Lululemon Case Analysis

Lululemon’s primary target customer is a sophisticated and educated woman who understands the importance of an

Lululemon faces constant competitive pressures from the five main driving forces: rivals/competitors, new entrants, substitute products, suppliers bargaining power, and buyers bargaining power.( Thompson, Peteraf, Gamble, and Strickland) Below is a detailed analysis of the competitive forces noted in Exhibit 2.

I noticed that Lululemon clothing prices are marked-up a great percentage than what a fair price would be. The fabric advertised is a special mix, Luon. However, after completing research, many brands, such as Athleta and Adidas, use a similar mix and their pants are lower in price. This would not be so much of a problem for Lululemon if the quality matched the price. Yet, there have been complaints from Lululemon customers where the clothing displayed pilling or sheerness after just a few washes – something I too have experienced. A customer expects good quality from their clothing, especially if they are willing to spend a large amount of money on it.

Lululemon have gone through uncontrollable external events which have effected their business, these include exchange rates and

All retailers face growing pains. Many issues are natural for companies who experience rapid growth, and with rapid growth comes certain business pressures that modern organizations encounter in today’s age of information. Lululemon has had its fair share of problems since their inception in 1998, from the infamous see-through yoga pant to a former vocal and eccentric CEO, Chip

This paper commences by defining the problems that were faced by Lululemon Athletica Inc in 2013. After, the author explores the causes of the issues that the company was experiencing and the effects that they had on Lululemon Athletica Inc. The next step is to look at ways in which the issues could have been addressed both for the short-term and long-term. When all is said and done, the audience will fully appreciate why “Lululemon Athletica Inc should revert to its fundamentals – that is, to concentrate on the needs of the consumer”.

Lululemon offers the same product line globally as is available in their home country stores. Their Commodity track comprises of trousers, hoodies, coats, shorts for women and men, it equally comprises of brassiere, underclothes and vat tops for women. They use high quality fabrics and ensure that their garments are modified to ensure accurate fit on the body and also ensure the garment doesn’t slack after overtime wash

In a competitive market to which Johnson and Johnson operates, the smallest of errors can lead to consequences which can cut revenue. When large mistakes occur, millions of dollars are lost, and even worse, there is a loss of customer confidence. Johnson and Johnson has had numerous recalls in their consumer healthcare division recently, which rocked the organization’s once sound image, and diminished its profits. These recalls have hurt Johnson and Johnson’s stocks and cost the company about $900 million in sales last year (Rockoff, 2011).

Victoria Secret was founded in by Roy Raymond, and his wife Gaye, in San Francisco, California, on June 12, 1977. The company got its start when Roy Raymond was trying to shop for lingerie for his wife. He’d gone to a department store to make his purchase, only to find himself deeply uncomfortable and made even more so by saleswomen scrutinizing his presence there. “When I tried to buy lingerie for my wife,” Raymond told Newsweek in 1981, “I was faced with racks of terry-cloth robes and ugly floral-print nylon nightgowns, and I always had the feeling the department-store saleswomen thought I was an unwelcome intruder.” Raymond saw an opportunity in his discomfort and in 1977 borrowed $80,000 to open Victoria’s Secret as a store designed originally to make men comfortable when buying lingerie for their wives.

In this assignment, I have chosen to research Hollister to find out if they are discriminative to customers and in recruiting staff, and if they attract the target market. Hollister is an American brand found on July the 27th, 2000 by Abercrombie & Fitch. They welcomed their first store on July 27th in 2000, Columbus, Ohio.

By having the best price, Best Buy can afford to have window shoppers. They will be able to see all of the new merchandise and if they do comparison shop, the will return to Best Buy.

American Apparel (AA) is a well-known United States clothing brand that has gained recognition among the retail industry. American Apparel headquarters is located in Los Angles, California where it manufactures and distributes its clothing products. It is known in today’s society, to be sweatshop free and has a strong belief of workers’ rights. However, American Apparel has had a downfall in the retail industry losing revenue. This research of American Appeal will provide feasible reasons why the company should enter China international market to improve on sales revenue.

Under Armour is currently one of the leading companies in the sports apparel industry whose mission is to “Make all athletes better through passion, science, and the relentless pursuit of innovation”.1 When Under Armour first broke into the sports apparel industry it was a disruptive pioneer that initially made the two giants, Nike and Adidas, a little weary. Under Armour revolutionized the sports apparel industry by creating apparel that used synthetic materials as an alternative to natural fibers, such as cotton, or other materials, such as polyester. This all-important switch to these materials resulted in a 2“shirt that provided compression and wicked perspiration off your skin rather than absorb it. A

Under Armour is a very popular and well-known brand throughout the world, there are many reasons why this is the case and why they are very successful as a company. Under Armour creates value for their customers in many ways, one of these ways is with their basketball shoes. Customers wouldn't want to buy shoes if they didn't think it would be durable and a good shoe. Customers can trust Under Armour’s basketball shoe because it is a shoe that somebody in the NBA wears. This shows that someone is willing to trust their million-dollar contract with their shoes to help them get their well-earned money, and that shows to confidence in Under Armour. Under Armour also gives many different options that the customer can choose from. They offer different technologies, materials, and articles of clothing. There are many different technologies they have, but I will only list a few. One of these technologies is cool switch, this helps athletes perform longer because the clothing will keep them cool and save them from sweating as much which helps save energy. Also, they offer many different materials in case a customer is allergic to a certain type of material there is always another so that they don't lose a customer. They also offer all different types of clothing so that whatever you need they'll have. Based on this research it proves that Under Armour has done so much to get where they are and be as successful as they are.

Levi Strauss & Co.’s Women’s wear Division markets several lines of products but their recent introduction of the Women’s 501® jeans have been particularly successful. The marketing strategy for the new product launch was based on studies identifying two consumers Clusters as primary targets. The first consumer group consisted of women whose median age was 25, who had sophisticated tastes and were appreciative of the latest styles, the second group consisted of