Hi, need to submit a 1750 words paper on the topic Woolworth Takeover: David Jones. Dividends payout also has decreased significantly indicating on worsening financial position of the company (David Jones Ltd. 2013). In spring 2014 the company has announced the takeover proposal to acquire all issued David Jones shares at A$4.00 cash per share by Woolworths Holdings Limited (Chairmans Letter to Shareholders – WHL Proposal, 2014). In July 2014, there appeared public information that the takeover has been completed.
The purpose of this report is to analyze the critical response of David Jones Ltd. to the issue of its takeover by Woolworth with a particular focus made on the attributes of factors that influence and/or characterize the communication process in the organization. Based on the findings of both primary and secondary research there will be provided recommendations on how the communication process of the company could be improved.
David Jones was first established in 1838 by Mr. David Jones a Welsh merchant who aimed to sell the best and most exclusive goods’(David Jones Limited 2014). Since its beginnings as a small store on George Street in Sydney, David Jones has grown to include 35 stores across Australia as well as two warehouse outlets and David Jones Online. The department store offers customers a range of Australian and international labels of clothing, accessories, cosmetics, home furnishings, and technology. David Jones also offers customers’ luxury services such as gourmet food baskets, fresh floral arrangements, in-store hair, and beauty salons as well as personal fashion consultants. In 2008 David Jones further diversified its product range by establishing a partnership with American Express. This partnership aimed to bring David Jones further into the financial products market by creating the David Jones American Express card.
From 2009 onwards David Jones began to experience the impact of the global financial crisis as sales began to decrease. The national decline in consumer confidence combined with the departure of CEO Mark McInnes on the back of sexual harassment claims in 2010 placed David Jones in a challenging position. Following Mark McInnes’s departure, Paul Zahra was appointed as CEO. As the new leader, he restructured the business and improved the presence of David Jones online.