a portfolio of products, which means while some products are under performing other are performing. The company is very successful and they will focus upon them as they have a competitive strength.

Weakness

Toys 'R' Us has no single or competitive advantage, other then their brand. In the U.S, the company has lost it's number of positions as toy retailer to Wal-Mart. But as well as being large enough, customer can go to another large retailer and buy the same and similar goods, and also sometimes getting a better deal. It is also said that Toys 'R' Us is considered getting out of the toy business after being hit by competition with Wal-Mart. Customers have increasingly turned to Wal-Mart and other low-cost superstore chains. They have faced new, lower priced competition form Wal-Mart and other regional and national discount chains. Toys 'R' Us then responded by lowering its own prices and improving the presentation of the toys in the stores.