Here’s a riddle: How do bargain hunters know they’re getting a bargain if there’s no hunt? The answer is, they don’t. That’s just one of the lessons Ron Johnson has learned in his six months as chief executive officer of J. C. Penney. Johnson developed Target’s (TGT) “cheap chic” persona before moving to Apple (AAPL), where he created the world’s most profitable stores. Now he’s trying something really hard. He wants to wean Penney’s middle-market customers from a steady diet of coupons and almost constant discounting. So far, they’re not buying. “The transition has been tougher than we anticipated,” Johnson said during a May 15 presentation to investors. Johnson’s strategy was deceptively simple: quickly replace Penney’s relatively high list prices—which it aggressively discounted—with lower everyday ... Continue reading →

U.S. APRIL NEW-HOME SALES RISE 3.3% Nike’s Hot Punch Running Shoes Spur Industry Growth By Matt Townsend - 2012-05-23T04:00:01Z Enlarge image Nike’s Hot Punch Running Shoes Spur U.S. Footwear Sales Sales of running shoes are driving the entire athletic shoe industry. Sales of running shoes are driving the entire athletic shoe industry. Photographer: Timothy Fadek/Bloomberg Running shoes meant for marathoners are this era’s Air Jordans. Shoppers more interested in making a fashion statement than actually jogging are scooping up technologically sophisticated running shoes because they’re comfortable and trendy. And they aren’t afraid to pay up. Exhibit A: Nike Inc.’s (NKE) $100 Free sneaker in “hot punch” -- aka pink. Sales of such shoes in the U.S. surged 14 percent to $6.46 billion in the 12 ... Continue reading →

Apple Said to Plan Overhaul of IPhone With Bigger Screen By Adam Satariano and Jun Yang - 2012-05-17T23:23:46Z Apple Inc. (AAPL) is preparing to overhaul the look of its iPhone, three people with knowledge of the plans said, refreshing the company’s top-selling product amid competition from rivals such as Samsung Electronics Co. (005930) Apple, based in Cupertino, California, has placed orders from suppliers in Asia for screens that are bigger than the 3.5- inch size now on the smartphone, said one of the people, who asked not to be identified because the plans aren’t public. Apple co-founder Steve Jobs had worked closely on the redesigned phone before his death in October, one person said. The design change will be Apple’s first for the iPhone since ... Continue reading →

Ritholtz Calls Facebook Valuation `Piggish' May 18 (Bloomberg) -- Barry Ritholtz, chief executive officer of FusionIQ, an equities research firm, talks about the initial public offering of Facebook Inc. and the social network company's growth outlook. Ritholtz speaks with Erik Schatzker, Sara Eisen and Scarlet Fu on Bloomberg Television's "InsideTrack." (Source: Bloomberg) TV Channel Finder ZIP is required for U.S. locations Bloomberg Television in change Continue reading →

Vince Young gets a one-year contract from the Buffalo Bills. (Patrick McDermott / Getty Images) After working out with the team last week, Vince Young has agreed to a one-year deal with the Buffalo Bills. Young, who was not re-signed by the Eagles after one season in Philadelphia, spent five seasons with the Tennessee Titans. Young, 1-2 as a starter last season, will earn $2 million, with up to $1 million in playing time bonuses. Young, the No. 3 pick in the 2006 NFL Draft, has passed for 8,964 yards and 46 touchdowns and rushed for 1,459 yards and 12 TDs over his career. He’ll turn 29 next weeek and will compete with Tyler Thigpen and Brad Smith to back up Ryan Fitzpatrick. Undrafted rookie ... Continue reading →

Apple will be going forward with the 7-inch iPad, currently targeting an October 2012 release alongside the new iPhone, and -- here's the killer -- at a $200 to $250 price point. According to our source, which has proven reliable in the past, the reason for such aggressive pricing is to do to the tablet market what Apple did to the MP3 market in 2004 with the expansion of the iPod product line -- leave absolutely no space for competitors. We haven't gotten a firm read on the exact screen dimensions, so we're using 7-inches generically here. Our source has indicated, however, that the 7-inch iPad will be identical to the current 9.7-inch iPad, just scaled down. That seems to include a 2048x1536 resolution display, ... Continue reading →

A JPMorgan Chase & Co. (JPM) (JPM) trader of derivatives linked to the financial health of corporations has amassed positions so large that he’s driving price moves in the $10 trillion market, traders outside the firm said. The trader is London-based Bruno Iksil, according to five counterparts at hedge funds and rival banks who requested anonymity because they’re not authorized to discuss the transactions. He specializes in credit-derivative indexes, a market that during the past decade has overtaken corporate bonds to become the biggest forum for investors betting on the likelihood of company defaults. Investors complain that Iksil’s trades may be distorting prices, affecting bondholders who use the instruments to hedge hundreds of billions of dollars of fixed-income holdings. Analysts and economists also use the ... Continue reading →

Many of today’s kids would rather slice and dice flying fruit on an iPhone than sit around a game board racing each other to buy Park Place. Brian Goldner, chief executive officer of Hasbro (HAS) is betting he can revive old-fashioned games by hooking up with Hollywood. Battleship, a Universal Pictures (CMCSA) film loosely based on the 69-year-old game of naval strategy, will dock at U.S. theaters on May 18. The movie, starring Liam Neeson and pop singer Rihanna, is a love story (not between the two of them) set against the backdrop of a seaborne alien invasion. While the screenplay may not win many accolades, Battleship has sold more than $200 million worth of tickets in Europe and Asia, where it premiered last month. ... Continue reading →