Prospective Employer: Canadian Tire For Trsm Students?

This will be done through a thorough research of the company’s health, values, weaknesses and strengths. I did my search using secondary sources. I visited Canadian Tire’s main website to gather information about the company as well as used resources from Ryerson library. I used IBIS World, Business Insights: Global and Informat websites to conduct my research on Canadian Tire.

Key Findings

Canadian Tire is the number one retail brand in Canada. It is a Canadian company which sells a variety of goods including automotive, hardware, sports, leisure and products for homes. The main purpose of Canadian Tire is to “excite and serve Canadian customers from coast to coast” (Canadian Tire, 2018). With 1,700 retail locations and many more underway, Canadian Tire is one of the biggest corporation in Canada. It has many subsidiaries from department stores to gas stations. Some include; Canadian Tire retail stores, Canadian Tire Financial Services, FGL Sports (Sport Chek, Hockey Experts, Sports Experts, National Sports, Intersport, Pro Hockey Life and Atmosphere), Mark’s, PartSource, Gas+, CT REIT (Canadian Tire, 2018).

Canadian tire has developed many new strategies over the years to become one of the best retail brand in Canada. Some strategies include: buying Helly Hansen brand and giving back to the community. One of the most well known sportswear and workwear brand Helly Hansen was bought by Canadian Tire Corporations in May 2018. This deal fortified Canadian Tire’s goal of selling sports goods and workwear to consumers. Due to Helly Hansen’s well known name and Canadian Tire’s capabilities, this deal will bring new opportunities for both companies to be successful. Sales and revenues went up for Canadian Tire after this deal which is a very good sign that the company is on the right track. Furthermore, Another great strategy Canadian Tire uses is that they give back to the community. As a Canadian brand they take pride in being Canadian and help fellow Canadian sports team, charities and funds local projects.

Some of the strengths it possess are; it sells a variety of different products and services. From sportswear to automotives, this company provides many different goods in one place. Also, it is the largest retailer in Canada and is very well known. It offers many promotional offers which are attractive to customers and it offers a points card which encourages customers to come back again, gaining their loyalty. Lastly, it has Canadian patriotism attached to it due to its name and because it serves only in Canada. These factors contribute to larger consumer base and therefore increasing company's profit. Along with strengths, the company does have some weaknesses. Since it is a Canadian brand, it is not well known internationally therefore revenue is limited compared to its competitors. As the economy changes, Canadian Tire raises its prices which may result in loss of consumers.

Canadian Tire has taken many initiatives towards sustainability and has given back to the community numerously. It has partnership with over Sixty Sport teams across Canada to provide them the very best attire to wear along with the required equipment. Furthermore, if locals have a project in mind, Canadian Tire provides funds to these organizations so they can start a new project and change Canada for the better. Moreover, It also runs a charity called Canadian Tire Jumpstart. The charity focuses on helping kids from families with financial problems get a chance at getting involved in sports. In order to be more sustainable, Canadian Tire has designed its store in a way so it’s Fifty percent more energy-efficient than years before. At their Bolton Distribution Centre, they use clean hydrogen energy in heavy equipment. Furthermore, It stationed North America’s first Sixty-foot container which increases volume per truck by Thirteen percent in order to reduce their carbon footprint. Also it offers refund on energy-efficient products. This results in low demand of electricity therefore avoiding nearly 800,000 tonnes of greenhouse gas emissions.To measure the company’s health, current ratio and quick ratio are used. The current ratio for Canadian Tire is 8,796/4,519 =1.95. This means that the company can easily pay off its debt since a 1:2 ratio is an ideal number. Moreover, the quick ratio for the company is 437+6343/4519= 1.5. This is also very healthy because quick ratio more than 1 indicates that the company is able to pay off short-term liabilities.

Conclusion

In conclusion, the company is very successful. Along with being financially stable, the company is also trying to be eco-friendly. It is trying to reduce its carbon footprint, reduce green gas emissions and producing less waste. Furthermore, after analyzing the company’s strengths and weaknesses, it’s clear that the strengths outweigh the weaknesses, making Canadian Tire Corporation a successful company. After measuring the company’s health, it depicts that the company is able to hold itself under pressure or during recession.

To conclude, I think the company is doing very well and is also benefiting the planet.

Recommendations

After inspecting CAnadian Tire’s financial position, values and commitment to community, i would recommend Canadian Tire as a prospective employer for TRSM graduates. The company is doing very well financially which means the company will expand over time making room for improvement for graduates. This is very beneficial to graduates because they can apply the skills learned at Ryerson to the job and get a chance to get promoted to higher positions in the company. Furthermore, Canadian Tire gives back to the community through charities, funds to local organizations and partnerships with sports team. This is very thoughtful since this makes good impression on customers, increasing consumer base and very good publicity for the company. Which overall increases company’s profit.

References:

1. Canadian Tire Corporation, Limited - Home. (n.d.). Retrieved from https://corp.canadiantire.ca/English/home/default.aspxInfomart
2. IBISWorld. (n.d.). Retrieved from http://clients1.ibisworld.ca.ezproxy.lib.ryerson.ca/?u=4z/C8RgXcdl2SRnZPj65ywrMCDKQspR1&p=6r9byvZHm61kTXoLnZw4ww