Ryan and Ann Chern CaseEXECUTIVE SUMMARYChern’s is an upscale shoe and handbag company founded by Ryan and Ann Chern. Twenty years ago both of these siblings graduated with their MBAs and started working for different retail organizations. It was during this time that they spent it learning about the industry. Five years later, the two started the company Chern’s and quickly made it into a full scale clothing retailer.
Two years later, Chern’s decides to utilize an aggressive growth strategy. Today the company currently operates 140 stores in 28 states with an average of 19,000 full and part-time employees. Its main business strategy is providing superior customer service. The products that they sell are high quality products. But being that customer’s tastes can vary from region to region, Chern’s has allowed decentralization. This in turn has allowed store managers to hire according to their needs in their particular region. Chern’s has a strong and unique culture in which its belief is to hire good people. They try to identify and select the right people, train them, and give them the tools and autonomy to succeed.
Risky and successful businesses can grow by focusing on a few things. It’s a fact of life for the companies that build profitable businesses. When we don’t have employees, a company can move to smaller markets, where they can focus less on growth and more on business-building. But in that sense, a healthy business culture should be created. We need to understand that our employees are valued in our ecosystem, including our business, not by how much. It’s very important to us to know how much we are worth as human beings and to understand the value of our employees on our terms-and-condition.
This is where we have to think of that for a short time. As an example, our store, our company, was created by people who were passionate about our company. With that, we could have found some great things for our company in our store. But we created a very small space to create and manage a small business.
In its second year, the company successfully completed the business-sharing plan and our new CEO was there to take over for the newly promoted, great-grandmother. As they began meeting with their new CEO, we realized that this was a new business model. No longer would the store be run by outsiders, and the store manager should share his experience with us. We wanted to help make the store more welcoming to all users, especially if our new CEO had become a great owner at the same time. By becoming the store manager, our new CEO helped to provide our store with new functionality. That’s how we became our store from begin to end. The trust that once was set up by the owner made this a place that we have been able to grow and grow.
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For the last 3 months, we have been developing the core business concepts of our store, its social features, and new features for our third year. In May 2016 we started a Kickstarter to raise $1.9 million to complete the new business concept together with the existing business team at L’Oreal, and with the help of our existing customers and team of trusted advisors.
We’ve built our new stores through the core business models of our brand and the brand experiences we’ve captured. Since the launch of our current and new company, we’ve enjoyed growing our market share (and expanded our presence in the local markets and online). Both our partners and the community have been energized by this amazing new experience. We are committed to achieving the goals we set as we begin a new life as owner of the store.
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The new company offers full, unique access to our vast online library that is just a few clicks away from your favorite digital stores with the help of 100+ new stores across the web, e-commerce and e-mail. To find out more about L’Oreal, visit www.l’ovay.com.