Footers Incorporation: Business Strategy Report and Proposal

This report presents a comprehensive business strategy for Footers Incorporation, a company aiming to enter the sportswear market. The report includes an executive summary, vision and mission statements, and details on the products and services offered, primarily focusing on athletic apparel like trainers, jackets, and jerseys. A thorough situational analysis, including a PESTLE analysis of political, economic, social, technological, legal, and environmental factors, provides a macro-level understanding of the industry. Furthermore, an internal analysis employing Porter's Five Forces evaluates the competitive landscape. The report outlines a marketing strategy and its implementation, performance analysis, and recommendations for future strategies. The company aims to capitalize on the growing fitness trend and establish a strong presence by targeting the youth and building community connections. The business model emphasizes social impact through community engagement, education on health and fitness, and providing employment opportunities, all while adapting to the dynamic global sportswear market.

Business Strategy 1
Business Strategy
By Name
Course
Professor
Institution
City date

Business Strategy 2
Executive Summary
I have compiled a business report which is a proposal for investment within the apparel industry.
I have chosen the company name Footers incorporation which is modelled according to the
information collected from the market. It is designed to operate in the sportswear segment with
shoes, jackets, jerseys and pants for fitness. I have analyzed the market and discovered that it is a
multibillion dollar industry and decided that a competitive strategy for entry is ideal in this case.
A budget is planned for research and development, marketing and promotion of the company. I
have compiled comprehensive report is provided in regard to the extensive research done on the
micro and macro aspects of the company and summarized in this report.

Business Strategy 3
Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................5
Vision and Mission Statements.......................................................................................................5
Product and services....................................................................................................................6
Situational Analysis.........................................................................................................................7
PESTLE analysis.........................................................................................................................8
Political Scene.........................................................................................................................8
Economic Scenario..................................................................................................................8
Social Factors...........................................................................................................................9
Technological Aspect..............................................................................................................9
Legal Aspect..........................................................................................................................10
Environmental Aspect...........................................................................................................10
Internal Analysis............................................................................................................................10
Porter’s Five forces....................................................................................................................11
The Threat of a New Entrant.................................................................................................11
Bargaining Power of the Buyers............................................................................................11
Threats of Substitute Products or Services............................................................................11
Bargaining Power of Suppliers..............................................................................................12
Marketing Strategy....................................................................................................................12

Business Strategy 4
Implementation of The Marketing Strategy..................................................................................14
Performance Analysis....................................................................................................................14
Recommendations for Future Strategy..........................................................................................15
References......................................................................................................................................16

Business Strategy 5
Introduction
I have decided to enter the market as Footers incorporation which will be the trainer
manufacturing and marketing company which has a unique business strategy to provide the
intended success in the already flooded market. We intend to build high-end stores that focus on
sport apparel. We will focus on one of the emerging problems of the 21st century which is fitness.
Obesity and overweight problems continue to increase in the world and the company intends to
make a contribution to abating the problem. Thus, we are focused on reducing the huge problem
by encouraging physical fitness and activity through their apparel. Our mission at Footers is
linked to the community to present a down-to-earth approach to the business. We hope to work
with various communities to provide precise and beneficial information and products for them is
the basis of the business strategy.
Vision and Mission Statements
Our vision for Footers Incorporation is to become a leading fitness apparel provider with
connections to various communities in the country and beyond to provide both product and
information to the customer while improving the health of the same communities. Our mission is
socially influenced and profit based. It is meant to provide affordable and quality trainers and
apparel for the communities to reduce the problems associated with obesity and overweight
situations. Our Footers incorporation will begin operations as a small business setup within that
provides jobs for students within London College to establish rapport with the target market that
includes the youth in colleges and universities. Our strategy will help the company reap benefits
from an informed community that can provide the baseline for creativity and connection with the
community.
Our company is guided by various objectives that provide the focus for investment;

Business Strategy 6
 Create a business that is self-sustaining that is spearheaded by trainers that are
acceptable to the community.
 Seek and provide knowledge which is focused on fitness for the community and
the people that are involved with the brand.
 Improve the physical condition and emotional construction of the surrounding
communities though encouraging fitness
 Provide great relations between people by fostering relationships that foster
seeking healthy communities.
We intend to do business by seeking social capital in the form of obtaining a large
following in the society. It will be done through the involvement in student activities and raising
awareness in the community using the same entities. Thus, our number one plan is to invest in
social participation and feedback seeking is a key success factor for the corporation.
Product and services
Our headlining items that must be produced in the early stages of the growth of the company
include trainers. The shoes are meant to be comfortable to the foot and provide the suitable detail
for running or walking. They are critical to performing physical activity that is engaging for an
individual.
Additionally, our company intends to venture into the latest technology which provides
opportunities for cost reduction and dependable shoes for training (International and
International, 2018, p. 1). We intend to use new technologies in this venture in both gathering
information and designing the product which will provide the incorporation with a competitive
edge that boosts profitability (Apparelsearch.com., 2018, p. 1). Later in the business, the
company intends to scale into sports apparel such as jerseys, jackets and sweat pants.

Business Strategy 7
Social impact is one of the many objectives that we have set for ourselves. Some of the
ways in which they intend to do this is by hosting some events that educate the public on matters
of health and fitness. Obesity and overweight people can benefit greatly from the advice and seek
measures to reduce their exposure to diseases that come with these conditions. Additionally, we
intend to provide a significant contribution to the state of sports in the communities is another
unique desire. For example, connecting the youth with some sportsmen and coaches to guide
them is essential for them to succeed in sports. Lastly, we intend to provide employment to
students and members of the immediate community.
Situational Analysis
The Global sports apparel industry is a booming industry which in 2018 alone is
estimated to be about 174 billion dollars (International and International, 2018, p.1). Many of the
items in the market are produced in a more functional oriented way but the industry is changing
with more and more versatile products demanded. However, we have observed immense
fragmentation is observed in the industry. Furthermore, there is competition in the market with
even the larger brands seeking alternatives ways to compete in the market and maintain their
shares (Basant et al., 2013, p. 54). Some of the large brands include Nike, Under Armour,
Adidas and Puma (Strijbos, 2018, p. 1). Additionally, there is a lot of positivity in the industry
because it is estimated that the current growth will increase up to the year 2022.
We have discovered that there is a lot of experienced a lot of segmentation and each new
entrant must focus on a niche market at the beginning. Identifying a niche market is the best
strategy because a lot of revenue can be lost in attempting to serve all markets (Grundy, 2006, p.
216). One of the most popular segments that have the highest potential for growth include the
athletic wear one. It is so because almost on a daily basis a one can spot a person or more

Business Strategy 8
wearing outfits that suggests they are likely to be heading to the gym. However, it has become
fashionable to wear such items and spend the entire day as such. However, more versatility is
expected with these athletic wear because it seems the industry demands it.
PESTLE analysis
Political Scene
Sport has always had a political background behind it despite having no shows about it.
One of the best demonstrations of sports getting involved in the political scenario is the one
involving Colin Kaepernick protesting violence against minorities by kneeling down during the
singing of the national Anthem of the United States before a major match. It caused a lot of
uproar from the different sides of the coin evoked by such a gesture. However, such political
demonstrations in the field are not likely to affect the sale of sportswear (PESTLE Analysis,
2018, p. 1). Only in large scenarios that may involve taking the wrong side of a major political
issue may affect the downturn of such sales. For example, losing major deals because of the big
influence of the political scene is a problem. All in all, the political situation has a mild effect on
the industry.
Economic Scenario
We have discovered that huge financial impacts resulting from the state of the economy
are bound to present difficulties in revenue. For example, the financial stagnation and economic
disruption in 2008 affected many other industries. Among them is the apparel industry. Major
changes were felt across the many segments of the industry. Revenues decreased because of the
financial meltdown. People did not have surplus income to continue buying the apparel as
desired. Therefore, the economy is a huge influencer in this industry.

Business Strategy 9
Social Factors
Our research provides that the sportswear segment is highly affected by the social
perspective in each instance. Social acceptance for a sportswear and athletic apparel and products
is of great importance to the success of the company in the market (Noe et al., 2006, p. 67). One
of the major demonstrations of this fact is the deal signed between Michael Jordan and Nike to
produce the Nike Jordans. It provided the best social acceptance in the basketball industry which
boosted the revenue and profits collected from the sport. Similarly, the African American
community in the United States identified with Michael Jordan as a super star in the game and
thus people copied the style of the iconic figure. In time the shoes became another item that the
African Americans identify with in the social setting. Each teen from the community thus
invested their money to acquire a pair or two because they wanted to appear fashionable and
identify with their community. Thus, the social setting is crucial for this type of venture.
Technological Aspect
Today, technology is at the center of each process and stage of getting a product on the
global market. We have discovered that technology influences design, production, manufacture,
marketing, promotion and distribution of each product in the apparel industry (Berthon et al.,
2012, p. 160). It is a critical component in getting information out to the public and receiving
feedback from the public too. Thus, it is integral to the business and must be incorporated at each
stage to provide the needed traction in the industry.
Legal Aspect
Some of the legal issues in the country include licensing issues in regard to opening and
operationalizing businesses in the country. Various agreements and conditions including social
impact, environmental impact and general business must be made before businesses come up

Business Strategy 10
(Marmol et al., 2015, p. 1). Additionally, some fees are involved with the state government and
local governments. Furthermore, fiscal policies similarly dictate how financial records and
reporting is made. However, we uncovered that according to trading economics, the United
Kingdom scores highly on the ranking of the ease of doing business. The United Kingdom
ranked 9 on the list of doing business out of 190 other countries. Thus, the legal aspect is
essential for business in the country.
Environmental Aspect
We understand that there is a large concern for the environmental impact in today’s
world. Some of the concerns are to do with the raw material used and its method of production.
For example, cotton is an essential material and it must be produced humanely and with concern
for environmental impact (Bechtold et al., 2015, p. 1). Secondly, the labor issues that accompany
production must be addressed wisely. The impact that the company has on the environment
influences the state of the company’s reputation. Thus, we regard the environmental aspect is
essential to the success of the company.
Internal Analysis
In this section, we use Porter’s five forces for analyzing the market to understand various
issues purporting to the success of the business. Footers company intends to operate in the
apparel industry and therefore it is important to provide a situational analysis.
Porter’s Five forces
The Threat of a New Entrant
The apparel industry is a multibillion dollar industry which is dominated by some large
brands that have been in operation for many decades. These companies have the capability to

Business Strategy 11
participate in as many segments as they can in this industry. We focus our business on the
production of athletic wear which is similarly dominated by few brands. It is similarly segmented
and this provides the opportunity for a new brand to choose a single niche to reap revenues.
Shoes are one of the niches and it can be demonstrated by the new Yeezy footwear that has taken
a share of the market. However, we acknowledge that it has not been easy because a lot of
marketing and promotion costs have been involved. Similarly, they have used Kanye West as the
brand ambassador which has resulted in a major lift for them in attaining market share. Thus, the
threat posed by a new entrant is high.
Bargaining Power of the Buyers
We noticed that the industry has become flooded with athletic wear that is easily
accessible at competitive prices. Many brands exist and each of them is a varied option for the
buyer. With the many options to choose from, the buyer has a real and existent power over the
purchases they make (Srdjevic et al., 2012, p. 3398). Thus, our company must invest in various
incentives to make the buyer select their product. Thus, the bargaining power of the buyer is
strong.
Threats of Substitute Products or Services
Today sportswear is not just what it used to be in the past. People choose athletic wear as
a brand and at the same time as a fashion statement. People choose to wear such attire to just
stroll around town or the neighborhood or as a daily clothing. Many of the people are loyal to the
fashion statements that they choose and identify with in their lives (Dobbs, 2014, p. 38).
Additionally, the target market is the youth who specifically choose what to wear. Thus, the
threat of a substitute product is quite low because of the lifestyle of the people that wear such
fashion clothing.

Business Strategy 12
Bargaining Power of Suppliers
Technology has created what is referred to as the ‘global village’ where communication
across people situated in different geographical regions has been made faster through the
internet. Communication is real time and people connect worldwide for information exchange
(Chu and Kim, 2011, p. 63). As such, finding suppliers across the face of the earth is way faster
and cheaper because some countries such as china provide opportunities for very low costs of
manufacturing (Porter, 1979, p. 109). Thus, the bargaining power of the suppliers is very low.
Marketing Strategy
Our marketing strategy is designed to provide three facets to utilize to make the brand
and its product known to the customer. They include storefront customer experience, cyber
focused and targeting school sports events.
We strive to ensure that the storefronts are designed to provide a serene experience for
the customer. It is one of the physical contact points between the brand and the consumer. Thus,
our attendants must be trained well in customer relations and etiquette including being kind and
supportive to the customer. Uniforms must get selected for the employees in direct contact with
the customer which influences the sort of message that is intended for the public. Additionally,
the space in the store must include shelves well placed to show off the merchandise to the
customer. Today, many forms of payments exist in the world and we integrate the popular ones
to ensure that the customer is satisfied and comfortable with their method of payment.
Similarly, we discovered that e-commerce is one of the major disruptions that have
occurred in the consumer segments in the industry. It involves major changes where the
customer can now get their product at the comfort of their home and it is then delivered at their
doorstep after successful payment (Klopping and McKinney, 2004, p. 51). It is one of the major