Repositioning Strategy of Burberry: A Case Study

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Answer 1
The case study clearly explains that the company Burberry wants to change its business
strategies in order to grow in fashion and retail market. Earlier in the fashion and clothing
industry, the company was placed at a position where the customers believe that the brand is
economical, chic and affordable by them. However, the economic conditions of the country
along with industry reduced the profits of the business in the target market. Resulting in which,
the company was convinced to reposition the brand in the eyes of prospective customers and
maintain their position as well. An important fact should be noted that the repositioning strategy
of the company aimed to transfer the brand from affordable brand to a class and rich brand
present in the market (Phan, Thomas, and Heine 2011). The company believed that upgrading
the brand will successively increase the profits and help the business to attain competitive
advantage as well. Further, this business objective of the company would require various
changes in the business program and implementation of change management process as well. It
is important for the business to align the marketing plan with the brand objective of the company
so as to effectively complete aim as well. Thus, the facts should be noted that repositioning of
the brand is an important aspect that helps the business in growing and becoming profitable in
the target market (Wilson, and Robson 2019).
Furthermore, analysing the activities of the company Burberry along with its business objective
to reposition the brand, it should be noted that the macro environmental factors along with the
internal factors insisted the company to make such a move in the market. As it was believed that
repositioning with help the company to become stable and manage to create a dignified position
in the market due to which the company shifted their products in the premium segment. Further,
talking about the implication of business if such reposition strategy of the company is successful
then the company would earn growing profitability in the target market along with positive
customer feedback as well (Gaustad, et. al., 2019). The target market class of the company will
shift from middle and lower to premium range customers which will significantly provide more
profits to the business. With the help of this type of repositioning strategy, the company will be
able to eliminate the losses and adversities and grow as well. Thus, it can be clearly said that
using the repositioning strategy, the company can easily position themselves at the right position
in the target market (Robinson, and Hsieh 2016).

Marketing 2