Essay on Abercrombie and Fitch, Strategic Managment

2096 Words Feb 21st, 2011 9 Pages
Table of Contents

Pest Analysis of A&F 4
1. Political Factors 4
2. Economic Factors 5
3. Sociological Factors 5
4. Technological Factors 6
Michael Porter’s Five Force Framework 6
1. Threat of New Entrants 6
2. Substitutes 7
3. Threat of Bargain Power of Supplier 7
4. Bargain Power of Buyers 7
5. Rivalry 8
SWOT Analysis A&F 8


Every business in the world has to look for different strategies that will help it to improve and raise more profits. This has become in the ultimate goal in any organisation and it only becomes a reality if the best technique and methods are used. For this, there are some analyses that at the same time need to be
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In here, it is fundamental to see what is happening in the social part of the market in which the firm is operating, or when it is a new business or a new project, the market in which it is desired to enter. Moreover, there are such things like the cultural norms, expectations and behaviours, population, age, etc (CIPD, 2010). Abercrombie and Fitch has always pronounce that one of the most important things in its marketing is diversity. They try to include every type of people in their teams for example. In its webpage (Abercrombie and Fitch, 2010) people can find this data:

• In-store workforce, as a whole is 50.22% people of colour

• In-store models are 48.44% people of colour

• In-store managers-in-training are 41.04% people of colour

Technological Factors

This is one of the clues to gain competitive advantage in any industry (Porter, 1998). According to this, any change in technology that can have an impact in the way things are done, can be a significant improvement. This will lead to better products and services (CIPD, 2010). Abercrombie and Fitch has taken advantage of the internet to offer different services to its customers. All catalogues can be found there, and all the locations of their stores as well. For its staff, recently was created a webpage for them to

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