Creativity is paramount. Spector and McCarthy recounted the story of a Seattle saleswoman who couldn't find her customer's desired Donna Karan slacks in the right size and color. The employee learned that a competitor had the item and used petty cash to buy the clothing across the street. She then sold the pants to her customer at the Nordstrom sale price. The company lost money on the deal but kept the customer.
Few people criticize the system.
Employees, for the most part, are a happy, diverse lot. Minorities account for 36 percent of the work force and 23 percent of management. Net sales nearly doubled between 1989 and 1997. The company operates 99 stores in 22 states and plans to open 26 more by 2002, a dramatic departure from the early modest growth. It took 89 years for Nordstrom to close a major store without replacing it.