Strategic Analysis Of Burberry

Internet fashion retail is a highly competitive market, the trends in the industry and company’s success relies on customer’s needs, which change constantly. “Competitive advantage is the delivering of superior value to customers and, in doing so, earning an above average return for the company and its stakeholders” (McGee, Thomas & Wilson, 2005, p.207). In order for ASOS to stay on top of its competitors, the trends in the industry have to be monitored, so that further they can be strategically translated in developing new products, to gain customer satisfaction.

The retail industry such as Men’s Wearhouse, Macy’s, Burlington, and Express operate websites and are part of a highly competitive industry. They contend with local, national, and global online retailers that bring comparable products and offer comparable services. Consumer opportunities in retail are shifting quickly with online retail stores, with an innovative future, which includes speed, convenience, and personalized mobile access. The change to e-commerce is pervasive to traditional retailers that must adjust their growth strategies, or risk a downturn in business. Whereas retail is ever expanding within e-commerce, retailers do offer different products and services in order to promote their

Understanding the general environment of a certain business requires knowledge regarding the key factors and trends in broader society. PESTEL Analysis gives a business the ability to break down the general environment into six different categories: Political, Economic, Social, Technological, Environmental, and Legal. By analyzing and studying each area, a company can create a strategy that most benefits them. Sears and K-Mart are two retail businesses that can gain from understanding the general environment through PESTEL Analysis. They could use it bad. One way to take a step forward is by creating new innovative strategies and conducting a PESTEL analysis is a good place to start.

With improved global relationships, business web is expanding its roots to every corners of the world. There has been lot of advancements in the corporate sector for the past decade. Retail marketing, e-commerce has grown enormously. With advanced computer and information technology, the retail, e-commerce has increased tremendously; applying these new technologies in business has established many new business approaches and strategies(Ramcharran, 2013). It is stated that in the year 2011, online shoppers in the United Kingdom spent 50 billion pounds which is more than 5000 percent increase in the market when compared to the year 2000; this is just because of the increased access provided to the customers and attractive features like

According to Ratner (2014), e-commerce can be a great opportunity for the company because 25% of its customers rely on the company’s online shop Target.com. The online store has attracted a large number of customers and therefore the company needs to focus on how to appeal to these customers in order to retain and attract more customers to the online store. Additionally, Target has a strong reputation as a fashion retailer, which has proved to be successful. Through the promotion of Lilly Pulitzer products. In brief, the company needs to focus on online marketing in order to compete with its rivals such as Walmart and Amazon, which seem to have established their reputation in the online

E-commerce has become the hottest topic from the second decade of the 21st century and will continue to expand across the whole world rapidly. Because of the development of online business market, some luxury brands will have to embrace the online retailing trend. Those luxury fashion brands who needs to find an online partner to show their fashion products will give websites, such as Net-a-Porter, a chance to engage in the online luxury fashion market.

Lately, there have been issues of brand management on the internet. The new digital tools require a lot of adjustments at the executional stage. According to Chaffey (2000) Internet marketing success depends on the sites interactivity features. Also added that a brand’s presence online should be conceived in a way that is sympathetic to the technology and the environment. Many brands fail in the execution of different features resulting in customers’ needs and expectations not being met says Hewson and Coles (2001) The consumer still looks up to the luxury brands although the bond is presently being evolved beyond the existing “top-down” model. (Okonkowo, 2009) The percentage of online shoppers and the sales of luxury brands have been on a positive growth. In spite of the growth, it’s not clear that what drives the consumers to shop online and whether they would be interested in shopping if attractive online stores were introduced. Therefore, what factors affect consumers to shop online will be examined here. A framework is necessary to develop the complex system and determine these factors, influences and buying behaviors of the consumer. (Perea, 2004) Affluent consumers use the internet as their powerful source of information about the luxury products and it is necessary that they have an online presence.

Inditex faces competition from a lot of different companies today, but Inditex’s main advantage is their business model, which is now concerned to be unique. Many different factors have an impact on Inditex business model structure and they may cause different changes in it. The macro-environmental factors, which help to improve business strategy of Inditex year by year, can be best shown in PESTEL analysis. It includes political, economic, social, technological, environmental and legal factors impacting Inditex.

Corporation (VFC) has multiple channel to customers which are its owned stores, license stores, and e-commerce websites. It has 1401 retail stores only under the direct to customer operations. Also, it has 80 outlet stores in the US. Most of stores that the company operates are full priced stores excepts outlet stores. Additionally, the company sells all of its major brands through online channel. E-commerce sector is a growing market for the retailers, increased 1.9 percent on sales from third quarter of 2016 (US Department of Commerce). The e-commerce sales are accounted 14 percent in the VFC’s direct to consumer business. To attracts more customers in e-commerce market, the company plans to launch additional and specified brand sites in the Europe and Asia. The wide retail network could become a competitive advantage to VFC that helps to expanding its customer base by offering variety of products through its multiple retail channels (MarketLine).

Polyvore’s strength lies in the type of target that frequently visits their website. It is highly profile based on the products shown on its platform (related to fashion, home decor, lifestyle) and based on people that are strongly interested in purchasing the products, much more than other social networks. Polyvore doesn’t only provide an audience for big brand but any brand in the fashion industry and design can exhibit their products in this online platform and interact with potential customers, through comments and likes. As a company, its strength lies in the employees who work together in an office with no cubicles and who have an open communication with one another and the executives. According to the iconic marketing team, “Polyvore’s low-cost per order and high average basket size continues to make them an attractive and exciting partner to work

Burberry need to scan their market segments in order to gain the most competitive advantage. Pestle analysis looks at the political, economic, social, technological, legal and environmental factors that affect an organisation providing a ‘comprehensive list of influences on the possible success or failure of strategies’ (Johnson, Whittington, Scholes, 2011). However, the three main changes that focused on in this essay are Economic, Social and Environmental factors. The economy within China is currently very stable; being a part of the 4 fastest growing economies in the world (BRIC: Brazil, Russia, India, China), it has made large strides in recent years in the business and industrial sector. , the country

The Burberry 2011 Annual Report does in general meet the conditions of the Combined Code. Beginning on page 66 is the Director's Report. This section extensively reports on the Board of Directors, including their biographies, the corporate governance statement, information and financial reporting, relations with shareholders and other elements of the Board's function. The Board provides leadership for the company with respect to its internal control. The Audit Committee is responsible for this internal control. There are five members of the audit committee, and they are all independent.

In recent decades, Aston Martin has developed to be an iconic marque symbolized with luxury and elegance since 1913 (Aston Martin, 2015). However, Aston Martin has slowed down the market demand in Europe and North America (KPMG, 2013: 12). Nevertheless, Aston Martin plans to do an investment to expand the global market (Tift, 2015), Meanwhile, because Turkey is the fastest rising country for luxury cars, it seems advisable to target Turkey as a potential developing market (Porturkey, 2013). This report will attempt to evaluate the expansion of Aston Martin in Turkey with macro PESTLE analysis, followed by SWOT analysis, a market entry strategy and concluding recommendation for future marketing strategies based on the

This report was commissioned to examine how ASOS has greatly uses their strategic business plan and integrated with the E-commerce to create sales miracle in the fashion industry. E-commerce has brought an enormous impact to the traditional business activities, it highlights the sign is to increase trade opportunities, reduce trade cost, simplify the trade process, improve the trade efficiency. E-commerce has significantly changed the business model. Lead to the transformation of economic structure. In developed countries, the electronic commerce development unprecedented prosperity, trading via the Internet has become a trend. The purpose of this report will firstly show the changes of consumer behavior of converting physical shopping to E-shopping. Mainly, this report is to analyze the external and internal context base on the case study of ASOS. For the external environment, the essential driver of the success of ASOS is the emphasis. There are three approaches, Porter’s Five Forces, PEST analysis and strategic group mapping will be used to indicate ASOS’s commercial performance and observe competitor behavior and find out further opportunities to enlarge business pattern. The aim of analyzing the internal context of ASOS is to reveal its operational conditions and value chains. The following parts will contain its strategies and policies, and how its policies to affect target customer.

Her transformation of Burberry had become a text book example of how to transform a business that other luxury brands are sometimes said to be “doing a Burberry” (Financial Times 2004). In 2005 Angela Ahrendts, replaced Bravo as Chief Executive who made changes to Burberry product line by making checks more stable and by focusing more on higher-margin products like handbags and perfumes (Friedman 2011).