Porter's 5 Forces analysis of Guna Fibres Ltd Case Help
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Porter's 5 Forces analysis of Guna Fibres Ltd Case Study Solution
A Porter's 5 Forces analysis of Guna Fibres Ltd Case Help could be conducted to design different methods utilizing the strengths of the business to avail opportunities, overcome weaknesses and to minimize the hazards. It could also be utilized to evaluate that how specific weaknesses withstand particular opportunities and increase the risks. The methods drafted using the Porter's 5 Forces analysis of Guna Fibres Ltd Case Solution are offered as follows;
• Usage of strong global brand name position and financial resources in broadening towards potential markets.
• Special brand name experience could help out the company to better position itself in new markets.
• Resistance in expansion in the potential global markets encouraging diversity.
• High rates restricts the growth in various Asian and African countries with low per capita income.
• Strong brand name recognition, non-traditional methods of marketing and the distinct brand name experience might be used to reduce the threat from prospective consumers.
• Stringent look policies could caused the customer shift towards Victoria with high social obligation.
• Minimal target markets might caused a decline in the overall market share of the company.
These strategies might assist the business to improvise its market position and be at the leading position in the market.
Financial Analysis
Financial analysis for Porter's 5 Forces analysis of Guna Fibres Ltd Case Help might be conducted to evaluate the availability of funds to the company that could be made use of in growth towards global markets. The monetary position of the business could be evaluated by using the information given in the case Exhibit 1. The ratios that could be thought about in monetary efficiency analysis are given in the Table 1 below;
From the above Table 1, it could be seen that the company has a sensible monetary performance with a ROE of 7.9% and a high sales growth of 18.4%. Although, a 4.3% net earnings margin does not seems to be prospective and the company must put efforts in increasing its earnings in addition to lowering its operational expenditures to increase its profit margins.
Porter's 5 Forces analysis of Guna Fibres Ltd Case Solution
Segmentation
The division analysis consists of the analysis of numerous company segments of the company in domestic and the international, markets. Most of the business's Physical stores lie in US including above 500 shops in nearly each of the state of United States. Nevertheless, the business has also an international presence in 8 various nations with its greatest variety of stores located in United Kingdom i.e. 21. The companyhas an overall of 54 shops in global markets that is probably the 10% of its shops in the US. It suggests that bulk of the revenues of the company originated from the local markets. The business is thinking about to broaden its stores into 7 more European and Asian countries. A chart revealing the existence of the business in various international markets is given up the Appendix 2.
Targeting
The company targets its clothing brand to the young, tall and attractive teenagers and kids that are thought about to be cool. This targeting policy is responsible for different differences in the company associated with its rivals. The business employs great looking guys and females for its stores and follows a stringent look policy to keep destination of good-looking people towards its stores and provide a distinct brand experience.
Positioning
The business has placed its brand name as a high-end brand targeting only a specific market sector. The business with its non-traditional methods of marketing through designs and agents posters its brand image as a luxury clothing brand targeted to the cool and attractive characters in society. This market position attracts various elite individuals towards the brand name but it hurts the company's position in numerous neighborhoods focused at the equality in society.
External Analysis
Competitor Analysis
Porter's 5 Forces analysis of Guna Fibres Ltd Case Help deals with a great deal of competition in the market with the presence of various variety of competitors in the market. A chart revealing the close competitors along with their qualities and the marketing strategy is given up. it might be seen that the American Eagle Outfitters is thought about to be the strongest rivals for company with its marketing strategy associated to the television programs. Additionally, Gap is also thought about to be a possible rival in regional in addition to in worldwide; markets as the company is thinking about to shift in the worldwide markets. Together with it, Guna Fibres Ltd Case Study Solution. with its flexible pricing strategy and the Victoria's Street with its strong social status position a severe threat to the present market share of the Porter's 5 Forces analysis of Guna Fibres Ltd Case Analysis.
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