Nordstrom History
...on how to run the business and Nordstrom was ready to leave. His son was very interested in the shoe business however. Wallin sold his part of the business to Nordstrom, who then sold his part to his two sons Everett and Elmer. Lloyd Nordstrom joined the business late in 1933. It is said that the brothers hired an acountant to figure out the value of the business. The accountant pronounced it worthless. The business continued to grow through World War II. Instead of leaving downtown like many retailers, Nordstrom opened stores in Portland and the world’s first shopping mall, Northgate Mall. In 1959 Nordsrtom opened its store on Fifth Avenue and Pike St. and it was named the largest shoe company in the nation. In the 1960’s with the shoe business thriving the brothers decided to buy a clothing company. They bought Best Apparel, a women’s fashion store in Seattle. The Nordstroms added juniors and sportswear to appeal to younger customers. A line of men’s suits and sportswear was added in 1966, the new shoe and clothing store was renamed Nordstrom Best. In 1966 two more stores were opened. In 1968 the brothers decided to retire and hand the company over to the third generation of Nordstroms. In 1971 Nordstrom went public and sold 426,00 shares at 24.50 per share. In 1973 Nordstrom sales passes the $100 million mark and it was recognized as the largest West Coast fashion store. That same year they changed the name to Nordstrom, Inc. Looking to expand the Nordstroms started to look for new locations to open stores. At first they were very hesitant to move south into California. With the help of executive Betsey Sanders the Nordstroms traveled to the grand opening in South Coast Plaza. Today this is one of Nordstrom’s best stores. By 1985 Nordstrom sales passed Sak’s Fifth Ave. and was named the largest full line fashion retailer in the country. Moving into the 90’s was hard for the fourth generation, which controls the company now. Throughout the 1990’s Nordstrom opened 32 stores across the nation. It was often seen as a jewel to some large shopping centers. Nordstrom’s success caused its stock to split six times between 1976 and 1998. While Nordstrom was growing nationally it still focused on catering to the customers individuals needs. Instead of categorizing departments by merchandise they began to create departments that fit individuals’ lifestyles. The company’s philosophy has remained unchanged since 1901: to offer the customer the best service, selection, quality and value. RECENT DEVELOPMENTS Five years after the fourth generation stepped in, poor earnings spurred more leadership changes. Jim Nordstrom left to pursue interests in technology. Bill Nordstrom wanted to give more time to family and gardening. Other family members were reassigned to vice president and general manager positions. Longtime Nordstrom employee Marty Wikstrom was named president of the full-line group, and Whitacre remained chief executive. Along with those changes came a new campaign that urged customers to be more daring and reinvent themselves. The people that were drawn in by the ads found that the tight jeans and tied dyed shirts were for a younger crowd and that older women were being pushed aside. From 1999 to 2000 Nordstrom stocks dropped significantly, shares in the company fell by half. Because of this the Nordstrom family members were put back into top leadership positions. As of 2001 Nordstrom stock began to go back up and the compan...