The variables selected should be discrete rather than quantitative or continuous. While the prices are realistic given the nature of the products we offer to our consumers, at times our consumers may not agree.
Because of such Strategic group map of department store, we have decided to revamp our apparel division, an area in which we can still greatly improve.
There should be a big difference between the variables selected. Variables selected as axes for the map could be product-line breadth wide, narrowprice high, medium, lowquality high, medium, lowgeographic coverage local, regional, national, global etc. Newness of Facilities - Weakness Our facilities abroad have attracted bad publicity in recent years.
Steps are being taken to alleviate the problem of collecting accounts receivable in a more timely fashion. This attractiveness depends upon the industry driving forces, prevailing competitive pressures and profit potentials of different strategic groups. A relative size of each strategic group depends upon the combined sales of the firms in each strategic group.
While Nike has had various policies in place, weaknesses still exist in regards to labor policies in overseas locations.
As a result, we have had to exit two manufacturing operations at our Bauer Nike subsidiary. We had to terminate 51 employees. Being slightly above the industry indicates that we could sell less of our inventory than what other companies in the industry would have to sell to meet current obligations.
Innovation has been the key to aiding Nike in securing its position as the leader in the market. This shifting is however difficult if the entry barriers of the target strategic group are high.
Nike prides itself on being a premiere provider of high quality sports footwear and apparel. This presents a weakness.
Reducing inventory levels was a key initiative for Nike in fiscal year An example is the decrease in brands made available due to declining sales of in-line skating and roller hockey products at Bauer Nike Hockey. All the firms that fall in the same strategy space should be allocated to the same strategic group.
The production facilities are located close to raw materials and cheap labor sources. Company management stated, "We put a considerable amount of effort into improving product buying power patterns and as a result the composition and levels of inventory resulted in improved gross margins relative to a year ago.
Due to our ability to quickly turnover inventory, Nike benefits from greater cash flows, reduced storage costs, and less spoilage. Different competitive variables should be used as axes for the map because there is not necessarily one best map.
Identification of attractive and unattractive positions of the firms in industry. Our collection period calculates to Finally, sketch circles around each strategic group. Management of Debt - Strength Our debt-to-total-assets ratio is However, at times we expanded into markets for which we were not strategically suited.
An arrow can be attached to the circles showing the targeted direction of the firms which are trying to change their competitive positions on the map. As Nike continues to expand in the global economy and increase its market throughout the world, these dispersed facilities will prove to be beneficial.
It helps in analyzing the type and level of entry barriers the firm will face. We received much bad publicity as well as experienced a decrease in sales as a result of poor labor policies and lack of policies established abroad. Increasing the minimum age of footwear factory workers to 18, and minimum age for all other light-manufacturing workers apparel, accessories, equipment to 16; Expanding education programs, including junior and high school equivalency courses, for workers in all Nike footwear factories; Increasing support of its current micro-enterprise loan program to 1, families each in Vietnam, Indonesia, Pakistan, and Thailand.
Due to the lead Nike possesses in the industry, we can afford to look long-term and place a greater emphasis on innovation as opposed to other companies with a short-term outlook attempting to improve upon existing products and services.
Though our facilities comply with local labor standards, generally, they have not met U. A relative size of each strategic group depends upon the combined sales of the firms in each strategic group. Social Responsibility - Strength In response to accusations by consumer groups over unfair labor practices, Nike has developed a Corporate Responsibility Policy that discusses how we will improve working conditions for our international employees.
Successful projects can realize immediate profitability while unsuccessful projects may be discontinued without enduring materially large losses.Macy’s: A National Brand Executive Summary Federated Department Stores, owners of over nationwide departments stores, is the department store the retailing center it once was.
Macy’s name alone should peak the interest of consumers and get them in the stores.
The real problem Macy’s faces is making the department store as. Group 1. Kim Enderle. Dan Hirsch. Lisa Micka. Brian Saving. Sheetal Shah.
The shoe was a worldwide success for the Onitsuka Tiger Company and was sold at the first BRS store. InBRS, with creditor support, started manufacturing their own line of shoes. Nelson Ferris, a 47 year-old head of its corporate education department states. Strategic group mapping is used for the purpose of displaying the competitive positions that rival firms occupy in the industry.
In every industry there are some. Transcript of Department Store Industry. Department Store Industry Dominant Economic Features Porter's Five Forces Companies in Strongest and Weakest Positions Key Success Factors For Competitive Success Analysis and Summary Strategic Group Map Presented by: "Risky Business" Meghan Chelette Morgan Cothern Department stores- broad range.
Strategic Group Map of Apple Inc. Relation between Apple's Strategic Group & it's organizational focus - High Quality Products / Premium Prices. - Focus is mainly upon valuing customers by providing exceptional quality products, repairs and expert advice.
Mobility Barriers. CONSTRUCTING A STRATEGIC GROUP MAP STEP 1:Identify competitive characteristics that »Department of Labor (BLS), Census data, Patents and Trademarks Office, SEC, STRATEGIC MANAGEMENT INDUSTRY ANALYSIS NOTES Page 14 DKD .Download