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In 2009, Company’s profit is down 49%. Full-year revenue for 2009 dipped 8% to $71.29 billion from $77.35 billion, while same-store sales slid 8.7%. From 2000 to 2006 research demonstrates Lowe’s growth in net income was 120% higher than its much larger competitor Home Depot. Furthermore, this period where Home depot was under CEO Nardelli, stock value dropped 8% while Lowe’s soared approximately 180%.[2]
These problems seem to have begun with Nardelli’s take over as CEO in 2000. Nardelli reversed Home depot’s strong attention to customer service. He implemented an autocratic, military like organizational culture that was completely different to the decentralized, high autonomy, and customer orientated culture formed by the founders Bernie Marcus and Arthur Blank...
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