...[pic] SWOT Analysis of Hollister Co. By: Jessica Gray, Mehrosh Hasher, Lydia Russo, Rachael Ware, and Desiree Urban October 4, 2009 AA 381 Fashion Buying Introduction: Hollister Co. was launched by Abercrombie & Fitch Company CEO Michael Jeffries in July 2000, and is a lifestyle brand that markets apparel and fragrances reminiscent of the southern California way of life (Palmer, 2009). Hollister Co., whose clothing is known for their signature seagull logo embroideries, has become widely recognizable due to its success in creating a strong brand image (Palmer, 2009). Hollister Co.’s retail stores, featuring only its own private label merchandise, are usually located in malls and generate significant traffic due to its unique atmosphere complete with ultra-dimmed lights and blaring popular music (Palmer, 2009). The brand’s target market consists of both males and females between 14-24 years of age (Palmer, 2009). Hollister Co. is known for the model-like staff it employs, and the sensual advertisements and store décor that accompany them (Palmer, 2009). Their clothing reflects this ideal, running in notoriously small sizes and only consisting of a very limited collection of casual beach-ready graphic t-shirts, jeans, thermals, swimwear, leggings, shorts, and sweatshirts (Palmer, 2009). Though Hollister Co. has recently been suffering large net losses, it has ranked first place for the Teen’s Top Clothing Brand for four consecutive seasons since 2007, and...
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...in trendy merchandise for young men , women , and children. The Adirondacks supply a clean inspiration to this peppy , youthful all American life style . The company 's strategy is to offer multiple styles of clothing for young shoppers . The portfolio consists of Abercrombie and Fitch , Abercrombie kid , Hollister , and Gilly hick. Each brand targets a different general style . The company has positioned itself as a one stop shopping place for the entire family. In the other hand , the company maintains the same styles and offerings on their e-commerce sites. As of January 28, 2012, the Company operated 946 stores in the United States and 99 stores outside of the U.S. The Company’s fiscal year ends on the Saturday closest to January 31, typically resulting in a fifty-two week year, but occasionally giving rise to an additional week, resulting in a fifty-three week year. (Fiscal years are designated in the consolidated financial statements and notes by the calendar year in which the fiscal year commences). The Company’s in-store marketing is designed to convey the principal elements and personality of each brand. The store design, furniture, fixtures and music are all carefully planned and coordinated to create a shopping experience that reflects the Abercrombie & Fitch, Abercrombie kids, Hollister or Gilly Hicks lifestyle. The Company uses a third-party DC in the Netherlands for the distribution of merchandise to stores and direct-to-consumer customers located in...
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... The Midriff Exposed March 26, 2004 • We recommend ANF as a hold. Our price target of $34.23 is 6% below the current share price. • We believe the stock is fairly valued and should be purchased on dips. We remain cautious on the shares longer-term; we desire continued strong execution from Hollister and await ANF’s new concept store rollout. Source STOCKVAL • ANF continues to build cash and recently announced it will begin to pay a dividend in 04. Though beneficial to shareholders, we prefer to see management reduce prices with the intent to increase foot traffic and potential sales. We believe several competitors have begun to price apparel below that of ANF to increase their ROE. With regard to the dividend payment, we would have preferred for management to use the cash to repurchase shares, although the dividend is likely to appeal to value investors. • We believe ANF will continue to grow due to the overall structure of the industry. As teen spending continues to grow in proportion to the population, we believe there will be consolidation in the specialty retailers to leverage operations and brand recognition. Based upon the cash position of ANF, we expect ANF to be an acquirer of companies. • ANF has demonstrated the ability to successfully execute on its key critical success factors, including inventory management. We believe the recent changes in management will also benefit ANF; we suspect that management...
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...A Critical Report On Abercrombie and Fitch’s Expansion Strategy Into Europe Course Title: Marketing Word Count: 2700 Date: 23rd Feb. 2015 Name: Hajara Miss: Table of content Introduction BUSINESS BACKGROUND Question .1 Contention Situating STRATEGY Division STRATEGY: Focusing on STRATEGY: Question 2 Contention Institutionalization QUESTION 3 QUESTION 4 INTRODUCTION This report will investigate the extension of Abercrombie & Fitch in European nations with reference to its advertising methods, for example, focusing on and situating, division and adjustment to market and institutionalization of its item approach and other showcasing blend approaches. Cement examinations are completed on the diverse elements included for the situation study and Suitable suggestion given in accordance with the answers that take after the layout questions. BUSINESS BACKGROUND The Abercrombie and Fitch brand was established in 1892 by David T. Abercrombie and Ezra Fitch. Its portfolio comprises of four noteworthy brands; this includes A&F, the Abercrombie kids the Hollister Co and the Gilly Hicks These are all directed to children, adolescence and the more established shoppers. While it designs itself as a select brand from the custom of the East drift pattern of the USA, New York City specifically; the dress line unmistakably embodies the American way of life of the adolescent and preppy. It has its central command in New Albany, Ohio USA. Through...
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...Fitch Co has proven itself to be able to adapt to the constant changing retail market and has slowly evolved in the retail giant we are familiar with today. Abercrombie and Fitch currently employ a focused differentiation strategy where they target customers ages 12-25. Instead of using conventional methods of strengthening their brand through advertising and a squeaky clean image, A&F instead takes full advantage of controversy and word of mouth advertizing in order to gain their customer base. It is through A&F’s unorthodox methods that they have been able to establish themselves as a highly desirable, high quality apparel retailer and due to these factors they are able to charge a premium price for their products. A&F’s current strategies have helped them to not only establish themselves in the United States, but they are now poised to expand into the global market. With the recent opening of flagship locations in Tokyo, London, Milan, A&F now has a solid foothold to tap into the Western European and Asian Markets. With the potential in these foreign markets, A&F should realize high levels of growth in the near future if they are successful. Table of Contents: Company Background: 4-5 Company Strategy: 5-7 Communication of the Strategy: 7-8 SWOT Analysis: 8-10 Strategically Relevant industry Features: 10 Five Forces Model of Competition: 11-13 Competitors & Rivalry: 13-15 Key Success Factors: 16 Company Value Chain: 16-18 Recommendations:...
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.......................................................................................................... 4 Power of Buyers ........................................................................................................................................ 4 Substitutes ................................................................................................................................................ 5 Degree of Rivalry ....................................................................................................................................... 6 Firm Analysis ................................................................................................................................................. 7 Company Strategy ......................................................................................................................................... 8 Competitive Advantage and Sustainability ................................................................................................... 9 Recommendations ...................................................................................................................................... 10 Conclusion...
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... 21 Executive Summary 22 Appendices & References 24 In 1902 founder and one time CEO James Cash Penney opened a small dry goods store in Kemmerer, Wyoming named The Golden Rule. 110 years later this once small business manager grew a company we now know as JCPenney, which has flourished into a nationwide retail department store with over 1100 store locations throughout the United States. Throughout the years JCPenney has changed an adapted to the retail market. It wasn’t till the suburban boom of the 1950’s or the post WW2 era that JCPenney became relevant as the department store we know it as today. It was at this time that JCPenney began to run national advertisements and adopted its discounted goods strategy. During these years James Cash Penney held on to his humble beginnings and incorporated his standing on customer service and daily operations. The key...
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...operates in the retail trade sector with operations focussing on Department Stores (representing approximately 65% of earnings) and the associated Financial Services (representing approximately 35% of earnings). The department store sector is slowly declining as consumers move a larger portion of their household spending into online sales. Additionally, the incumbent stores (David Jones and Myer particularly) are being challenged by the arrival of well financed international competitors to the Australian market. The company has taken some strong leaps to maintain market share including building an Omni Channel capability, improvement in inventory management, reduction of its already low debt and working with suppliers to harmonising pricing. The report considers the financial performance of the company through the evaluation of financial ratios for profitability, efficiency, productivity, solvency and market performance. Overall the company currently is a profitable business with low gearing, high (but declining) sales and productive workforce. The Return on Equity improved from 37.5% in 2012 to 37.8% in 2013, positively confirming that many of the changes implemented by management during this period have been successful. During this same period revenues declined from $1.867bn to $1.845bn reflecting the competitive market environment and slowing household spending. The greatest risk to the company’s long term survival is the challenge of online sales. Management must...
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...support areas and nine corporatedepartments. Each chain addressed different segments of the market, but all share the samegoal: to dominate their segment using a flexible business model that could be expanded on aninternational scale. As the parent company, Inditex focused on providing the corporate servicesto its respectable chains so that they could accomplish their goals.As a global apparel fir m, Inditex’s main development strategy for international expansion is to become the sole or majority shareholder. However, for small or culturally different markets, itextended franchising agreements to leading local retail companies. For countries with largebarriers to entry and an appealing customer base, Inditex created joint ventures with thepossibility of later buying out its partner. Despite the different approaches used to enter intothe international market, Zara has shown that there is no impediment to sharing a singlefashion culture.Zara, a key subsidiary of its Spain-based parent company Inditex, was established in Galicia,Spain in 1975. The brand provides an alternative outlook to the fashion retail business model byrejecting media advertising and blow-out sales, and maintaining the bulk of its productionprocess in-house rather than outsourcing to low-cost countries. Despite the seemingly counter-intuitive business model Zara operates, it has become one of the leading fashion retailers in theworld. II. Business Model As the first retail chain established by Inditex,...
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...To: Miranda Priestly, Brand Manager From: Subomi Y. Johnson Date: April 27, 2009 Re: Analysis and Recommendations for Seventeen Magazine v. Teen Vogue ____________________________________________________________ _________________ In regards to my current assignment, I have conducted detailed analysis of Seventeen Magazine in comparison to Teen Vogue Magazine. In this project I have also included an industry analysis for teenage girl magazines in 2009 and an overview of the marketing mix for both our brand Seventeen as well as Teen Vogue. In conclusion, I have proposed 3 recommendations to better target our audience, build better brand equity, as well as expanding our distribution channels. These recommendations include narrowing our target market, creating a television show, and building a brand store. Thank you giving me this opportunity to analyze the industry and marketing mixes of both brands. In addition, I hope that my three recommendations will better the company in the future. If you have any questions please feel free to contact me at sj7613a@american.edu or by telephone at 202-384-9364 Attachment: Industry Analysis, Marketing Mix, and Brand Recommendations Part 1 Magazine Industry Overview The magazine industry is a very diverse business venture as it is full of multiple segments for its various target audiences. The teen market is full of recognizable names such as the pioneer of teen magazines, Seventeen established...
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...like Facebook make money with it? My answers to those questions are manifold, however whether these successes are based on smart strategic decisions, excellent marketing management or new business models, I would like to understand in a more detailed and structured way how international businesses are set up and performing. In today's fast changing mobile society I believe a fundamental expertise of international business processes and company strategies are a compulsory knowledge for an effective global business manager and leader in the future. In the following I would like to constitute a more precise understanding of the marketers’ world based on contemplation of the organizations point of view and additionally through an examination of the different roles of customers and especially consumer behaviour. I hope to connect the dots between both manifolds topics and at the end I am going to adapt four of the presented frameworks on a company. As an appropriate introduction for my Assignment I selected chapter two “Strategy and Environment” of the textbook “Marketing – Real People, Real Decisions” written by Solomon, Marshall, Stuart, Barnes and Mitchel and decided to focus especially on the strategic planning of a business. All in all, the chapter processes the basic steps of business...
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...and nine corporate departments. Each chain addressed different segments of the market, but all share the same goal: to dominate their segment using a flexible business model that could be expanded on an international scale. As the parent company, Inditex focused on providing the corporate services to its respectable chains so that they could accomplish their goals. As a global apparel firm, Inditex’s main development strategy for international expansion is to become the sole or majority shareholder. However, for small or culturally different markets, it extended franchising agreements to leading local retail companies. For countries with l arge barriers to entry and an appealing customer base, Inditex created joint ventures with the possibility of later buying out its partner. Despite the different approaches used to enter into the international market, Zara has shown that there is no impediment to sharing a single fashion culture. Zara, a key subsidiary of its Spain-based parent company Inditex, was established in Galicia, Spain in 1975. The brand provides an alternative outlook to the fashion retail business model by rejecting media advertising and blow-out sales, and maintaining the bulk of its production process in-house rather than outsourcing to low-cost...
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...BTEC BUSINESS Assignment Brief Student Name | Isabel Tomas | Email Address | Isabeltomas@hotmail.co.uk | Programme Title: | BTEC Level 3 90 Credit Point Extended Diploma | Unit Number/Title: | UNIT 3 | Title of Assignment: | BUSINESS MARKETING | Assignment Internally Verified by: | | Date: | Tutor Name: | Greg Lewis | Issue Date: | 27/02/2015 | Submission Date: | 22/03/2015 | Re-submission date | 20/05/15 | | Targeted Criteria Within This Assignment | Criteria | | | | | | | | | | | | | | Task No. | | | | | | | | | | | | | | Met | | | | | | | | | | | | | | | | | | | | | | | | | | | | Learner declarationI certify that the evidence submitted for this assignment is my own. I have clearly referenced any sources used in the work. I understand that false declaration is a form of malpractice.Learner signature: Isabel Tomas Date: 20/05/15 | Contents Page * Introduction/ Identifying customers in consumer markets – Page 3 * Market segmentation – Pages 3 - 4 * Geo-demographic systems – Pages 4 – 5 * Reason for choice of target groups – Pages 5 - 6 * How are business groups segmented? – Pages 6 – 8 * Tesco market segmentation – Page 8 * Conclusion – Page 9 * Bibliography – Page 9 P5 This report will build up from previous assignments and it will be focusing on the different...
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...AMD as a Company History Customers should come first, at every stage of a company’s activities. This customer driven approach to doing business was at the core of AMD’s founding in 1969 and remains the central focus of the company’s policy today. Advanced Micro Devices was founded in 1969 by a group of former executives from Fairchild Semiconductor. The company began by exclusively designing and producing microprocessors and slowly building on their core competencies to foray into other computer hardware. In 1975, AMD introduced a reverse-engineered clone of the Intel 8080 microprocessor. Even then Intel chip architecture was considered the industry standard. AMD’s laggard position in the industry can be traced all the way back to the beginning. Throughout the seventies AMD diversified its product portfolio into graphics, audio devices, and computer memory. AMD achieved minor success in the 1980s by briefly competing in the modem industry. At the time, AMD manufactured the only modem compatible with the various idiosyncrasies of the different telephone companies. In the late eighties AMD decided to devote its focus mainly to designing and manufacturing microchips. The company chose to compete directly with Intel and their established chip architecture. AMD acquired ATI Technologies in 2006, marking the company’s serious entry into the graphics industry. AMD’s jump into graphics got off to a rocky start. Later that year, AMD and its main rival in the graphics industry, NVIDIA...
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...| ABERCROMBIE AND FITCH CO.A MARKETING APPROACH | Student Name | [Date] | [Course title] | | | ABERCROMBIE AND FITCH CO.A MARKETING APPROACH | Student Name | [Date] | [Course title] | | Abstract Marketing is considered as the key to the success or failure of any product or services which are provided by the company. In order to beat their competitors organisations keep on launching events and brand promotion campains. Also, with changing customer behavior it is very important for a company to keep his marketing strategies unique in order to attract more and more customers regularly. The study in this report moves around the different type of marketing strategies and models used by organisations these days along with the case study of Abercrombie and Fitch Co. to create their brand value and getting an international recognition among the top appeareal companies around the world. The paper is studied with respect to the most important related departments of a business marketing finction: services, human resources and finance. Furthermore, the case study of another retail business giant apple is studies to conclude about the research and findings. The structure of report includes discussion about the problem in martketing and analysis. The proposed solutions to the research post findings is also included in the thesis. Previous study for marketing research about Apple is also include in the report to conclude the research. Table of Contents Chapter...
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