The purpose of this dissertation was to determine the need to maintain employee counts in providing customer service. Purchase decisions are influenced by customer service and merchandise presentation. Companies must determine the best staffing fit to their strategic goals. A return on investment for staffing expenditures was sought here. Using mixed methodology, this research found that at the industry level no relationship between profit change and sales change or employee count change. Data such as sales volume spikes, adding store count, and marketing initiatives, were found to explain increasing employee counts. Meanwhile, these decisions to add to employee count did not develop a pattern of creating sales or profit increases. A return on investment for maintaining employee counts could not be determined at the macro level. A review by individual store is recommended for future research. This study does provide an investigation into the link between human capital theories and workforce reduction to service in the retail sector. The concentration on retailing adds to the existing body of knowledge where the functions of these theories have not been analyzed independent of other service industries.
|Adviser||Rhonda F. Waters|
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