H & M Marketing Strategies

In this section, we are trying to explore and critically assess what other authors think about our subject matter. In our case, we are discussing already existing literatures on marketing strategies of apparel industry in general and marketing strategies of H&M in particular. The importance of this part is to give a clear understanding of the topic that in its turn will help to fulfill the aim of this paper (Saunders et al, 2009). In this part, we are also going to use the literature as a theoretical framework basis to investigate our resource questions mentioned earlier in the introduction:

What are marketing strategies used by H&M? what are those marketing strategies’ problems? Why does H&M have those problem and how to solve them?

Before

Classical definition of the word strategy The classical definition of the word strategy appeared in the army military tradition. We all know that in the army, we have a very rigorous hierarchy where we can find a general making decisions and other subordinates work to implement those decisions. This military is complemented by an intellectual inheritance from economics. Von Neumann and Morgenstern place this figure right in the heart of their conception of strategy as an elaborate game of move and counter-move between competing yet independent businesses (Whittington,1993).

This view of individual in tandem with Adam Smith’s view that each individual is continual existing himself to find out the most advantageous employment of whatever capital he can commend to create a stereotype of manager who is focused on maximizing return on investment. The Classical strategy approach places great confidence in the readiness and capacity of managers to adopt profit-maximizing strategies through rational long-term planning. Among the scholars that support the classical approach of strategy, we have Michael E. Porter, especially since in his book, he offers advice on obtaining the above average industry profits.

B. Processual

To make sure that their places are secured or they have a sustainable competitive advantage on the other market participants, businesses have to set rules, techniques and tactics not only to secure their position in the industry but also gain buyers by their differentiation. The notion of strategic business is one of the most crucial parts or processes in achieving success within a business. This term designates a set of well established, carefully selected techniques and decisions that can help an organization achieve its objectives if those techniques, rules, regulations and decisions are observed carefully. The concept of business strategy has received various definitions from numerous scholars and business consultants among them we have eminent professor Michael E. Porter whose contribution to the field of Management strategy is of great importance. In his book Competitive strategy, Porter defines business strategy as an internally consistent configuration of activities that distinguish a firm from its rivals (Porter, 1998). Based on this definition, we deduct the importance of not only setting the techniques, ideas or tactics but also their continuous implementation in order to gain a great market positioning through differentiation. The basic definition of Strategic management that many researchers agree on, is a set of