All Footwear Company Report

This report provides a comprehensive analysis of All Footwear Company, a global footwear company operating in four regions. It examines the company's competitive strategy, combining cost leadership and differentiation. A detailed PESTLE analysis assesses the macro-environmental factors influencing the business, including political, economic, socio-cultural, technological, environmental, and legal aspects. The five forces model is applied to analyze the competitive landscape, considering buyer and supplier power, competitive rivalry, threat of new entrants, and threat of substitutes. The report also includes a company overview, outlining its mission, vision, and key decisions made at different stages of its development. Finally, the report concludes with reflections on the company's overall performance, underlying strategic principles, key learning points, and future implications.

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Table of Contents
Introduction.................................................................................................................................................3
Competitive Strategy...................................................................................................................................3
Industry Overview.......................................................................................................................................3
Macro environment analysis- PESTLE analysis-500.................................................................................4
Five forces model....................................................................................................................................5
Company overview......................................................................................................................................6
Mission....................................................................................................................................................6
Vision.......................................................................................................................................................7
Decision made.............................................................................................................................................7
1. The beginning..................................................................................................................................7
2. Mid game.........................................................................................................................................7
3. End game.........................................................................................................................................8
Final results-200..........................................................................................................................................8
Overall performance of the company..................................................................................................8
Reflection-200.............................................................................................................................................8
Underlying strategic principles-200.............................................................................................................8
Key learning point about strategy-100........................................................................................................8
Conclusion-300............................................................................................................................................8
Reference....................................................................................................................................................9

Introduction
In this present paper, we will discuss the reflective report of the All Footwear Company. The paper
describe the competitive strategy, industry overview, company overview, decision making, final results,
reflection, underlying strategic principles, key learning point of the strategy, and conclusion. The paper
mainly describe the reflective report of the company All footwear which is an footwear Company. The
company operates in four regions, namely, North America market, Europe Africa market, and Asia
pacific market and Latin America market. In each region there are three market segments, namely internet
segment, wholesale segment and private label segment. The competition of the companies are based on
the ten factors, namely, advertisement, number of models, price, quality, celebrity endorsements, delivery
time, mail in rebates, retailer support and shipping charges. The target of annual performance of the
company is EPS 20%, ROE 20%, stock price 20%, credit rating 20% and image rating 20%.
Competitive Strategy
The combination of cost leadership and differentiation is used by the company which enables to stand out
among the competitors within the same industry. The cost leadership strategy is the business strategy
which enables to reduce the operations cost of the company that maximizes the revenue of the company
within the particular period of time. The aim of the strategy is to exploit the scale of production and
enables to produce high quality of products and services for the target audience by using the innovation
technology within the specific period of time. It helps to achieve the market leadership through reducing
the operational cost of the company. The continues use of cost leadership strategy help to improve the
customer service which enables to provide competitive advantage to the company and it also helps to
build brand image in the eyes of the company. The differentiation strategy is used by the company which
helps to produce innovative and unique products and services for the target audience within the particular
period of time. It helps to develop the goodwill and brand awareness among the target audience within the
same industry. The combination of differentiation and cost leadership strategy helps to provide the low
operations cots with the production of unique products and services that helps to provide the competitive
advantage to the company within the particular period of time. The company requires continues
innovation and use of advanced technology in order to build competitive advantage to the company. The
company is using combination of both the strategies in order to provide innovative products and services.
It enables to attract large number of new target audience with the retention of existence customer. The
differentiation strategy helps to maximize the strength of the company which helps to create brand
awareness within the particular period of time.
Industry Overview
The company lies in the footwear industry and it operates globally so the competition of the company is
with the international players within the particular period of time. According to the researchers the growth
of global industry will increase in the future and the market opportunities will also increases within the

particular period of time. It shows that the company has various opportunities to grow in the existing
market
Macro environment analysis- PESTLE analysis-500
The PESTLE analysis is used to analyze the external environment of the company which enables to
determine the threat and opportunities of the company. Following is the PESTLE analysis of the
company:
1. Political factors
The political environment of the company is stable which enables which to provide the
opportunities to the company within the particular period of time. The company has free trade
policies which provide various opportunities to grow its business. The company is operating
according to the government regulation and policies which helps to improve the infrastructure of
the company. The company produce athletic products and services which always subject to
change the manufacturing and taxation laws.
2. Economic factors
The company is contributing towards the economic growth of the company. The rapid growth of
the development markets enable to provide the business opportunities to the company. The
company operate in four region and it enable to provide the economic development of the
countries which are less development countries. The company also provides employment in the
operating countries as the revenue of the company is based on low cost labor of the developing
countries.
3. Socio cultural factors
The company has increase the awareness of health consciousness among the individuals as the
target audience feels happy by using the athletic shoes from the company. The company has also
initiated various health awareness programs in order to aware the individual regarding the health
which directly impacts on the sales of products and services within the particular period of time.
4. Technical factors
The company is using innovative technologies in order to develop unique products and services
to the target audience within the specific period of time. The use of innovative technologies helps
to provide competitive advantage to the company which enables to stand out among the
competitors within the same industry. The company is using valuable information based matrix
which enable to maximize the revenue of the company through optimizing the target and
production of the company.
5. Environmental factors
The company is using eco friendly production process in order to produce products and services.
The environmental factors are considered by the company due to which various measures have
been taken by the company such as banning of poly bags, use of eco friendly material and others.
6. Legal factors
The company has follows all the rules and regulations of the countries in which they operate.
There are various laws such as employment law, taxation law, consumer law, and health and
safety regulations. It shows that the legal environment of the company is satisfactory.

Five forces model
The five forces model helps to determine the five forces which shape the strategies of the company
through forcing the business. The Michael porter has developed the five forces model which enables to
understand the impact of external threat on the business. Following is the five forces analysis of the
company:
1. Bargaining power of buyers
The bargaining power of the consumers is high as the sales of the company are depend upon the
acceptance of the products and service by the target audience. The preference of the consumers
can be change which forces them to move from one brand to another. The large portion of sale
comes from the direct channel to consumer so the consumers have high bargaining power.
2. Bargaining power of suppliers
The bargaining power of suppliers is limited as the company is operating in four regions due to
the company is not dependent on the suppliers. The switching costs from one suppliers to another
is high due to which the company supplier their products and services from different suppliers in
order to reduce the force of suppliers on the company.
3. Competitive rivalry
The global footwear industry has intense high competition globally as there are major competitors
who are producing the same products and services in the global market. The global athletic
products changes continuously according to the consumer preference so the company need to
change continuously in order to compete among the global competitors within the same industry.
The competition is continuously rising within the industry within the industry due to which the
company needs to improve in order to provide competitive advantage to the company. So the
competitor’s rivalry force is high.
4. Threat of new entrants
The threat of new entrants is low as huge capital investment is required to enter into the global
market due to which very less new entrants try to enter into the global market. The company
enjoys brand recognition in the global market which does not impact from the entry of new
competitors in the market. The new entrants require huge amount of marketing in order to
develop the brand image in the eyes of the consumers due to which large number of entrants are
not try to enter into the market.
5. Threat of substitutes
The threats of substitutes is high as the athletic products are highly demanded in the market and
there are various competitors who are providing similar products and services which impacts on
the sales volume of the company. So the company needs to continuously improve the products
and services in order to sustain in the competitive market. The innovation of products and
services helps to reduce the threat of substitutes on the company as the differentiation of products
and services helps to attract the large number of target audience which directly impacts on the
sales volume of the company.

Company overview
The company provides athletics shoes in all variety the men’s, women’s and children’s. It operates
globally and the target audience of the company is covering people from all groups as the company is
providing products and services to the all age group of people. The company operates in four regions,
namely, North America market, Europe Africa market, and Asia pacific market and Latin America
market. The company is using combination of cost leadership and differentiation strategy which helps to
stand out among the competitors within the same industry. The company stands as the string competitors
within the same industry globally as the company is providing high quality of products and services to the
target audience globally. There are large numbers of competitors who are providing similar products and
services to the target audience globally. Following are the strength and weakness of the company:
Strength
The strength of the company helps to provide the competitor’s advantage to the company which helps to
maximize the profitability of the company within the specific period of time. Following are the strength
of the company:
1. High quality of products
The company provides high quality of products and services to the target audience which enables
to develop the competitive advantage that helps to maximize the profitability of the company
within the specific period of time.
2. Use of innovative technology
The company is using innovative technology in manufacturing the products and services which
enables to stand out among the competitors within the same industry.
3. Brand recognition
The company has good brand recognition among the target audience globally which enables to
attract new consumers and it enables to generate high sales volume of the company.
Weakness
The weakness of the company restricts the company to maximize the profit generation of the company
within the specific period of time. Following are the weakness of the company:
1. The company does not have its own retailers and the retailers are very price sensitive, however
the high income is generated from the retailers. It impacts on the profit margin of the company
which is one of major weakness of the company.
2. The company is mainly depend upon the share of the footwear industry which is vulnerable so it
is the major weakness of the company.
Mission
The mission of "All Footwear" is to dedicate diverse quality shoes to customers, while leading the way
for sustainable business.

Vision
The vision of “All footwear” is satisfied the needs and demands of target audience which helps to develop
the competitive advantage that enable to maximize the long term sustainable profitability of the company.
Decision made
The decision making is one the most important aspect of the company which enables to achieve the
mission and vision of the company within the specific period of time. Following are the three stage in
which various decisions are taken for the long term profitability of the company.
1. The beginning
 Financing of company operations
The company decides to finance its operations from the combination of personal funds and debt
taken from the debtors of the company. The combination of debts and equity is used for the
operations of the company because it helps to delineate the risk. The results of the decision hope
to provide the adequate funds for the smooth operations of the company.
 Production of branded and private label footwear
 The company decides to produce private label footwear as it helps to develop the brand image in
the eyes of the customers. The results from the decision hope to develop the brand recognition
which enables to provide the competitive advantage to the company.
 Corporate social responsibility
The company decides starts health awareness program globally which directly impact on the sales
volume of the athletic footwear. The results from the decision hope to provide the create
awareness among the people which helps to provide benefits to the target audience.
 Forecasting of sales forecasting & inventory management
The sales forecasting decision is taken on the basis of historical performance of the company. The
forecasting decisions help to manage the total expenditure of the company according to the
forecasting sales within the particular period of time. It is taken to manage the total inventory of
the company.
2. Mid game
 Plant capacity additions
The plant capacity decision is taken on the basis of forecasting demand of the company. The
results of additional plant capacity decision of the company are to increase the sales volume of
the company.
 Worker compensation and training
The decision regarding the worker compensation and training is to increase the human resource
capabilities of the company in order to maximize the sale volume within the specific time
framework. The results expected from the training decision are to improve the human resource
capabilities in order to provide the competitive advantage to the company.

3. End game
 Pricing and marketing
The decision of pricing and marketing is taken based on the competitor’s price offering, cost of
production and other factors which are used in developing the products and services.
 Celebrity endorsement contracts
The decision of celebrity endorsement contract decision is taken on the personality of celebrity
matching with the products and services which helps to promote the products and services in the
eyes of the customers. The results expected from the decision are to increase the sales volume of
the company and popularize the brand image in the eyes of the target audience.
 Shipping and warehouse operations
The decision of warehouse operations is taken on the basis operating capacity of the company.
The results expected from the decision is to maximize the sales volume of the company within
the specific time framework.
Final results-200
Overall performance of the company
Reflection-200
Underlying strategic principles-200
Key learning point about strategy-100
Conclusion-300

Reference
Bull, J.W., Jobstvogt, N., Böhnke-Henrichs, A., Mascarenhas, A., Sitas, N., Baulcomb, C.,
Lambini, C.K., Rawlins, M., Baral, H., Zähringer, J. and Carter-Silk, E., 2016. Strengths,
weaknesses, opportunities and threats: A SWOT analysis of the ecosystem services
framework. Ecosystem services,17, pp.99-111.
Abbott, R.J., 2015. Pestle Analysis for Students.
Makos, J., 2015. An Overview of the PESTEL Framework. PESTLE Analysis, 18.