Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Help
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Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Study Solution
A Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Analysis could be conducted to create different strategies using the strengths of the business to obtain opportunities, conquer weak points and to lower the dangers. It could likewise be utilized to assess that how certain weaknesses withstand certain chances and increase the risks. The techniques drafted utilizing the Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Analysis are given as follows;
• Usage of strong international brand name position and financial resources in expanding towards possible markets.
• Unique brand experience could assist the company to better position itself in brand-new markets.
• Resistance in expansion in the possible international markets motivating diversity.
• High costs restricts the expansion in various Asian and African nations with low per capita earnings.
• Strong brand acknowledgment, non-traditional methods of marketing and the distinct brand name experience could be used to decrease the hazard from possible consumers.
• Strict appearance policies might led to the customer shift towards Victoria with high social duty.
• Limited target audience could resulted in a decline in the total market share of the business.
These techniques might assist the company 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 Global Supply Chain Management Best Practices At Li And Fung Limited Case Analysis could be carried out to examine the accessibility of funds to the business that might be utilized in expansion towards international markets. The financial position of the business could be assessed by utilizing the information given up the case Exhibit 1. The ratios that might be thought about in financial efficiency analysis are given in the Table 1 listed below;
From the above Table 1, it could be seen that the company has an affordable monetary efficiency with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net earnings margin does not appears to be potential and the business must put efforts in increasing its earnings along with lowering its functional expenditures to increase its profit margins.
Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Analysis
Segmentation
Many of the business's Brick and Mortar shops are situated in United States consisting of above 500 stores in almost each of the state of United States. The company has likewise a worldwide existence in 8 different countries with its greatest number of shops situated in United Kingdom i.e. 21. The companyhas an overall of 54 shops in global markets that is most likely the 10% of its shops in the US.
Targeting
The company targets its clothes brand name to the young, tall and good-looking teens and kids that are considered to be cool. This targeting policy is accountable for different distinctions in the company related to its rivals. For instance, the business hires excellent looking males and females for its shops and follows a stringent appearance policy to keep destination of attractive people towards its stores and offer a distinct brand experience.
Positioning
The company has placed its brand as a high-end brand targeting just a specific market section. The business with its non-traditional ways of marketing through models and representatives posters its brand image as a high-end clothes brand targeted to the cool and good-looking characters in society. Although, this market position attracts various elite individuals towards the brand however it hurts the business's position in different communities focused at the equality in society.
External Analysis
Competitor Analysis
Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Help deals with a great deal of competition in the market with the existence of different number of rivals in the market. A chart revealing the close competitors along with their characteristics and the marketing method is given up. it could be seen that the American Eagle Outfitters is thought about to be the strongest rivals for company with its marketing method related to the television programs. Space is also considered to be a possible competitor in local as well as in global; markets as the company is considering to shift in the international markets. Together with it, Global Supply Chain Management Best Practices At Li And Fung Limited Case Study Solution. with its versatile rates strategy and the Victoria's Street with its strong social status position an extreme threat to the current market share of the Porter's 5 Forces analysis of Global Supply Chain Management Best Practices At Li And Fung Limited Case Help.
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