LUELLA FASHION COMPANY Case Study

A critical analysis can then be conducted to come up with market segments for the product and services that are being. It may not be practical to offer fashion services without identification of the target market for the purpose of a segmentation process. There are operational issues that must be well addressed in order to offer the best service to the consumers. The internal structure must be well laid out in order to ensure proper coordination of all the functions involved in the processing of the products to the customers. Communication channels must also be reviewed. Competitive advantage is also a major issue of concern that is greatly connected to market. In this case, organizations will always seek ways in which they can gain and sustain a competitive base over other companies in the fashion industry.

When there is communication breakdown, other companies may take up the opportunity to gain and sustain a competitive advantage, which may prove difficult to override once it is taken up. For instance, if there is a new fashion style in the market, the marketing department must be connected to get immediate information. If there is communication breakdown, other companies may take it up as an early advantage over the fashion business (LUELA COLLECTIONS 435). In order to build a successful cloth line brand in the fashion industry, there must be proper development of an effective brand identity that starts off with a working philosophy for the entire business. In order to ensure that consumers are kept on the company’s product consumption, the issue of developing and effective brand can never be assumed (Mosca 69).

The process of building the company’s brand must be enhanced with brand loyalty and an integral part of the process. Brand loyalty will play part in ensuring that the business retains as much consumers as possible to prevent them from shifting to the neighbouring competitors. The brand that is generated must be supported by a strong marketing program that will gear the actual business operations of making the specific fashion line entity a big success. Strengths: Losing out on the strong areas of the business is typically giving way for competitors to thrive above the business in the industry. For this reason, the company does not intent to allow any other supplier to be considered as the greatest fashion store for children and women (Thomassey 234).

As a big store, the company will make an effort to grow and expand as many branches as possible to capture new markets in other sections of the world. Weaknesses: The weaknesses of the current system in the business will to understand the areas that need necessary and urgent attention in order to regain instant stability in the market. For this reason, the weakest point in the business is the supply of cloth line for small children. Marketing mix: The strategy will offer a combination of factors that will enhance the consumers to purchase products from the business. Most marketing strategies will focus on selling as many products as possible within a short time (Vuruskan 95). The essence of marketing mix is to offer a combination of techniques that will ensure products are not left on the shelves for a long time before new arrivals are made.

The first product in this case will involve offering of discounts for certain amount of products that are purchased. By offering these discounts, the intention is to drive consumers to purchase as many products as possible within their limits. The issues that arise might not be the same. Therefore, priority must be set in order to offer a more individual centred service to the customers. The move will also ensure a high level of customer satisfaction levels as well as sustain it for the longest period possible. The major market segments in this case are the women and children who form the main customers of the business. Their issues must be constantly traced to ensure that they are addressed on a regular basis.

The product: The main product in this case is fashion for small children. The target is children of tender age from the time they are born to the age of 10 years. Within this range, most companies are not sensitive of the opportunity that lies within especially when dealing with fashion. First, stocking of these cloths must consider unisex type of fashion. At tender ages, it will be a great opportunity and product to offer for small children which many stores have not yet explored. If it is assumed that this is standard figure that is expected for the next 10 months, then the organization will have accrued a total of $30,000. In this case, a projection of a period of 5 years can be calculated as: Annual sales multiplied by 5 years $30,000 by 5 = $150,000 In general, the company should have accrued sales revenue of at least $150, 000.

With this amount, it will be possible to expand the business by increasing many other outlets. In addition, the company might consider an additional cloth line to increase the product offered to customers. This will be done based on a critical analysis by the marketing team to ensure that investment into this new product does not affect the current service offer and retention rate of consumers who already exist. The focus in this case is to develop an internal structure that will ensure that is proper coordination and maximum cooperation of all the units. First, the management will play a major role of ensuring that a research based culture is inculcated into the system (Zhang, et al. With this, the research department can work in collaboration with other departments such as operations that are involved with the supply chain system and technology who ensure that the infrastructure is put in place to ensure better communication between the individual departments.