Their mission statement to provide customers with high-quality products at lower process continues to attract a large following of members. While there is fierce competition in their market, they still remain a dominant force (Publishing V. L., 2015). Their strengths outweigh their weaknesses and Costco continues to maximise their strengths while they minimize their weaknesses. While introducing a larger product mix to Costco could improve their business, it could also harm the company as their relatively small product is part of the reason they have become so popular and continue to remain so. Costco is continuing their global expansion and with their business strategy they will remain a super power in the business for many years to
As in 2014, Lululemon’s business strategy had seven key elements: Firstly, Lululemon needs to broaden the product line beyond yoga, running and general fitness, and offer product for both male and female of many ages. Nowadays, more people start to concern on their health, not only elder people. They need to have good-looking and convenient outfit for exercise and training. Second element is to grow the store in North America and United State. These locations are very potential for any company because netizen in these locations have high income which can afford to such products like Lululemon.
Lululemon can be considered a Shopping Product. Lululemon provides high-quality products so their products life circle is long. Another reason is their products are expensive for some people, so consumers are rarely to buy their products. Store image is very important to the Lululemon because they want to create the brand loyalty. Lululemon is not distributed so widely.
However, this did not deter Under Armour as they entered the market with a totally different product. They were the first to manufacture performance apparel using synthetic fiber. The oligopolistic nature of their business gave them a greater competitive edge and an opportunity to penetrate the market. The company exists in strategic groups that are based on powerful brand identity, product performance, word of mouth endorsement and simple merchandising story. They have accomplished this by developing a quality brand of sports apparel that is well-known.
The battle for consumer minds is a battle of perceptions not the products, thus, it is important for Nike to constantly engage with a differentiation strategy and tactical activities to stay ahead as the leader in global sportswear and apparel market. Below are some of the marketing strategies Nike can employ to further improve its sales to remain as the world’s number one: i. Personalized Marketing, also called personalization and sometimes referred to as one-to-one marketing. This is an extreme form of product differentiation in that it tries to make a unique product offering for each customer. Nike has engaged with this strategy through its Nike ID footwear, which is a popular line that has developed a strong follower amongst consumers, and should extend this concept to more product lines to gain more fans. Consumers are inclined to buy as they know they will be wearing their own personalized creations.
For that reason, one of the world’s leading retail organisation Zara particularly focus on their organisational resources in order to get the competitive advantage over their competitors. Some of the key organisational resources of Zara are demonstrated below: Market-oriented Strategy However, in the retail industry the competition is very high that is why the customer is considered as a king for them and they have to make them loyal as much as they can for the reason that they will not move to other brands quickly. Moreover, by focussing on customer‘s requirement and likings, reinforced by its operational approaches and Zara shows their assurance towards their precious clients. For that reason the customers of Zara‘s are quite loyal that help them to reach better position in the market (Finney, et al., 2008). Staff-Education It is found that the top officials of Zara are quite keen and focussing on customer service; therefore, the basic requirement to train their employees is one of their topmost importance.
This makes it is one of the leaders in the industry. Just Procter & Gamble is the possible competitor to it. Thus the market share of Unilever considered being one of its main strenghts. And familiarity of Unilever products is very high, many people in the world uses at least one product of them or sub brands everday. Otherwise, competition is one of the main threats that most of the companies would have face.
These tools mostly used for spreading the awarenes of the new products, enhancing the recall of the brand but mostly for increasing the number of sales as the company needs profits to survive in the long term. The report have deeply looked at the communication tools in practice when the creative strategy for the new Cadbury product was set. The paper analysed in what situation it is better to use advertising, PR or direct marketing for the Cadbury brand, therefore the advantages and disadvantages of the tools were found. For example, it has been identified that advertising is one of the useful tool for brand promotion because it is able to reach a wider audience within the shortest possible time frame (Egan, 2007. P 194).
Introduction Numerous organizations are integrating the information technology into their supply chain management operations. In the present world, customers have become progressively demanding by setting their anticipations high for the quality of the product or the service. Also the supply chain management has realized that the advanced technology could serve the consumers with better answerability and liability. This visibility makes them maintain a tight control over the customers and stand ahead of the competitors. Information technology has extensively helped to balance the organizations production on track, repairing mistake and making reforms that provides a top quality product.
PORTERS FIVE FORCES ANALYSIS • COMPETITIVE RIVALRY (HIGH) In both the large enterprises as well as the small enterprises there are many competitors. All the brands have started investing huge amount in the R&D to renew their products so, as to capture the market share. Therefore, H&M will always have to be quick and stylish at the same time to survive and maintain its position along with the changes and competition. BARGAINING POWER OF SUPPLIERS(LOW) The bargaining power of the suppliers is low as there are huge numbers of suppliers and manufacturers in the fashion industry. To meet the requirements of the company H&M has more options by buying and merging with the suppliers.