retail management Essay

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Heng Seng Management College
BUS4003 – Retail and Channel Management
Baleno Case Study
Group Member:

1. Introduction

1.1 The history of Baleno

Baleno’s story can be traced back to 1981, established by young fashion experts. “BALENO” was registered in Hong Kong in 1996 and established Baleno Holdings Limited as the holding company. With successful rebranding tactics and marketing strategies, Baleno expanded its network rapidly across Asia. Baleno understands that no single brand can serve all customers. So Baleno wisely makes use of multi-brand strategies and its rich apparel-retail experience to penetrate different markets. By building up a chain of direct operation shops and encouraging partnership with authorize
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Fabric production, garment manufacturing, dyeing and bleaching and casual wear retailing were vertically integrated within the group, resulting in lower costs and economies of scale. The establishment of its Dongguan factory and its investment in advanced production technology had ensured a stable supply of products to its outlets and helped reduce transaction costs in distribution. Also, Baleno had ten regional distribution centers in China.

1.3 Mission and Vision Statement

Baleno decided to build a strong brand image which customers would associate with “Value-for-money”, “Innovation”, “Simplicity”, “Trust and Respect” and “Service”.

Baleno provides quality clothes and comfortable shopping environment to customers
Baleno encourages staff to think out of the box – creativity is encouraged
Baleno streamlines the process by keeping it simple and effective
Trust and Respect
Baleno promotes mutual trust and respect
Baleno emphasizes customer service as its top priority attitude

Baleno positioned itself as “value for money”, offering mass apparel design, quality clothing at competitive prices, superior customer service and a comfortable shopping environment. Simple, clean and natural lines were popular then. Consumers increasingly desired their own personal style, preferring to mix-and-match clothing for themselves. They also demanded
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