Oye Vey

As I mentioned a few days ago on FB, January is a boring time in retail. Well I spoke too soon, as stores magazines website just announced that Sears has placed a bid to buy the very successful (sans ruffles) J.Crew. I had to re look and re look at the posting before I nearly fell off my seat.
How can J Crew even consider the bid, SEARS, hardware, appliances, electronics but never cashmere sweaters made in Italy with beading ad grommets.
I ask what has this industry come to... An end I say a drastic end.
I am all for the big guy helping the little guy out, but in this case it's role reversal. Sears is by no means the little guy, but when it come to brand equity on the scale of things J Crew definitely has them beat out. So is Sears making an offer to build a better image for themselves. Could be! but it won't work. Sears already has brand recognition, hardware, a man's man store, a store to go to if you need a refrigerator or air conditioner or even a lawn tractor. But not a 200 or 300 hundred dollar outfit.
I truly hope that JCrew pushes that offer aside and says "thank you, we're flattered that your thinking of putting on your trophy shelve along with KMart, but no thank you!

And then the point can be made, well why hasn't any other reputable company come knocking on the doors of J Crew? Good question. But I think I know the answer... MICKEY and again not the mouse. I bet he still wants to have the majority of control, and well we know how that all works out when you have two kings trying to run a country. One goes to the guillotine and very quickly. And I have a feeling ti won't be Mickey. He has clout, what he touches turns to gold..
But with J Crew up for sale what does that mean...why are they up for sale, they are doing well, product has quality, design well depends(ruffles you know), talent, well yes they have that in design, merchandising (sales, well except for previous students, it;s questionable)
This may take some investigating and I am all for that.

So what's next:
Kohls running Hermes
Walmart running LVMH
Ocean State Job Lot running Macy's (well OK)
it's reversal of brand equity. Lower level company's trying to buy high level company's to build their portfolio's. Maybe it would work!

No, I don't think so!