Strategic Management of Lululemon Athletica
9 Pages2787 Words138 Views
Added on 2020-03-16
Strategic Management of Lululemon Athletica
Added on 2020-03-16
ShareRelated Documents
Running head: STRATEGIC MANAGEMENT OF LULULEMON ATHLETICAStrategic Management of Lululemon AthleticaName of the studentName of the UniversityAuthor note
1STRATEGIC MANAGEMENT OF LULULEMON ATHLETICALululemon Athletica has four key competitors that operate in the arena of yogaapparel- Nike, Under Armour, VF Corp and Adidas. Lululemon Athletica has been able toexpand the business by taking recourse to targeted marketing. Lululemon faces competitionfrom different quarters. Bill Bowerman along with Phil Knight was the two visionary whocreated Nike. Initially, Nike was a footwear distributor but it soon grew to become a globalmarketer in the field of athletic footwear and apparel. The brand is characterized by verystrong operational performance (Gamble & Thompson, 2014). The balance sheet of Nike isstrong and the company boasts of around $4.6 billion in cash. Nike has a great amount ofcapacity and it can invest in new ventures. Adolf Dassler made the first shoe making use ofcanvas. Dassler was a passionate athlete and he was a close follower of sporting events. Theproduct range of Adidas ranges from footwear to that of accessories in relation to sportswear.The line of Adidas is very limited and the styling is different from that of Lululemon whichsuggests that the target market of Adidas is different. The Under Armour Brand is strong inUnited States but it lacks worldwide awareness that is possessed by Nike along with Adidas.They have also launched their own line of yoga apparel in order to capture the growingmarket. The styling of Under Armour is different is similar to that of Lululemon but itsselection is limited. VF Corp is a leader in the arena of lifestyle apparel and footwear. It is adiversified company that has multiple brands along with product categories under it. Brandssuch as The North Face and Timberland are included in the VF Corp. VF Corp owns Lucywhich is a women’s active wear brand. Lucy was founded a year after that of Lululemon andit is a relatively young company (Gabriel, Bass & Morris, 2014).The competitive advantage of Lululemon Athletica Inc is on account of outsourcing,technological advances, quality and innovation. The products of Lululemon are being madein China, Israel and Bangladesh. Lululemon gives opportunities to purchase the productsonline that gives the opportunity for free shipping. The Corporate Social Responsibility of
2STRATEGIC MANAGEMENT OF LULULEMON ATHLETICALululemon Athletica Inc carries out action plan programs that help in bridging the gapbetween that of community and health. There is a fabrics and technologies department ofLululemon Athletca Inc that researches and develops innovative materials. They arecontinuously improving the products that are already existing (Thomas & Peters, 2015). Thefitness instructors are offered discounts after purchasing products and they are asked toprovide the feedback. Athletes test the product and in this manner the company gets directfeedback from the customers regarding the fabric and quality of the products of Lululemon.Lululemon Athletica has a great amount of knowledge in regard to its target audience.Lululemon recognizes the niche market and high performance material along with that ofattractive product design has been successful in creating a committed brand. Lululemon laysgreat focus on culture that is manifested on the manifesto of the company. It appears ondifferent products of Lululemon from that of bags to that of water bottles. The bags ofLululemon are printed with the manifesto of the company that reflects the vision of thecompany (Groissberger & Riedl, 2017). There is a link between that of the employee and theguest. The employees of the company being happy reflect on their faces which in turn allowthe customers to purchase the experience. The caring and sharing culture in relation toLululemon Athletica Inc. strengthens the quality of the products. Focus is laid on theemployee development and this is a crucial strategy of the company. The people working inthe company strongly believe in the lifestyle and what it denotes. The employees haveknowledge of clothing along with that of culture and they share this with every guest whocomes to the store (Sundaramurthy, 2014). They can explain the functions of clothing thatthe customers may not be able to easily recognize like that of hidden pockets and aboutmaterials that offers protection from the UV rays of the sun.Lululemon Athletica relies to a great deal on the factories in the areas of China, SouthKorea, Israel and Thailand. Lululemon does not own the manufacturing facilities and more
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Strategic Management of Lululemon Athletica Inc - Deskliblg...
|10
|2655
|1112
Assignment on Strategic Management of Businesslg...
|9
|2475
|69
INTERNATIOAL BUSINESS SCENARIO.lg...
|16
|4006
|1
Strategic Planning for Lululemon Athletica: Objectives, SWOT Analysis, and Implementationlg...
|8
|794
|202
Business Level Strategy Research 2022lg...
|20
|3096
|22
Lululemon Athletica Inc. | Documentlg...
|7
|1244
|27