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Introduction

MANGO MNG HOLDING, S.L. is the head of a group of companies dedicated to the design, manufacture, distribution and marketing of garments and accessories for women through the fashion distribution chain MANGO/MNG0. Since 2008, the Group has also a mens collection under the brand H.E. by MANGO.

1. Origin
In 1984 Mango opened its first shop on the Paseo de Gracia (Barcelona). A year later, the company had five outlets in Barcelona and from this point on, with the opening of a shop in Valencia, it began its expansion in the domestic market. What was initially a small team had begun to grow: by 1988, the company had 13 sales outlets in Spain. In 1992, the company took its fi rst steps outside the domestic market with the inauguration of two stores in Portugal. The following year, the company opened its 100th store in Spain and, two years later, the business management system, based on specialised and co-ordinated teams, was successfully introduced and is still in place today.

2. History
History of the company is divided into two stages:

First stage (1984-2000) They gradually gained a greater knowledge of the business and consolidated our product and store concept, and implemented the Just In Time philosophy in the distribution area, obtaining a certain critical mass on the Spanish market.

During this initial period, they obtained a written commitment from their manufacturers and producers to observe a series of social, work and environmental aspects. These aspects were collected in a document that specified some general instructions for compliance.

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These instructions were broadened in the second step to make up the current Code of Conduct.

During this stage they also began to collaborate on a series of social action projects. These projects basically consisted of providing assistance in one-off international crisis situations by working with different organisations to deliver clothes and on campaigns for different causes (health, welfare, etc.). These actions are still carried out today, along with developmental projects in different areas and countries of the world.

In relation to the environment, during the 1999 financial year they had set up a good practice program. In the 2001 financial year, an environmental diagnosis study was carried out, which became the starting point for all later developments in these areas.

Second stage (2001- Present) They have reinforced the values of our team and increased our investment in a new concept of complete logistics based on speed, information, and technology. During this stage, the have opened bigger stores and increased the rate of store openings in other countries.

Since 2001, they have been strengthening all aspects of CSR in the organisation. In November 2001, they negotiated an agreement so that a single top-level European laboratory, the Textile Technology Institute, AITEX, would guarantee that garments and accessories do not contain substances that are harmful for health.

In 2002, they initiated contact and discussion with the interested parties. In February of the same year, signed an agreement with the NGO SETEM (which is the coordinator of the Clean Clothes Campaign in Spain), with the aim of establishing a framework of mutual cooperation and openness that has allowed us to move forward and consolidate different aspects of CSR.

In March 2002, they created the Department of Corporate Social Responsibility, whose aim is to establish and coordinate CSR policies and actions within our organisation. In April 2002, they signed the United Nations Global Compact agreement. This agreement - announced by the Secretary General of the United Nations, Kofi Annan, at the World Economic Forum in

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Davos (Switzerland) in January 1999 called on companies to adopt ten universal principles in the fields of human rights, labour laws, the environment and corruption.

The agreement brings together companies, international workers associations and NGOs with United Nations organisations and other bodies in order to encourage collaboration and create a fairer global framework with room for everybody.

3. Evolution
1984 - First store in Barcelonas Paseo de Gracia. 1985 - First store in Valencia. National expansion begins. 1988 - Improvement to the stock management system: Production, Logistics and Distribution apply the Just-In-Time system (production according to market demand). The concepts of product, interior design, quality, price and brand image are defined. 1992 - Their international expansion begins with the opening of 2 stores in Portugal. We open store n 100 in Spain. 1994 - Implantation of a business management system which still exists today, based on specialised and coordinated teams. 1995 - Their website Mango.com is created. 1997 - For the first time, foreign turnover exceeds domestic turnover. They opened a flagship store in Paris, in the famous Boulevard des Capucines. 1998 - MANGO positions itself as Spains second largest textile exporter. 2000 - They opened a new flagship store in London, in the central Oxford Street and launched online shop, Mangoshop.com, being pioneers in our sector. 2002 - With 630 stores in 70 countries, they continued the expansion into new markets such as Australia, Bulgaria, China, Italia and Tunisia. 2003 - They exceeded the annual number of openings, by opening new stores in countries like Honduras, Serbia and Montenegro. 2004 - They entered new markets such as Azerbaijan, Estonia, El Salvador, Macao and Vietnam, and ended the year with a presence in 75 countries. 2005 - MANGO TOUCH is defined as a new fashion venue dedicated exclusively to accessories.

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2006 - Their experience in the North American market begins, with store openings in Costa Mesa, Chicago, Dallas, Los Angeles, McLean, Orlando, San Francisco and Santa Monica. We hold our first fashion show at the emblematic Palau de la Msica Catalana in Barcelona. Also, launched the biggest international fashion prize for up and coming designers, the El Botn-MANGO Fashion Awards.

2007 - They opened the largest design centre in Europe, the El Hangar Design Centre and opened a new flagship store in the heart of New Yorks SoHo district. It is housed in the Little Singer Building, one of Americas first skyscrapers. They started to collaborate with external designers and count on the collaboration of celebrities such as Milla Jovovich, Elisabeth Hurley and Penlope and Mnica Cruz.

2008 - They continued with the 2nd Edition of the El Botn-MANGO Fashion Awards. HE, Homini Emerito, is created, aimed at the young, fashion-conscious male. With this new collection, conceived as a complement to the womens collection, they were moving towards the concept of the multibrand store, in which it is possible to encounter collections by different authors and of different styles belonging to the same company.

2009 - They continue to work with external designers like the New Yorker Adam Lippes and the Belgian Sandrina Fasoli, winner of the 1st edition of the El Botn-MANGO Fashion Awards.

2010 - El joven diseador Moises de la Renta crea una coleccin de camisetas concebidas en exclusiva para nuestra marca. Por su parte, Lee Jean Youn, ganador de la 2 edicin de El Botn MANGO Fashion Awards, disea tambin una edicin limitada.

4. Brands by Mango
H.E. by MANGO H.E. by MANGO was created in 2008 to offer men a contemporary and modern fashion range. The collection, aimed at the young and fashion-conscious male, is based on adapting the latest trends to a simple, everyday and

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urban style. It has a network of 112 stores worldwide, including exclusive H.E. by MANGO stores located in Ankara, Barcelona, Madrid and Singapore.

TOUCH

Spanish mega-brand Mango has just relaunched its concept store chain, Mango Touch, dedicated to Mangos

accessories collections. The Barcelona store opened recently on Rambla de Catalunya and Mango Touch, already a success in Madrid, will expand to 15 other locations across Spain. Mango Touch stocks shoes, jewellery, fragrances, underwear and handbags, among other products, and also offers exclusive collections. Minimalist dcor allows shoppers to focus on the affordable products on offer.

5. Turnover
At the end of the 2010 financial year, the group was represented in 102 countries with 1,757 stores. Of these, 707 were the companys own and 1.050 were franchises. The consolidated turnover for the 2010 financial year amounted to 1,269,532 thousand euros, while the consolidated profit for the same period reached 101,164 thousand euros. It is particularly worth noting that 81% of the total turnover corresponds to sales to foreign markets. As at 31st December 2010, the group employed a total of 9,775 staff. The most significant business figures for recent financial years are as follows:

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DESCRIPTION Net turnover Net profit Number of stores Number countries Sales to foreign countries (%) Average number of employees

2006 942,355 124.039 995 of 89

2007 1,020,356 129,139 1,094 89

2008 1,100,705 143,258 1,228 90

2009 1,145,156 148,016 1,390 97

2010 1,269,523 101,164 1,757 102

74%

76%

77%

78%

81%

5,901

6,973

7,865

8,132

8,690

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6. Geographical Presence
We are now opening stores at a rate of more than three per week and, as at 31st December 2010, we have 1,757 stores around the world.

The forecast number of new store openings for 2011 is about 600, and we will enter the following markets for the first time: Guadeloupe, Bermuda, Monaco, Cambodia, Angola, Ghana and Yemen.

Africa Algerie Angola Benin Cameroun Cote dlvoire Egypt Ghana Libya Maurice Morocco Nigeria Senegal South Africa Tunisia

America Argentina Aruba Bermuda Brazil Canada Chile

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Colombia Costa Rica Cuba Ecuador El Salvador Guatemala Honduras Mexico Netherlands Antilles Panama Paraguay Peru Republica Dominiciana USA Venezuela

Asia and Oceania Australia Cambodia Hong Kong India Indonesia Macao Malaysia Nouvelle-Caldonie Philippines Singapore South Korea Taiwan Thailand Vietnam

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Europe Albania Andorra Armenia Azerbaijan Belarus Belgium Bosnia and Herzegovina Bulgaria Croatia Cyprus Czech Republic Denmark Deutschland Pennsula y Baleares Islas Canarias Ceuta Melilla Estonia Finland France mtropolitaine Georgia Gibraltar Greece Hungary Ireland Italy Kosovo Latvia Liechtenstein

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Lithuania Luxemburg Macedonia Malta Moldova Monaco Montenegro Netherlands Norway sterreich Poland Portugal Romania Russia Schweiz Serbia Slovakia Slovenia Sweden Trkiye Ukraine United Kingdom

Middle East Bahrain Irak Iran Israel Jordan Kuwait Lebanon Oman

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Qatar Saudi Arabia Syria United Arab Emirates

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7. Marketing Mix - 4Ps


Place All our stores are in prime locations, either in shopping centres or in city centres. In order to display our collections, stores have dimensions which make it possible to maintain the interior design, image and product display criteria we have designed in order to create a pleasant environment in which customers can enjoy the shopping experience.

Promotion Since its early days, MANGO has worked with top models. They have been the brands image in each season and some became highly identified with MANGO in Spain, as was the case with Claudia Schiffer, who featured in all the campaigns from 1992 to 1995. The 90s were the years of the supermodels and MANGO featured many of them on the covers of its catalogues. Naomi Campbell, Christy Turlington and Eva Herzigova posed for the top photographers and flooded the city streets thanks to MANGOs campaigns.

The new century brought some of the most unforgettable MANGO images, with campaigns with Maja Latinovic, Ins Sastre, Karolina Kurkova and Milla Jovovich. We also repeated our previous success with Claudia Schiffer.

More recently, new generation celebrities such as Lizzy Jagger, Alice Dellal and Dakota Johnson have featured as our radiant cover girls. Some renowned actresses and models such as Elizabeth Hurley and Lauren Hutton have also collaborated with us.

Products MANGO is characterised by offering fashion for the young, modern and urban woman. It has its own design which adopts the latest fashion tendences and is presented in 3 differentiated lines: Casual Sport Suit

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Jeans

Furthermore, all the lines in MANGO collection can be combined with different accessories like shoes, bags, belts, costume jewellery and other products which are made by MANGO Pricing Mango products are priced moderate. Tops are prices at 1300-4500 and Jeans are prices from 1400 to 2500 and Dresses from 1200 to 6000.

8. SWOT
Strengths Expansion They are present in almost every city Innovative Boutique and Mango city Good quality

Weakness Few customers have sizing Complaints Less innovative advertisements Limited Color choice

Opportunities They want to enter Chinese market open 60 stores in china Acquisitions in order to expand

Threats Competition Zara, Vero Moda, Promod etc

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External changes (government, politics, taxes, etc) Natural Disasters or Power Outage Economic slowdown

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9. Merchandise Mix
1. FAD

Lace Dress

Sequin Dress

Tri-color Straight Dress

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2. Fashion

Double Breasted Coat

Tweed Dress

Wrap Round

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3. Classic

Slim Fitted Jeans

Double Button Suit Jacket

Long Dress

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10.Target Consumer
I. Demographics Customers are fashion-oriented customer aged between 18-35. Mango started with clothing for women and it has a major share of womens clothing. Mango introduced H.E. by Mango for mens but there are very few outlets. Therefore major sales are from womens wear. Young Urban women are Major customers of Mango. II. Psychographics Mango customers are Shopaholic. The women are elegant sophisticated, nightclub goers, young socialites, independent, educated and open-minded women. The customers usually shop once a month. The girl and women who wear mango make it a fashion statement. III. Scale

Materialism Scale

Achievement Vanity

Innovators

Physical Vanity

Compulsive Vanity

Mango customers fall in the area of Compulsive Vanity as they are shopaholic people. They shop to relax and distress themselves. Then they fall in materialism scale that means they are status oriented and like to show-off the brand, their clothes and equally fall in physical vanity, so they care about their looks. Looking good is important to them. They are less innovative and success followers.

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IV.

Day in life of Customer Name - Aditi Malhotra Age - 20 years Educational Qualification - 10+2 and pursuing graduation from pearl academy of fashion

How often do you shop at Mango - Once a month and sometimes twice a month On average how much do you spend each time you shop at Mango - around Rs. 4000 to 7000

Do you buy clothes from other brands and what? Is there anything you would like to see which is missing from Mango range? If yes what is it

You favourite mango clothing in your cupboard? - Sheath Dress Have you ever shopped from online shops? - Yes Do you have any tattoos or piercings? - No Who do you live with? - Parents Do you have siblings? - No What time do you go to bed - depends on the work load of college but I usually sleep around 1

Are you in a relationship - yes Do you go to clubs for partying - yes Do you drink/smoke - drink occasionally but dont smoke Are you active on BBM - yes Are you active on face book - yes

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You like to surf online shops to buy clothes - I usually do surfing but I prefer purchasing clothes in person

Do you pay attention to commercials - Not really Do you wear glasses or contacts - No Your favourites: Cuisine - Italian Color - blacks, browns and greys Magazine - vogue, elle Book - I dont really read books Movie - It is a long list Music genre - Rock, Soft, Punk Rock Band/singer - Air supply, Beyonce, Pussy Cat Dolls TV show - Friends, Gossip Girl, Vampire Diaries, How I met your mother Season - I like winters Holiday Destination - I havent been to Paris but I have always wanted to go there

Assuming the rough idea of mangos customer and dug into the details of their daily lives. Mapping out their needs and choices to understand better. The advantage of doing this is to have a very complete overview of your customers daily life to figure out and experiment with how and when to inject into their lives.

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11.Major Brands Organization


Spains fashion company, Mango continues to expand in the Indian market under its commercial agreement with Major Brands, a long time franchisee in India. Major Brands, which currently has 14 stores of the brand, was the first company Mango established a partnership with in the year 2001. Over time, with handsome investments into branding and market creation, the partnership has grown in strength. However, in December 2010, DLF Brands entered into a new commercial relationship with Mango with the opening of two stores at New Delhi Airport, as Mango continues its expansion plan of stores in international airports. Daniel Lpez, managing partner and Deputy General Manager of Mango declared, We are opening 6 new stores with Major Brands in Mumbai, Chandigarh, Ludhiana, Mohali, Ahmedabad. Majorbrands has been not only our retail partner, but a committed communication partner as well, making Mango a household name among the affluent class in India. We have no licensing agreements with any other partner in India. What we do have is another approved franchisee, DLF Brands for the south, some regions of the west and our Delhi airport stores. This is an exciting development for us. Mango now has a total of 16 stores distributed throughout India in cities such as Mumbai, New Delhi, Bangalore, Gurgaon, Hyderabad, Kolkata and Pune, among others. It also has 2 shop in shop format with Shoppers Stop.

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12. Perceptual Mapping


To develop a market positioning strategy for a product or service, perceptual maps or are often used to help the organisation identify a positioning strategy. Perceptual maps are plotted on the basis of someones perception and what maybe a quality product to one person, may not be perceived as quality to another When plotting a perceptual map two dimensions are commonly used. If we plot mango and its competitors (Zara, Vero Moda and H&M) we can identify those brands which are high price and high brand image. Mango is plotted as high quality and high price, and H&M is plotted Medium Price and Medium brand image. Once completed the perceptual map could help identify where an organisation could launch a new brand perhaps at the medium price and quality range. In this basic map, you can see there is not much competition within that particular area.

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13. Igor - Ansoff Matrix


The Ansoff Product-Market Growth Matrix is a marketing tool created by Igor Ansoff and first published in his article "Strategies for Diversification" in the Harvard Business Review (1957). The matrix allows marketers to consider ways to grow the business via existing and/or new products, in existing and/or new markets there are four possible product/market combinations. This matrix helps companies decide what course of action should be taken given current performance. The matrix consists of four strategies:

i.

Market penetration (existing markets, existing products): Market penetration occurs when a company enters/penetrates a market with current products. The best way to achieve this is by gaining competitors' customers (part of their market share). Other ways include attracting non-users of your product or convincing current clients to use more of your product/service, with advertising or other promotions. Market penetration is the least risky way for a company to grow.

ii.

Product development (existing markets, new products): A firm with a market for its current products might embark on a strategy of developing other products catering to the same market (although these new products need not be new to the market; the point is that the product is new to the company). Frequently, when a firm creates new products, it can gain new customers for these products. Hence, new product development can be a crucial business development strategy for firms to stay competitive.

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iii.

Market development (new markets, existing products): An established product in the marketplace can be tweaked or targeted to a different customer segment, as a strategy to earn more revenue for the firm. This is a good strategy of developing a new market for an existing product. Again, the market need not be new in itself; the point is that the market is new to the company.

iv.

Diversification (new markets, new products): Companies that dominant in one specific market can branch out into new markets to provide a new line of products that differ from their existing stock. This results in a company entering new markets where it had no presence before.

14. Line Diagram


Mango Price Quality Brand Image Location 8 9 7 8 Zara 7 8 5 6 Vero Moda 6 7 6 7 H&M 5 7 7 5

Mango Price Quality Brand Image Location 7 6 9 7

Zara 8 5 8 7

Vero Moda 7 7 6 5

H&M 5 7 5 4

Mango Price Quality Brand Image Location 8 7 6 6

Zara 5 5 8 5

Vero Moda 8 5 6 7

H&M 7 8 5 6

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Mango Price Quality Brand Image Location 7 8 8 7

Zara 7 7 8 7

Vero Moda 7 7 7 7

H&M 7 7 7 7

Mango Price Quality Brand Image Location 9 8 7 7

Zara 8 8 7 7

Vero Moda 7 8 7 8

H&M 8 9 8 8

Mango Price Quality Brand Image Location 9 8 7 9

Zara 7 9 8 9

Vero Moda 8 7 8 8

H&M 6 7 7 4

9 8 7 6 5 4 3 2 1 0 Price Quality Brand Image Location Mango Zara Vero Moda H&M

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15. Price Quality Positioning


Price

High
Q u a l i t y

Medium High Value Medium Value

Low Super Value Good Value

High Medium

Premium Strategy Overcharging

Low

Rip Off

False Economy

Economy

Mango has moderate pricing and quality. That is why it comes under medium value strategy.

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16. Store Layout

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Competitor Profile
Zara
The global apparel market is a consumer-driven industry. Also, globalization and new technologies

have allowed consumers to have more access to fashion. As a result, consumers are changing,

competition is fierce, and companies are evolving to meet these demands. Zara, a Spanish-based chain owned by Inditex, is a retailer who has taken a new approach in the industry. With their unique strategy, Zara has the competitive advantage to be sustainable. In order to maintain that advantage and growth they must confront certain challenges that face traditional retailers in the apparel industry. ZARA HAS become Spain's best-known fashion brand and the flagship brand of 2.5billion holding group Inditex. Amancio Ortea Gaona, the companys founder, began retailing clothes in 1963. By 2005 Inditex emerged as one of the worlds fastest growing manufacturers of affordable fashion clothing. Now with over 2000 stores and promising to double that number by 2011, Inditex is one of the biggest business success stories in Spanish history. Zaras success offers us all some instructive lessons in how to create and sustain a break through strategy. The striking thing is that Zara has found differences that matter to customers and differentiated itself from its competitors by performing key activities [in its supply chain] differently. It is this that sets challenges for competitors because they will not find it easy to imitate or equal Zaras positioning and it is this achievement that has given Zara sustainable competitive differentiation and positioning. History Inditex is a global specialty retailer that designs, manufactures, and sells apparel, footwear, and accessories for women, men and children through its chains around the world. Zara is the largest and most internationalized of the six retailers that Inditex owns: (Zara, Massimo Dutti, Pull & Bear, Bershka, Stradivarius, and Oysho). By the end of 2001, Zara operated 507 stores around the world, including Spain.

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Of Inditexs total employees, over 80% of them are part of the retail sales force and 8.5% are in manufacturing, design, logistics, and distribution. The remaining 11.5% are part of the corporate headquarters of Inditex, which is located in the region of Spain called Galicia. The role of the corporate center at Inditexs headquarters is that of a strategic controller only, and is involved in setting the corporate strategy, approving the business strategies of the individual chains, and controlling their overall performance rather than as an operator functionally involved in running the chains. This gives Zara autonomy to operate independently and be responsible for its own strategy, product design, sourcing & manufacturing, distribution, image, personnel and financial results. With this freedom, Zara was able to make major investments in manufacturing, logistics, and IT, including establishment of a just-in-time manufacturing system and a 130,000 square meter warehouse close to its corporate headquarters. Zara manufactured its most fashion-sensitive products internally and its designers continuously tracked customer preferences and placed orders with internal and external suppliers based on this information. Due to its unique needs, Zara chose to internally develop its business systems. Zara is now able to originate a design and have finished goods in stores within weeks for entirely new designs and take even less time for modifications of existing products. Marketing Mix - 4Ps Products Coats, Blazers, Dresses, Skirts, Trousers, Jeans, Knitwear, Shirts, T-shirts, Shoes, Handbags, Accessories, Mens and Kids Pricing Pricing starts from 990 to 14000. Pricing of individual segments like tops, jeans n dresses are 1000-3200, 2200-4000, 1700-6000 respectively. Place Zara in world has around 1600 stores in 80 countries

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Promotion Promotion is done through top models in advertisements, online and magazines plays a major role in advertising their value to the public. SWOT Strengths Many stores around the world Strong distribution channels at Zara Low inventor assure items sell out quickly Low cost high, quality supply chain Strong distribution at Zara Inexpensive but Fashionable Deals with mostly the supply chain Many Stores around the world

Weakness Price presence is weak Similar to H&M Advertising Bad quality

Opportunities Growth in USA Emerging market offer the best growth opportunities for Zara International Expansion Online market offers huge growth and chance to expand

Threats Potential Oversaturation in Europe

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Natural Disaster or Power Outage Manufacturing Base in Spain may become expensive H&M is a constant competitor to Zara

H&M
H & M Hennes & Mauritz AB (operating as H&M) is a English retail-clothing company, known for its fast-fashion clothing offerings for women, men, teenagers and children. It has over 2,300 stores in 41 countries and as of 2011 employed around 87,000 people.[2] While emphasizing both quality and style, H&M clothing also has an unshifting desire to create products that are available to a wide base of consumers. Affordability is a chief concern at H&M. To achieve this , H&M follows a set of guidelines in their designs. H&M design experts focus on delivering style at an affordable price by remaining cost conscious at every step of the design process. With more than 550 stores in 12 countries across Europe, Hennes & Mauritz AB (H&M) has quickly become one of the world's most successful clothing retailers. Each year, the Swedenbased retail chain sells more than 300 million primarily company-designed garments and accessories, including cosmetics, worth some SKr 26.6 billion (US$3.15 billion). The company has been so successful at exporting its low-price, high-quality clothing fashions that more than 80 percent of its sales are realized outside of Sweden; in fact, since the mid-1990s, the company's largest single market has been Germany, where the company's 150 stores represent some 30 percent of total sales. H&M has also been expanding beyond Sweden with its catalog sales, operated under the name H&M Rowells, which remains limited to the Scandinavian market in the 1990s. History H&M was founded as Hennes in 1947 by Erling Persson. A former salesman and founder of another company, Pennspecialisten, in Vsters, Sweden, Persson had discovered a new

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retail clothing store concept during a trip to the United States. Persson decided to import this retail concept--that of high turnover produced by low prices&mdash Sweden. From the first Hennes store, which featured exclusively women's clothing, opened in Vsters, Hennes expanded throughout Sweden, covering much of the country through the 1960s. Hennes also began to export its low-price clothing concept, beginning with neighbor Norway in 1964, and joined by Denmark in 1967. By the end of the 1960s, Hennes looked to extend its range beyond women's clothing. The company also sought further expansion in Stockholm. These two goals were fulfilled with the purchase, in 1968, of Mauritz Widforss, a hunting and gun shop on Stockholm's Sergelgatan. As part of the purchase, Hennes also received a large stock of men's&mdash'imarily sportswear--clothing items. These were quickly added to the company's retail offering; the company's name was changed to Hennes & Mauritz to reflect its expanded product range. At the same time, Hennes & Mauritz added a line of children's clothing to its stores, so that, by 1970, the company offered clothing for much of the family (two more segments, teenagers and babies, were added in 1976 and 1978, respectively). The Mauritz addition did more than add its name and expand the company's clothing range. It helped transform the company's product offering itself. The introduction of sportswear led the company to develop clothing that better reflected the spirit of the times, as a new generation of youth clamored for clothing that allowed them to express their individuality. H&M began to develop the casual, down-to-earth yet fashionable image that proved a success in its later expansion. Seeking further growth, the company made a new acquisition in 1973, buying up fellow Swedish company Bekldnadskompaniet. In the next year, as H&M prepared further foreign growth, the company went public with a listing on the Stockholm stock exchange. The Persson family, however, retained the largest share of the company stock, leaving control securely in the family's hands. The next move for H&M was to Switzerland, where the company's stores quickly became a mainstay in that country's major cities. Switzerland became one of H&M's principal foreign markets. In 1980 H&M launched its first German store. The H&M concept somewhat revolutionized the German clothing retail market, which was described as having remained rather stodgy. H&M's informality also raised some ripples in Germany, as employees were

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more than encouraged to drop the formal "Sie" form in their conversations with other employees. Nevertheless, the H&M concept caught on well with the German consumer at a time when few other retail brands existed on the German retail scene. Marketing Mix 4Ps Product HM is a brand created in Sweden, famous for their inexpensive and fashion design, one of the most favourite and popular fast fashion brands. The company also customize their products to each country, according to their preference and needs. Price H&Ms pricing tactic is to provide high quality products at a reasonable and affordable price. It is like MacDonald in fast food industry. The company usually price their products lower than their competitors and replenish their products frequently. Placement H&M has increased their speed of expandion to Europe , north America and Asia market after 2000. It launched its first American outlet on 2000, New Yorks Fifth Avenue, which turns out to be a big success. After this , more stores are opened in Manhattan and other area of the country. Promotion The company uses various kinds of advertising methods to promote and communicate their companys philosophy and value to consumers. With the popularity of internet, the company even launched an e-marketing strategy. Now, they are offering online order. As I have introduced about e-marketing, H&M then created its own website (www.hm.com) . the main objective of utilizing the e-marketing strategy is to keep in touch to different internet users to be able to reach more clients and consumers. However, online ordering isnt very successful in the States, more people just go to the website and browse their

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brochure. It hasnt created a successful interactive ways for H&M consumers to shop online. I think website is only a way to support their physical store and build their brand SWOT Strengths:

Cost advantage Effective communication Innovation Online growth Loyal customers Market share leadership Strong brand equity Strong financial position Supply chain Pricing Unique products

Weaknesses:

Diseconomies to scale Not innovative Not diversified Poor supply chain Weak management team

Opportunities:

Acquisitions Financial markets (raise money through debt, etc) Emerging markets and expansion abroad Innovation Online

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Product and services expansion

Threats: Competition Cheaper technology Economic slowdown External changes (government, politics, taxes, etc) Exchange rate fluctuations Lower cost competitors or imports Price wars Product substitution

Vero Moda
Vero Moda Very is fashion conscious clothing with firm focus on seasonal trends and catwalk look. The Vero Moda Very girl has a style-assured look that reflects her love of fashion. She appreciates quality, detailing as well as a good fit. She knows very completes her individual and sophisticated fashion-forward look. Vero Moda Very aims to dress the fashion forward girl from top to toe including accessories and shoes. With a diverse design, Vero Moda Very targets the international fashion aware consumer. Vero Moda - Powered by fashion people. This is VERO MODA's vision. These words represent a persistent effort to improve and develop the efficiency of the entire brand every department, every function - at all times. Our goal is to create and maintain the best workplace possible for staff, partners and suppliers, and to ensure the customer value for money, fashion and innovation. The means through which to achieve this are positive leadership, cooperation, responsibility, dedication, training, commitment, motivation and trust at both strategic and operational levels.

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History "It quickly became clear that the brand was here to stay, and VERO MODA's healthy and successful start provided a solid foundation for the continuing expansion and success of the brand. " A simple idea to create top quality clothing reflecting the latest fashion trends at affordable prices was the start signal for one of Europe's largest clothing brands for young women VERO MODA. The idea was the inspiration of Troels Holch Povlsen, who started the business behind the label in 1987, and Vero Moda was one of the first brands in the Bestseller family to be created. It quickly became clear that the brand was here to stay, and VERO MODA's healthy and successful start provided a solid foundation for the continuing expansion and success of the brand. Since its inception in 1989, Vero Moda has become synonymous with contemporary fashion and designs desired by young women throughout the world. In 1998, Vero Moda had a staff of 15 and the brand was represented in three countries. In 2009, VERO MODA's products were available in 45 countries and a staff of 170 individuals worked at the company's headquarters in Brande, with an additional ever-increasing number of employees across the globe and 75 external sales representatives. Vero Moda boasts a powerful position in the Scandinavian market which, along with Germany, China, and the Netherlands, has most of the brand's outlets. Vero Moda is also strongly represented in southern and central Europe and the Middle East. More recent markets include France, the UK, and Canada. Each market is a valuable sales platform, enabling the company to ensure continuous and positive brand development. Dynamic growth and the conquering of new markets, combined with persistent and loyal work in established markets, continues to guarantee the overall growth and success of Vero Moda. Marketing Mix 4Ps Product Vero Moda sells accessories, Coats and Jackets, Dresses, Jeans, Knitwear, Lingerie, Lounge and Nightwear, Shirts and Blouses, Skirts, Swimwear and Cruise wear, Tops, Trousers and shorts

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Price Pricing is affordable and quality is good. Pricing starts fromm 1000 and reaches till 9000. Tops: 1000-2500, Jeans: 1200-4000, Dresses: 1200-4000 Place It has expanded in 45 countries with 1700 stores. Promotion Vero Moda promotes through Celebrity Endorsements, Magazines and online SWOT Strengths:

Cost advantage Effective communication Innovation Loyal customers Pricing

Weaknesses:

Not diversified Poor supply chain Weak management team

Opportunities:

Acquisitions Emerging markets and expansion abroad Online Product and services expansion

Threats: Competition

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Cheaper technology Economic slowdown External changes (government, politics, taxes, etc) Exchange rate fluctuations Lower cost competitors or imports

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