269:
45:
225:
426:
Korvette's decline and closure are variously attributed to inconsistent management, failure to focus on merchandise it knew (such as appliances), and ultimately attempting to compete directly with the department stores in areas such as fashion, despite having neither the expertise nor the right store
255:
The record and audio division became an important part of the profits of
Korvette's. In 1964, record sales reached $ 20,000,000 with David Rothfeld, merchandise manager for records, books and audio equipment described "as hard-hitting as the rest of the young driving force behind Korvette, right up
598:
In the absence of the U.S. Korvette chain in Canada, a discount store chain was launched in Quebec in 1958 using the name "Korvette Stores
Limited" (now "Les Magasins Korvette Ltée") without any affiliation to the American company. The chain still exists today and operates 71 discount stores as of
319:
Founder Eugene
Ferkauf attributed his idea for membership cards and deep discounts to luggage wholesaler Chas. W. Wolf. But where Chas. W. Wolf made limited or even surreptitious use of these devices, Korvette's popularized them by instructing employees to distribute membership cards to any person
437:
Upon becoming president of
Korvette, Schwadron is quoted saying: "When we went first to Detroit, people thought you spelled our name with a 'C' and we were something you drive. But after 90 days, our customers—and our competitors—knew exactly who we were" and "Our profitability has been
303:
Korvette used "membership cards" (which it distributed in front of its stores and to surrounding offices) to style itself as a retail cooperative. In doing so, Korvette's was able to accept deep discounts from suppliers, something that competing department stores, such as
944:
Korvettes Inc. has closed its 17 remaining department stores, a company spokesman said. The chain, which operated 50 stores a year ago and which pared its staff to less than 3,000 from 11,000, shut down its remaining outlet on
Christmas
239:
The company used several retailing innovations to propel its rapid growth. It used discounting, even though most discounting was known to be outlawed at the time. Korvette's instituted a membership program, a technique from
389:
Korvette's opened a new flagship store, their 45th location, in
November 1967. The store was located in the former Saks-34th Street store, on Herald Square, which closed in 1965 and was renovated at a cost of $ 1.5 million.
767:
417:
ordinances and laws after a
December 20, 1976 internal financial feasibility study created by this contributor, then an employee. Once those barriers were broken, many other retailers opened on Sunday.
316:" lawsuits against Korvette's to stop it from undercutting their prices. None succeeded. The lawsuits helped Korvette's by calling attention to prices so low that competitors thought them illegal.
438:
hampered by the rapidity with which we have opened new stores...But we have finally been able to build the kind of base from which we can develop profitably into a nationwide company."
1103:
434:
in from
Alexander's Department Stores as general merchandise manager of ready-to-wear. Schwadron was elected vice president and named president of Korvette's in 1964.
1098:
498:, and in turn reshipped individual customer orders based on promised delivery dates. The sold merchandise was then shipped to delivery warehouses in East Paterson and
471:
In June 1965, Schwadron resigned over policy differences, including opposing philosophies on merchandising, methods of advertising and public relations, among others.
562:
According to
Korvette's founder, Eugene Ferkauf, who died on June 5, 2012, the name "E. J. Korvette" was coined as a combination of the initials of its founders (
233:
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543:
510:
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174:
veteran Eugene
Ferkauf and his friend, Joe Zwillenberg, E. J. Korvette did much to define the idea of a discount department store. It displaced earlier
641:
987:"Claim: The discount chain E.J. Korvette took its name from a shortening of "Eight Jewish Korean (War) Veterans", the founding partners. Status: False"
1078:
878:"President of Korvette's May Resign Today; Schwadron to Leave Over Policy, Wall St. Sources Say Ferkauf Would Take More Active Part in the Business"
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1083:
1108:
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441:
Of note was E. J. Korvette's venture into the home entertainment business. The retailer established a rather out-of-context series of
370:
A Korvette retail floor had cashiers located in individual departments, without a central checkout area. Large stores included a full
722:
521:
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732:
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retailer. Eugene Ferkauf was eased out of the company leadership, and Spartan managers attempted to revive the company.
926:
877:
506:, for final preparation and delivery. The furniture distribution group was active until it closed at the end of 1977.
221:. Discounts were one-third off regular prices. Sales were more than $ 2,500 per square foot. Ferkauf retired in 1968.
197:
The company failed to properly manage its business success, which led to decline and its 1980 bankruptcy and closure.
791:
649:
499:
272:
The E.J. Korvette flagship store on Herald Square was remodeled into a shopping mall in the 1980s, Herald Center.
205:
E.J. Korvette's founder, Eugene Ferkauf, began his discounting career in a 400-square-foot (37 m) loft in
590:
for "Eight (or Eleven) Jewish Korean War Veterans". Founders Ferkauf and Zwillenberg, however, were Jewish.
333:
748:
268:
546:
of France, which initially closed Korvette's least profitable stores and began selling off merchandise,
768:"Oct. 29, 1964: Korvettes stores open with great fanfare. They were supposed to change the way we shop"
495:
351:
The first of the modern-type stores was opened in 1954, a 90,000-square-foot (8,400 m) store in
249:
241:
151:
55:
31:
17:
532:. During this period, New York area Korvette's stores advertised heavily on local television, using
364:
167:
344:
leading out of urban centers. This made E.J. Korvette ideally situated to meet the demands of the
682:
608:
547:
445:
audio salons within selected stores. Korvettes went so far as to market its own "XAM" brand of
297:
281:
163:
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959:
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336:
on 45th Street in Manhattan, its rapid growth in the 1950s was helped by its many stores in
674:
483:
8:
487:
293:
1013:
Jason Maoz (August 27, 1999). "Merchant Princes: Jews and the Great Retail Emporiums".
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491:
461:
229:
853:
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728:
398:
206:
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276:
Korvette's low-price, low-service model was in some ways similar to that of earlier
1015:
525:
503:
475:
449:
292:. But Korvette's was innovative in avoiding the anti-discounting provisions of the
159:
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244:
that had never been applied to a department store before. It also expanded into
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118:
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329:
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846:"Korvette President Outlines His Plans To Raise Earnings (Published 1964)"
814:"Korvette President Outlines His Plans To Raise Earnings (Published 1964)"
536:
465:
371:
337:
289:
554:, and on December 24, 1980, they closed all seventeen remaining stores.
991:
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494:. This location received furniture, purchased by its buyers located in
107:
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468:. (XAM was rumored to be a tribute to the owner's deceased dog, Max.)
529:
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228:
An E.J. Korvette entrance from the tunnel connecting the 33rd Street
578:
sub-destroyer. The company's founding in 1948 (two years before the
224:
44:
571:
442:
414:
375:
245:
587:
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By 1966, Korvette's had begun to decline and chose to merge with
413:
areas in the 1960s. It successfully disputed the state and local
402:
394:
356:
309:
218:
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183:
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Korvettes, Inc., closed its remaining 17 stores last Wednesday .
479:
446:
345:
191:
963:. Vol. 141, no. 126. December 31, 1980. p. 2.
209:, New York City. Inventory consisted of well-known brands of
367:. By 1958, it had 12 stores. At its peak, it had 58 stores.
383:
312:, could not do. In fact, Macy's and others filed numerous "
528:
company that used Korvette's fifty stores as a source of
359:. In 1956, Korvette's had six stores, including stores in
328:
While the first E.J. Korvette store was located between
248:
locations at a time when most department stores were in
27:
American chain of discount department stores (1948–1980)
300:
on such expensive items as appliances and luxury pens.
1104:
Companies that filed for Chapter 11 bankruptcy in 1980
611:, a company that went out of business due to Korvette
550:, equipment, and real estate. In 1980, they declared
263:
724:
The Self-Made Man: Success and Stress-American Style
1099:
Companies that have filed for Chapter 11 bankruptcy
348:, which grew in the United States during that era.
925:
478:division and ceased subcontracting furniture and
355:on Long Island, which for the first time carried
1065:
707:"Korvette Registers for New Share Sale" (PDF).
30:"Korvette" redirects here. For other uses, see
711:. August 24, 1963. Retrieved November 3, 2020.
323:
1041:
950:
918:
1074:Defunct discount stores of the United States
796:The American National Business Hall of Fame
520:From 1971 to 1979, Korvette's was owned by
1114:1980 disestablishments in New York (state)
1050:"Un investissement majeur au centre-ville"
1012:
1006:
792:"General Merchandise Retailing in America"
593:
43:
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906:"Herald Sq. Korvettes Store to be a Mall"
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627:
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542:In 1979, Korvette's was purchased by the
430:In February 1961, Eugene Ferkauf brought
1079:Defunct companies based in New York City
985:Mikkelson, Barbara (22 September 2013).
522:Arlen Realty and Development Corporation
474:In late 1965, Korvette's formed its own
267:
256:to the company's 37-year-old President,
223:
1094:Retail companies disestablished in 1980
1047:
903:
720:
14:
1084:American companies established in 1948
1066:
894:
749:"Retailing: Discounter on 34th Street"
622:
570:) and a re-spelling of the naval term
421:
1031:"History of Korvette Discount Stores"
927:"Korvettes Closes Its Last 17 Stores"
669:
667:
648:. Freedom Investments. Archived from
574:, a nimble sailing warship and later
234:34th St-Herald Square subway station.
1109:1948 establishments in New York City
1089:Retail companies established in 1948
639:
957:"Korvettes Closes Last 17 Stores".
24:
1048:Lacroix, SĂ©bastien (22 May 2015).
904:Barmash, Isadore (July 15, 1982).
664:
264:Discounting and membership program
25:
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934:. December 30, 1980. p. D3.
482:sales. A complex warehousing and
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232:station and the entrance to the
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488:central distribution warehouse
200:
13:
1:
1119:1979 mergers and acquisitions
615:
393:Korvette's expanded into the
178:retailers and preceded later
7:
602:
324:Strip malls and the suburbs
150:, was an American chain of
91:; 43 years ago
10:
1135:
1035:Les Magasins Korvette ltée
250:central business districts
158:. It was one of the first
152:discount department stores
29:
721:Barmash, Isadore (2003).
496:East Paterson, New Jersey
320:entering any Korvette's.
131:
113:
103:
85:
77:
69:
61:
56:Discount department store
51:
42:
32:Corvette (disambiguation)
464:), television sets, and
365:Harrisburg, Pennsylvania
683:Harvard Business School
594:Korvette name in Canada
296:, and undercutting the
242:consumers' cooperatives
798:. 1985. Archived from
609:Metric Hosiery Company
456:(some manufactured by
298:suggested retail price
273:
236:
164:suggested retail price
696:Discount Merchandiser
679:HBS Working Knowledge
675:"When Giants Stumble"
586:that the name was an
427:atmosphere for that.
271:
227:
170:statutes. Founded by
154:, founded in 1948 in
137:Eastern United States
652:on November 11, 2006
642:"Discount Retailers"
484:distribution network
215:household appliances
755:. 10 November 1967.
685:. October 12, 1999.
544:Agache-Willot Group
490:was established in
486:was established. A
422:Decline and closure
294:Robinson-Patman Act
39:
932:The New York Times
911:The New York Times
882:The New York Times
850:The New York Times
818:The New York Times
511:Spartan Industries
502:, New Jersey, and
492:Danville, Virginia
280:retailers such as
274:
237:
89:December 1980
37:
734:978-1-58798-158-6
640:Trumbore, Brian.
399:Northern Virginia
334:Lexington Avenues
162:to challenge the
160:department stores
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16:(Redirected from
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582:) disproves the
539:as a spokesman.
526:land development
504:Jessup, Maryland
476:home furnishings
168:anti-discounting
146:, also known as
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180:discount stores
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852:. 1964-08-05.
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820:. 1964-08-05.
805:
802:on 2012-02-17.
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534:game show host
432:Jack Schwadron
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415:Sunday closing
342:arterial roads
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258:Jack Schwadron
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166:provisions of
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996:. Retrieved
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885:. Retrieved
881:
872:
861:. Retrieved
849:
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829:. Retrieved
817:
808:
800:the original
795:
786:
775:. Retrieved
772:STLtoday.com
771:
761:
752:
743:
723:
716:
708:
703:
695:
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678:
654:. Retrieved
650:the original
646:Buy and Hold
645:
597:
584:urban legend
576:World War II
567:
563:
561:
558:Name origins
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361:Philadelphia
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172:World War II
147:
143:
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114:Headquarters
52:Company type
766:Rose, Bob.
698:, July 1988
656:October 31,
537:Bill Cullen
372:supermarket
353:Carle Place
338:strip malls
290:S.S. Kresge
282:Woolworth's
217:, and some
201:Innovations
133:Area served
1068:Categories
992:Snopes.com
969:1445523901
887:2020-10-26
863:2020-10-26
831:2020-10-26
777:2020-11-12
616:References
599:May 2015.
580:Korean War
552:bankruptcy
515:soft goods
500:Pennsauken
454:amplifiers
314:fair trade
148:Korvette’s
108:Bankruptcy
940:121244356
858:0362-4331
826:0362-4331
709:Billboard
530:cash flow
450:receivers
411:St. Louis
407:Baltimore
380:pet store
286:McCrory's
18:Korvettes
998:21 April
965:ProQuest
936:ProQuest
603:See also
572:corvette
548:fixtures
466:speakers
443:high-end
386:center.
376:pharmacy
246:suburban
190:such as
62:Industry
588:acronym
403:Detroit
395:Chicago
357:apparel
346:suburbs
310:Gimbels
219:jewelry
211:luggage
184:Walmart
182:, like
96:1980-12
94: (
86:Defunct
78:Founded
967:
938:
856:
824:
731:
564:Eugene
480:carpet
462:Roland
447:stereo
409:, and
382:, and
340:along
306:Macy's
288:, and
192:Costco
186:, and
73:Retail
65:Retail
330:Third
70:Genre
1000:2015
945:Eve.
854:ISSN
822:ISSN
753:Time
729:ISBN
658:2006
566:and
524:, a
513:, a
460:and
384:tire
363:and
332:and
308:and
230:PATH
104:Fate
81:1948
960:WWD
568:Joe
260:".
1070::
1052:.
1033:.
989:.
971:.
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930:.
908:.
896:^
880:.
848:.
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1037:.
1019:.
1002:.
914:.
890:.
866:.
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780:.
737:.
660:.
98:)
34:.
20:)
Text is available under the Creative Commons Attribution-ShareAlike License. Additional terms may apply.
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