Gap Case - Case analysis on Gap Inc. PDF

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Case analysis on Gap Inc....

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Jay Estime

Questions for GAP, Inc. Case Discussion Please prepare answers for the following questions and bring your notes to class Monday Feb. 8

1. What are relevant items/factors in this case for the industry macroenvironment for Retail, Family Clothing Stores?    

E-commerce convenience for customers as online sales of clothing has experienced growth. Demographic trends Competition in retail The increase of closures in lower-end mall locations

2. Talk about competition in the family fashion industry. Which of the five forces is strongest? Which weakest? 



Threat of substitutes is strongest/ highest because buyers switching costs to substitute is low and there is a good price-performance trade-off. Compared to designer brand clothing. Power of buyers is weakest, products are standardized and there are few large buyers

3. What might a strategic group for this industry look like? Is Gap well positioned?    4.

What key factors can determine success for Gap?  

5.

Attempting to acquire Inditex Group or adopt their ‘fast fashion strategy’ Bottom-up innovation and ideas New designers

Learning more about your customers and what they want Keeping up with the most recent trends as they come along

What are the main problems and issues they must address?  Major decline in sales  Viable approach to staying connected to their customers

6. What recommendations would you make to the firm to improve their future competitiveness in their markets?   

New Gap Inc. brand logo as promotion for new apparel and a hopeful jumpstart to sales New leadership Add staff hired specifically to find ways to stay connected with customers...