Yellow Fashion Clothing Brand: Market Offerings, SWOT Analysis, PESTLE Analysis and Recommendations

Yellow Fashion Clothing Brand is a Bangladesh-based fashion brand that deals in providing a wide variety of clothing for men, women, and children. They also offer fragrances, home decoration products, avant-garde ceramic items, paintings, books, and others. The company has a mission of adding value and benefiting the common wealth of society. They aim to build a strong bond between employees, customers, shareholders, business partners, and fellow mates. The brand has a strong digital platform but lacks marketing and promotion. They should focus on advertising campaigns, occasional discounted strategies, and introducing more outlets.

NEW INTERNATIONAL MARKET
Yellow Fashion clothing brand

Introduction
• Yellow” is a Bangladesh fashion brand
which was introduced in 2004
headquartered in Beximco Industrial Park,
Dhaka, Bangladesh, founded by Salman F
Rahman (Yellow, 2018).
• It has also planned to spread its outlets in
Dubai, New York and Toronto.
• Yellow prefer to scale their products
preferably from yellow to mustard colors.
• It has 15 outlets spread across Bangladesh
and Pakistan and also aimed at providing
the services of online platform 24*7
• It aims at contributing to innovations by
designing comfortable clothes.
• Yellow brand aims at manufacturing
comfortable clothes driving with quality
factor.

Mission and Vision of the company
• Yellow is a full service vendor with the mission of adding values and
benefiting common wealth of the society.
• They aim at building a strong bond between employees, customers,
shareholders, business partners and fellow mates.
• Gain market leadership in high value added apparel in USA, UK & Europe
• Use “Innovation” & “Speed” as prime drivers, rather than cotton & cheap
labor

Market Offerings:
They deal in providing the wide varieties of clothing for all sex i.e. men, women and children.
Yellow Men
Casual shirts
Formal shirts
Polos
Tees
Punjabi
Jackets and Blazers
Sweaters
Hoodies
Denim Casual pants
Yellow Women
Ethnic tops
Fashion tops and shirts
Tees
Denim and Trousers
Jackets and Blazers
Sweaters
Lawn
Saree

• Yellow also provides huge number of product line comprised of
Fragrances, home decoration products, avant-garde ceramic
items, paintings, books and others (Islam, 2017).

• Yellow has around 1,095,624 fans
by the 24th of April, 2016.
• The growth rate of total fans was
10k on average per week and
around 40k per month. The
maximum change of fans per week
was 15k for Yellow Facebook Page
which indicates the smooth growth
of fan base (Aaker &
Joachimsthaler, 2012).

Yellow deals in providing the wide varieties of clothing for all sex i.e. men, women and
children (Islam, 2017). As 65% of the consumers go for clothing as it is the core
work of the company. Other 26% the consumers go for other things sold by the
company such as fragrances, home decor products, paintings and others.
Rest 9% of the consumers purchased the books and novels sold by
the company.

Internal Environment:
• Follows divisional structure.
• Yellow designing has been divided in two parts
that is male and female clothing.

SWOT Analysis
Strengths
• They have plenty of designers.
Luxury designs are designed in
Pakistan, Modest designs in UK
and Saree from Satya Paul.
• According to Mintel, 68 percent of
all U.K. Internet users buy clothing
and footwear online. Yellow also
have a strong digital platform.
Weakness
• There is lack of marketing and
promotion of the brand which
make communication narrow.
• As compared to other reputed
brands in UK like New look, H&M
which has already captured the
market, it is difficult to establish its
image in UK (Mintel, 2017).

SWOT Analysis
Threat
• Online platforms in UK such as
Amazon and Boohoo are well
performing in the market which
become threat for the Yellow brand
(Mintel, 2017).
• The brand Current ratio in year
2010 and 2011 was 0.65 and 1.50
which shows that the brand has
faced bad situation (Hossain, 2015).
Opportunity
• They must make contracts with
Ecommerce sites such as Bikroy.com,
Bagdom.com, CellBazar.com to reach
their potential customers (Parker, 2011).
• According to the British Fashion
council, it has been found that U.K.
fashion industry contributed 28 billion
pounds in 2016 which creates an
opportunity for yellow to promote their
brand in UK as well.

PESTLE Analysis
Political Factor
• There are lots of challenges faced
by the brand to enter the new
market such as UK.
• The policies involved in trading of
products and services from one
country to another country is quite
difficult. Moreover political shift
in UK is also tough.
Environmental Factor
• It managed to earn gross margin
of 18%in 2010 and then it
took a high shift up to 63% in
2011 (Hossain, 2015).

Social Factor
• Yellow should aim at targeting
the Women in UK who aged
between 16-44 because these
women are more fashion
focused (Mintel, 2017).
Technological Factor
• Social media is one of the
leading factor in UK which will
help Yellow to promote its
brand on Internet and increase
efficiency in sales and
marketing

Legal Factor
• The laws regulated in fashion
industry includes labor law,
international law, employment
law and environmental law.
• The laws regulated in UK are
simple to understand and can
help Yellow to enter the new
market very easily (Pratap,
2017).
Environmental Factor
• Yellow should work on
maximizing the production by
minimizing the carbon foot print
(Cunningham, 2017).
• In UK, environmental issue are
taken on first priority.

• The above picture shows a little comparison between the
Boost post and Organic post done by Yellow. Boost post has
high customer engagement as compared to organic post.
Comparison

Porter’s five Forces
1. Threats of new entrants
• The new entrants can easily access
• Easy to introduce new segmentation of products.
• Companies with good collection can play a role of threat.
2. Bargaining power of suppliers
• Effective and strong power of suppliers
• In order to sustain the quality standard, one can not switch to other
suppliers

3. Threat of substitutes
• A clothing line.
• Generally clothes have no substitutes.
• Its not an beverage company or electronic company.
4. Buyers bargain power
• Buyers have the upper hand in bargaining.
• Lots of competitors such as cats eye and text mart.
• Consumers can easily switch to other available brands.

Rivalry among existing competitors:
• Each brand comes with new and attractive marketing strategy
• Too many clothing brands
• Too much rivalry between the competitors

Conclusion
• As a result, it can be concluded that despite of facing
several issues, the company has achieved a strong
customer preferences.
• It has also played a significant role in the fashion
industry mainly in Bangladesh and Pakistan.
• However, it can also be able to capture the other
markets outside the borders which will give
opportunity to create more number of customers.

Recommendations
• They must get involved more in advertising
campaigns and promote themselves on Web,
newspapers and bill boards.
• Occasional discounted strategy should be
opted by the brand to attract customers.
• They have lack of outlets in other countries.
So, they should focus on introducing more
outlets.

References
• Yellow, 2018, About us, viewed on 23rd February, 2018. Available at:
www.yellowclothing.net/-4-about-yellow
• Islam, T., 2017, Study on yellow ( clothing ) Beximco , viewed on 23rd February, 2018.
Available at: https://www.slideshare.net/TamimurIslam/study-on-yellow-clothing-beximco
• Antu, F., 2015, Yellow clothing by Beximco, viewed on 23rd February, 2018. Available at:
https://www.slideshare.net/Fahadul/yellow-clothing-by-beximco
• Pratap, A., 2017, Fashion Industry PESTEL/PESTLE Analysis, viewed on 23rd February,
2018. Available at:
https://www.cheshnotes.com/2017/09/pestelpestle-analysis-of-the-fashion-retail-industry/
• Parker, E., 2011. Steps towards sustainability in fashion: snapshot Bangladesh.
• Hossain, M., 2015, “Financial Performance Evaluation of YELLOW BY BEXIMCO.”,
viewed on 23rd February, 2018. Available at:
http://dspace.bracu.ac.bd/bitstream/handle/10361/4279/11304100.pdf?sequence=1
• Aaker, D. A., & Joachimsthaler, E., 2012, Brand leadership. Simon and Schuster.
• Cunningham, M. K., 2017, The Value of Color Research in Brand Strategy. Open Journal of
Social Sciences, 5(12), 186.
• Mintel, 2017, K Clothing Retailing market report, viewed on 23rd February, 2018. Available at:
https://store.mintel.com/uk-clothing-retailing-market-report