SWOT ANALYSIS SWOT stands for the internal strengths, weakness and the external opportunities and threats. A swot analysis summarises the key issues from the industry and the strategic capability of an organisation that are most likely to impact on strategy development. Strengths. Strong brand awareness. (Next has a strong heritage and roots in its brand perception relating to good design and quality).
Truly integrated multi-channel clothing retailer.
(Its Internet operations are seamless with the directory and the company also uses this channel to drive customers into stores. ).
The Next women swear blouse collection is a combination of design, quality and comfort… Good value for money… Costs of production are falling as manufacturing is increasingly being relocated to cheaper locations around the world. This may lead to reduction in price of the product range…
MFA expired January 05′ – leading to major impact on value growth. (International developments will also have a major impact on value growth. An international pact – the Multi Fibre Arrangement (MFA) – has imposed strict limits on imports of textiles from the developing world into industrialized countries since the 1960 s. However, the MFA expired in January 2005 and imports are now no longer subject to quotas. Consequently, the global textile industry is expected to consolidate, with production shifting to the most efficient, cheapest and most reliable suppliers – India and China are expected to emerge as the behemoths of the industry. Indeed, the World Bank estimates that China will control nearly half the world’s clothing exports by 2010, up from around 20% in 2004.
The Essay on Ford and the World Automobile Industry
Changes in the structure of the auto industry The 1965-1972 automobile industry was a low competitive environment, and as a consequence was a profitable industry. Indeed, during this period: ?Industry rivalry was rather low: ?The automotive market was fragmented into separate national markets and the primary concern of manufacturers was their domestic sales. As a consequence only a few competitor ...
As a result, consumers are likely to see prices of clothing fall by between 5% and 10% in 2005, further capping growth in the value of the market)… The UK industry is strong in fashion and design, leading to a reputable international brand… They cater to all segment markets like maternity wear, petite and the sizes for the blouses go up to size 22 from size 6. Weakness. May need to consider having a faster response fashion range… Store interiors can be somewhat bland and uninspiring…
Fierce competition is leading to heavy discounting that is eroding profit margins… Under- in the fashionable group of young women between 18 to 23 yrs… Lack of consumer awareness of the Next blouse collection. (survey, see appendix).
They have not used all the channels for promoting their products e. g.
TV, magazines, radios and newspapers… Customer services. Opportunities. Can improve fashion appeal in women swear blouses… There is still plenty of potential for further consolidation in the market… There is potential for further expansion abroad and growth of franchise business…
As the number of working women continues to increase, they will not only need more clothes for work but are also more likely to have the financial independence which will lead to the increase their spending on clothes. Therefore, next has the opportunity to widen their range of blouses… Emerging manufacturers & suppliers from the Far East, other European countries and other worldwide locations seems to be a good opportunity to be grabbed, as they can provide the most efficient, cheap and reliable supply of product range… Staff training on whole range to improve ATV… Personal designers for working women… Next loyalty scheme – Next card.
The Essay on Target Market Fashion Company Price
Summary: This article is a successful story about a Swedish retailer, H&M (Henne's & Mauri tz). In 2002, H&M! |s pretax income is about $833 million, a 34% increase form the previous year. That is an amazing growth especially in today! |s slowing global eco om. The profit growth is not only due to its expansion, but also its targeted strategy for different markets. For example, in U. ...
Threats. Increased competition from UK retailers with lower price points and faster response times… Clothing chains from overseas, particularly those from Europe, such as Zara, have successfully invaded UK high streets… Increasing competition from young fashion end of market like H&M and Topshop… New entrants such as Coast have grown and expanded considerably… The fastest growing channel in the garment industry is the supermarkets, Asda and Tesco are outpacing the best performance specialists.
Also there are possibilities of other supermarkets starting their own brands.
