Introduction

Whether you own your home or rent, chances are that at some point you will find yourself looking for something that will lead you to one of these two retail giants. The home improvement industry has evolved from small regional and locally owned hardware stores to these superstores. The top two in the industry are Home Depot and Lowe’s. Each has their eye on moving into international markets, each has superstores in all 50 states and each has evolved along different paths to reach their current positions. According to Fortune 500 Home Depot, Inc. is ranked at #25 and the second largest retailer in the US after Wal-Mart. Home Depot Inc. has its corporate headquarters in Atlanta Georgia. What began in 1979 as two 60,000-foot stores that resembled warehouses has grown to about 2,200 stores across North America, Puerto Rico, and China. Home Depot Inc. is publicly traded on the New York Stock Exchange as NYSE:HD. At the end of 2008 Home Depot Inc. employed 331,000 people. Home Depot sales recorded and posted in 2009 are $71,288.0 mil. Home Depot Inc. is the number one home improvement retailer with Lowe’s coming in second place with sales posted in 2009 at $48, 230.0 mil.. Founded in 1946 Lowe’s went from a small hardware store to the ninth largest retailer in the US. Lowe’s went public in 1961 and began trading on the New York Stock Exchange as NYSE:LOW in 1979. According to Fortune 500 Lowe’s Companies, Inc. is ranked at #47. Lowe’s Companies, Inc. are headquartered in Mooresville North Carolina. Lowe’s competes with Home Depot, Inc. (home improvement) and Sears (appliances) they are second to both. Lowe’s currently has 1640 superstores in the U.S. and another dozen stores in Canada. Lowe’s also plans to open stores in Mexico in 2009. Lowe’s has not moved as aggressively in foreign markets as Home Depot. At the end of 2008 Lowe’s employed 216,000 people. As the economy tightens Home Depot, Inc. and Lowe’s Companies, Inc. are both vying for the business of the do-it-yourself, weekend warrior of home improvement as well as professional contractors. While Home Depot carries appliances, Lowe’s has chosen to focus on appliances as a major portion of their business positioning. Both companies carry an inventory of about 40,000 items in their superstores that encompass lumber, flooring, plumbing, gardening supplies, tools, paint, and appliances as well as   carpeting, cabinetry, and other installation services. Lowe’s places its focus on lowest prices and superior customer service. Home Depot rewards superior customer service through awards and compensation. As both of these giants compete for business customers are enjoying “low price guarantees”(Home Depot, Inc.) and “lowe’st prices guaranteed plus 10%” (Lowe’s Companies, Inc.) as each moves to increase customer shares of the marketplace. Home Depot, Inc. and Lowe’s Companies, Inc. have different employee benefit structures. Home Depot, Inc. has less full time employees that the 75% that make up Lowe’s workforce. Home Depot, Inc. prides itself on offering the most competitive pay and benefits for its full and part time employees these include some non-traditional benefits as well as savings plans and employee stock purchase plans. Lowe’s offers benefits for its full and part time employees but describes these as comprehensive and these are less publicized and much less detailed that those benefits offered by Home Depot. Both companies are looking for associates to work in the stores that have experience and knowledge; each company has cross over employees that have worked for the competitor.