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Inquiry Based Learning: Impact of Online Retailers on H&M

   

Added on  2022-12-12

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Inquiry Based Learning
Inquiry Based Learning: Impact of Online Retailers on H&M_1
Table of Contents
INTRODUCTION.....................................................................................................................................3
MAIN BODY.............................................................................................................................................3
TASK..........................................................................................................................................................3
Background of the Company...................................................................................................................3
Analysis of the Company.........................................................................................................................4
Recommendations...................................................................................................................................5
CONCLUSION..........................................................................................................................................6
REFERENCES..........................................................................................................................................7
Books and Journals:.................................................................................................................................7
Inquiry Based Learning: Impact of Online Retailers on H&M_2
INTRODUCTION
Inquiry based learning can be understand as an approach in which an individual
underlines to learn in his learning process. In such type of approach, student learn himself
instead of asking from their teachers or mentors and they are required to know and motivate and
encourage to explore the materials, share their ideas and ask as many questions for their learning
(Bevins, S., Price, G. and Booth, J., 2019). The aim of this learning as it lets a learner to explore
and build knowledge through discussion and experiences. There are many different approaches
to learning which may include guided learning and small group discussion. This type of learning
focuses on learning by doing practical things rather than memorizing material or facts.
MAIN BODY
TASK
Background of the Company
This report is going to highlight on the retail association named H&M which is an
abbreviation of Hennes and Mauritz AB. It was founded in the year 1947 by Erling Persson. It is
a Swedish Clothing Retail Company. The respective company is multinational in nature. H&M
is popular for its fast fashion clothing for women, men, children and teenagers. H&M has
declared as the second largest clothing retailer throughout the world.
Sustainable Fashion
Sustainable fashion is a process or a movement of nurturing change to fashion products
and the system towards greater social justice and ecological uprightness. It concerns more than
on fashion textile or products. This can be also understood as an eco-fashion. In other words, it
can be described thus partly about producing shoes, clothes or accessories in socio-economically
or environmentally in sustainable manner (Verawati and Prayogi, S., 2021, February). Moreover,
with this, it is also about patterns of use and consumption which was demand flows in customer
outlooks and behaviors. In the reference to H&M, the company statements to be moving towards
more sustainable practices and has been impacted on the environment of fast fashion and labor
who make their products or clothes. Furthermore, the respective company has clearly made some
success for the environment. H&M has clearly taken some helpful steps to reduce impact on
environment. They initiate a recycling program where a customer can return their clothes from
any kind of brand in their store as a result it gets some positive impact towards sustainability
report (Norton, M. L., 2020). The company practices in their supply chain management from
ecofriendly materials such as recycled polyester or organic cotton in their products. The
company having their products with exclusive conscious design team into prints, embroideries
and jacquards on beautifully crafted accessories and garments made from sustainable products.
Some examples; Patagonia cloths, Levi's and many more.
Impact of online retailers
It has been researched that H&M has been slowing down their performance in their
physical stores. The company has brush up their strategies and plans for opening store and
expanding their physical appearance. The respective company has a threat from their
competitions even in both stores online and offline and which is responsible for their change of
strategies. It has also been studied that Zara's owner Inditex has experienced for good sales but
H&M faces more competition in online marketing from rivalries such as Boohoo and ASOS. The
company is more focused on their offline stores as a result it is understandable that the growth in
Inquiry Based Learning: Impact of Online Retailers on H&M_3
online stores is too slow to watch the potentiality in e-commerce business. The sites of H&M
were designed poorly as a result it slows down the sales from sites. There are few sections in
which the company has to improvise their strategies and plans.
Impact of COVID-19
Due to this Covid-19 pandemic many of the customers are more likely to prefer online
shopping is it prevents social distancing and by online shopping they can save their time and
explore many of the things in sites and applications. H&M is more focused on online marketing
as well but they get impacted negatively in some areas due to this Covid-19 situation, most of the
consumers having emotional concern that they challenged with financial instability and many of
them lost their jobs as a result their regular pattern of shopping has decreased (Widada, W. and
Et.al., 2019, April). Another reason is that with lack of information on sites or applications
customers to not get attracted with online shopping as they don't get the proper knowledge on
return policies or payments options and many more. H&M has been said that due to this
lockdown situation many of the stores get affected and few customers visited their stores that
remained open. It also has been said that it takes time to recover the situation and to get back to
normal after the situation is cool down (Selisne, M., Sari, Y. S. and Ramli, R., 2019, April). The
company is more focused and changed their strategies and planning and invest more according to
the behavior of customers changed during this period.
Analysis of the Company
PESTLE Analysis:-
Pestle Analysis of H&M brand identifies the various external factors such as political,
economic, social, technological, legal and environmental which impacts their business
operations. Pestle analysis provides a framework to companies which is imperative and supports
to understand the flexibility in market and help to improve their business functions continuously.
Political:
The brand has major production setup in Lebanon, Egypt and Turkey. Lebanon has been
politically is not stable before and after its freedom. China and US trade war impacted and is not
only for the respective brands but for the entire industry. The impacted result increases the prices
of textile products and demands of the labor has been growing ever since. The labor demand for
fair working conditions, improved wages, and safe workplace has been majorly raised. Labor
laws in developing countries has been changed regarding sufficient or minimum wages
(ROHMANIYAH, S. P. and SABARIMAN, B., 2019). BREXIT and Covid-19 has also greatly
impacted and offers a challenging situation to operate business functions. Overall it gets
increased in the cost and customers find cheaper option of their clothing and more.
Economical:
Covid-19 pandemic has been a situation for stress and this situation has changed the
behavior pattern of consumer extremely. Virus spreads all over the world and due to this the
supply chains also were extremely affected. The whole world faced a recession in economics due
to this disease. The situation of Covid-19 impacted the brand, as most of the time these stores
were closed down because of the situation of lockdown in many nations which result in decline
sales and lost customers.
Social:
H&M has been impacted by this situation and understands and how it is significant to be
careful about customers and environment. H&M also donate US dollars of five lacs to WHO.
The respective foundation has extremely focused on the women in Bangladesh who gets more
affected due to this situation because they work in garment sector (Henrikson, R., 2019). The
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