Urban Outfitters Case

Both of these companies are doing better than the industry average at turning over their inventory.

* Raintree must maintain a current ratio of at least .9 in order to maintain the terms of the debt agreement in place with the bank. If Raintree fails to do so, the cost of borrowing from the bank will likely increase.

Do you think that either firm can attain a sustainable competitive advantage in this business?

You have recently been hired as the HR manager responsible for two separate Ontario locations belonging to Wilson Brothers Limited. You have been asked by the HR Director at the head office in Brandon, Manitoba, to quickly provide a report on any initial HR issues related to Recruitment and Selection, Compensation and Benefits, Health and Safety, Training and Development and Labour and Employee Relations that are affecting or will affect the Cambridge operation and the new plant in Scarborough. The HR Director has made it very clear that Wilson Brothers would like both the Cambridge location and the new plant in Scarborough to remain union-free and are willing to offer very competitive wages and benefits

b) (2 pts.) Does either firm have a dominant strategy? If yes, which firm and what strategy?

Urban Outfitters, often referring to itself as simply ‘UO’, is the corporate entity that includes retail chains Urban Outfitters, Anthropolgie, Free People, Terrain, and BHLDN, has became the greatest global retailer in the world. Back in the beginning, the first Urban Outfitter store was opened on a street nearby Pennsylvania University in 1970 by Dick Hayne and Scott Belair, both are the company’s chief executive officers (CEO). The first store’s name was Free People and it sold furniture, second-hand clothing, accessories, and decorative items. The store’s target market was young people, especially college students and it continues to dominate this market segment.

Urban Outfitters Inc. is one of the leading lifestyle retail companies. Urban Outfitters operates in over 500 retail stores worldwide, with plans to open over 35 new locations by the end of the next fiscal year. The company also has a website, mobile app and catalogs used to assist with sales. Urban Outfitters has goals of expansion and growth for their numerous brands.

Financial ratio’s / accounting ratio’s are best described as being “the relative magnitude of two or more selected numerical values taken from an enterprise’s financial statements (Libby, Libby, Libby & Short, 2011),” in order to evaluate the overall financial condition of a business. Whether they are viewed by stakeholders within a firm, or current and potential stakeholders outside of the enterprise, financial ratios can used to compare the strength of a company against its own performance objectives, or in comparison to those of its leading competitors within the industry. In this paper, we compare Urban Outfitters and American Eagle against each other

Urban Outfitters is a specialty retailer and wholesaler. It has three major brands: Urban Outfitters, Anthropologie and Free People. It likewise makes them create brands, for example, Terrain and BHLDN (maintained under obligation).

Bed, Bath and Beyond (BBBY) currently has $400 million more in cash than they need for ongoing growth and operations requirements. While the company is financially sound analysts and investors worry about the company’s capital structure decisions. Investors do not want to see that much cash on the books and worry that the current capital structure is not the most effective for the future. They prefer that BBBY change their capital structure by paying out excess cash and issuing debt. This could allow BBBY to improve their return on equity and raise earnings per share. Given the low interest rates available it seems like the perfect time for BBBY to add debt to its capital structure. Until now they

Nordstrom’s have made some great choices that distinguish them from other retailers, like Target. For starters, Nordstrom has made the decision to make shipping free for everyone with every order. There is no catch with their free shipping and there is no amount to reach in order to receive that great deal. Unlike Target for example. Target only does free standard shipping when you spend $25 or more.

According to Forbes magazine’s, Staples Center building earned 345 million dollars; of that 30% of their earnings was from advertisements. From the display screen, companies would be able to market their products, and resultantly the stadium would receive revenue for permitting them to air their commercials. Also, the stadium can receive profit from displaying companies' brand and logos on merchandise such as cups, plate, and shirts inside stadium. From assisting companies in marketing their products or brand, the minor league baseball stadium would be able to earn additional income beside from ticket sales, and selling food.

1. Consider Dunlap’s statement on page 3 of the case: “Stakeholders! Every time I hear the word, I ask how much did they pay for their stake? There is only one constituency I am concerned about and that is the shareholder primacy? Do you agree or disagree with Dunlap’s view of shareholder primacy? Explain

The New York based company – Aeropostale is closing 41 store location across Canada – including stores at Chinook and Cross Iron Mills. Going out of business sales will start May 9 at the Canadian locations. There are many different factors affecting for closure of retail stores in Canada. Aeropostale clearly lacks a sense of personality amongst youth. Customer experience wasn’t that great or up to the mark when compared with other brands. “Fast fashion’’ outfit with more inexpensive, have emerged in recent years to take a growing market share from Aeropostale, American Eagle getting dominated from the retail environment.

Answer: Both Companies are acting on a high-tech market. The development and progress in this market is really fast.