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Case Study Analysis

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Table of Contents
Introduction 2
Situation Analysis 2
Mountain Hardwear: the Brand 4
Identification of Issues 4
Alternative 1: to distribute through REI 4
Possible Short Term Issues: 4
Possible long term issues: 5
Implications for the brand: 5
Alternative 2: to not sell through REI 6
Possible issues: 6
Implications for the brand: 7
Recommendations 7
Addressing brand dilution 7
Addressing relative retailer power 8
Implementation 8
Resources Required: 8
Time frame: 8
Performance measurement: 9
Conclusion 9
References 9

Introduction
In 1993, a number of employees in Sierra Design decided to start their own outdoor apparel company. They capitalized on their expertise in the field and with the support of an …show more content…

Another factor companies are concerned with is association with the category. Here, the name “Mountain Hardwear” is clear indicator of the product category. These associations are desirable in the minds of the customer and delivered by the brand.
Business decisions taken by organizations have drastic impacts on the brand equity. Negative associations take a great deal of effort to erase; for e.g. despite having some of the best business practices today, the Nike brand image still holds connotations with sweatshops. Thus, companies need to take these decisions after careful consideration of their potential bearing on the brand.
Identification of Issues
Alternative 1: to distribute through REI
The benefits of choosing to add REI to their distribution channels is that Mountain Hardwear can reach a wider target base. The brand will have increased visibility which can further increase awareness.
Possible Short Term Issues:
1. Effect on Quality – Sudden changes in production capacity can have implications for product quality. A company that prides itself on quality products that deliver performance cannot afford to have a drop in quality especially when hoping to capture a new and larger customer base. Changes in product quality will have a negative impact on the perception of the brand.
2. Uneven power equation – The company-retailer relation is a tricky one. Retailers are usually

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