Analyse the strategies used by a successful fast fashion business, to build and sustain competitive advantage. What are the strategic issues and options currently facing the organisation?
Your report should: · Identify the concept of fast fashion and the key trends in fast fashion sales – Links here to PESTEL, 5 Forces and Porter’s competitive positioning, students might also consider including some data on growth of cheaper offerings, including the hard discounters, the influence of the Internet and social media on fashion sales, sustainability concerns, smaller chic fashion outlets…
• Demonstrate an understanding of how the major established brands have responded to the threat from newcomers – Internationalisation of the big brands, linked to the drivers illustrated by Yip (2000), market entry strategies, CAGE, culture, students might also consider some examples of market shares, pricing polices, product quality, availability and product range, use of technology, supply chain efficiencies, global reach and the experience curve…
• Evaluate what you think the main opportunities and threats are in this market sector – an opportunity to examine the capability and resources of the successful big brands, how this links to the strategic plans, students might also wish to consider whether fast fashion is here to stay? Are the big brands responding to concerns about the environment? What is the value proposition offered to customers? Who are the new entrants? Is the High Street under threat?
• Critically comment on the extent to which technology, social media, innovation and creativity allows new entrants to position within the market, with examples drawn from their marketing campaigns – examples here of disruptive innovation in the form of apps and direct delivery to homes, celebrity endorsement, Uniqlo kiosks, newcomers to this market, what is their appeal and what channels are used to attract customers, (if at all?) away from the major players? Explain which theoretical tools you have chosen to use, and why and evaluate their usefulness. Your report should be about 1500 words long, which does not include bibliography, appendices, abstract or words in tables.
