Crafting-Toms shoes Q-4) PDF

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Q-4) What is TOMs shoes situation like? What are internal strength and weakness? Its External opportunities and threats? A-4) TOMs shoes situation like creditors have agreed to take over the maker of casual footwear in exchange for forgiving its debt, according to a company letter sent to employees on Friday and people familiar with the matter. The group of creditors will take over ownership of Toms from its founder Blake Mycoskie and private equity firm Bain Capital. Bain had acquired a 50% stake in Toms five years ago, valuing the company at $625 million, including debt. Internal Strength of TOMs shoes – One for One” campaign is great, it provides a product that is useful, affordable and for each piece of product sold someone in need gets a benefit. The philanthropic business venture is strong. Recently they have added the option to be able to customize their shoes to consumers liking which has elevated the brands image. Toms’ shoes have a variety of styles in the shoes along with different styles for their eye wear, backpacks, and handbags. It has great brand awareness and engagement throughout all their social media platforms. Having consumers aware of what the benefit of buying a product from TOMS builds an emotional feeling. It has customers feeling that they are also contributing to those in needs. The quality of shoes is ecofriendly which goes with their humble message. Internal Weakness – Toms is a new company. This company offering all their styles and collections under the categories drop down menu may look overwhelming or too many words listed at once. They have limited styles and very defined target customers. Overpriced for the quality and material of the shoes. They are not investing in advertising. External Opportunities: Opportunities expand professionals’ footprints. Since philanthropic projects will still be needed, and Toms has done such an excellent job of finding niche products and adjusting their product line accordingly, they have space to expand. They can enter foreign markets and grow thanks to strong web-based sales and ongoing contact with customers. External Threats: Strong criticism has led some to have a strong opposition to Tom’s business strategy. Some believe that the money spent on the shoes could be put to better use. A negative image can hinder the work Toms is trying to accomplish. Oversaturation of shoes market. Website is not advanced as others....