"L.L. Bean, Inc." Case Study Report

Because of this rapid growth several challenges can present themselves. A primary challenge that can present itself is the lost of the boutique feel because of the hundreds of locations. Even though each boutique is different and personalized, opening too many locations may cause the retailer to lose its niche in the market. Another challenge is the many changes the company has gone through in upper level management. Because of the changes investors have been discouraged, as mentioned before, and shares were down 16% after the changes.

4. What inventory method is used to value inventories? Does this method reflect current cost at year-end?

L.L. Bean is currently in a market where there are few stores that dominate. They face competition from companies such as Columbia, North Face, REI & Timberland. In some cases these companies may offer a wider range of products, more appealing design and higher quality. Where L.L. Bean stands out is there in country manufacturing and Discovery School classes. Not only are they selling outdoor gear they are offering outdoor classes as well. The way I look at it is, they offer a product and a way to test it out at the same time so you know whether you are buying a good quality product. But this however may still not be enough to succeed. Below I have included a list of L.L. Bean’s competitors.

|  "Dynamic models, usually computer-based, that allow the forecaster to make assumptions about the internal variables and external environment in the model" is a definition for which of the following forecasting methodologies?

Based on the opportunities shown by the SWOT analysis, and the factors presented in the Porter Five Forces, as well as the rivalry the company faces from other competitors in the industry Target needs to have a future plan. Some of the recommendations for the company includes expansion into new attractive markets with good income based and substantial population. According to Hahn Kwak, and Palys (2005), the company needs to expand its operations in the South and Northeast metropolitan regions in the US. In addition, the company needs to focus on gaining market share in the market the company already operates. This implies that the company needs to consider expanding its retail channels in grocery stores, stationary, and drug stores. The company also needs to establish its retail stores near the center of major cities in order to gain a market share against its rival Walmart. The company is normally viewed as an urban brand and therefore placing store in major cities gives the company the ability to attract and retain more urban customers as well as middle-class customers. Urban residents will readily accept the

BJ's doesn't seem to have the resources or an effective growth strategy to compete with their competitors. As result they should carefully continue to attempt to expand into other locations with the goal of increasing sales. If they continue down the

Open 2 stores in the first year of operation. Source all 8 locations by the end of first year

Companies are growing by bringing in new stores to new locations rather than come up with innovation in the terms of bringing the products to the consumer. As written in business insights, the industry is recession proof but personally we believe that the companies’ sales are

The organization is making more ventures for faster rollout of these stores (Seeking Alpha, 2015)

The paperwork is needed so that the inventory can be check and figured out the true value of the inventory. A better way at looking any logical justification for cost or market inventory valuation is that a stock of items is necessary to expedite production and sales. If inventory become obsolescence, goes through physical deterioration, and price declines occur, or even if the stock when finally utilized cannot be expected to realize its stated cost plus a normal profit margin. Reduction in inventory value is an additional cost of the goods produced and sold during the time that they decline value occurred

The launching of Kohls.com in 2001 has resulted in steady sales growth in the e-commerce portion of the company. To support the internet sales, a 940,000 square foot distribution center was opened in 2001 and a second one was opened in 2010. As internet sales continued to increase to more than 50% of its previous years sales, a third distribution plant has been acquired in Edgewood, Maryland (16). The new facility is 602,000 square feet but Kohl’s plans to expand the building to more than 1 million square feet by 2012. (15). This would indicate that Kohl’s intends to continue expanding the e-commerce portion of the corporation and is making all necessary preparations to support the growth.

The current size of the organisation is not as big as some of the rivals in the area. The chain compromises of 15 stores and has a big head office and

L.L.Bean is a department store that sells outdoor apparel and equipment. It was founded in 1912 by Leon Leonward Bean who had a vision of keeping customers satisfied. Over the past 100 years, the company has further evolved this vision. They achieved this by defining the mission and values and then supporting that mission with their business strategies. The Human Resources department then tries to support these goals by hiring the right people into the right positions.

2) How should Thomas market her store with $10,000 promotion budget to attract maximum attention from the community?

Use backward expansion, which is opening stores in small towns surrounding a targeted metropolitan area before moving into the metropolitan area itself.