Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Help

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Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Study Help

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Solution could be conducted to design different methods using the strengths of the business to obtain opportunities, overcome weaknesses and to minimize the hazards. It could likewise be utilized to assess that how specific weak points withstand certain opportunities and increase the risks. The strategies prepared using the Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Analysis are provided as follows;
• Usage of strong worldwide brand name position and financial resources in broadening towards possible markets.
• Unique brand experience might assist the business to better position itself in brand-new markets.
• Resistance in expansion in the possible global markets encouraging diversity.
• High costs restricts the growth in various Asian and African nations with low per capita income.
• Strong brand recognition, non-traditional methods of marketing and the distinct brand experience could be used to lower the threat from prospective clients.
• Strict look policies could caused the customer shift towards Victoria with high social responsibility.
• Limited target markets could caused a decrease in the total market share of the company.
These techniques could assist the business to improvise its market position and be at the leading position in the market.

Financial Analysis


Monetary analysis for Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Analysis might be conducted to evaluate the schedule of funds to the company that could be utilized in expansion towards global markets. The financial position of the business might be examined by using the information given in the case Exhibition 1. The ratios that might be thought about in monetary performance analysis are given up the Table 1 listed below;

From the above Table 1, it might be seen that the business has a sensible monetary efficiency with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net earnings margin does not seems to be possible and the company must put efforts in increasing its earnings along with minimizing its operational expenditures to increase its earnings margins.

Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Help

Segmentation

The segmentation analysis consists of the analysis of different business sectors of the company in domestic and the global, markets. The majority of the company's Brick and Mortar stores lie in US consisting of above 500 shops in almost each of the state of United States. Nevertheless, the business has likewise a global presence in 8 different countries with its highest variety of shops located in UK i.e. 21. The companyhas a total of 54 shops in worldwide markets that is most likely the 10% of its stores in the United States. It suggests that bulk of the earnings of the company originated from the regional markets. The company is thinking about to expand its shops into 7 more European and Asian nations. A chart showing the presence of the company in numerous worldwide markets is given up the Appendix 2.

Targeting


The company targets its clothes brand name to the young, high and attractive teenagers and kids that are considered to be cool. This targeting policy is responsible for different distinctions in the company related to its competitors. The company employs excellent looking males and ladies for its stores and follows a rigorous appearance policy to preserve destination of attractive individuals towards its shops and provide an unique brand experience.

Positioning


The company has positioned its brand name as a high-end brand targeting just a particular market section. The business with its non-traditional ways of marketing through designs and representatives posters its brand name image as a luxury clothing brand targeted to the cool and good-looking characters in society. This market position attracts various elite people towards the brand name however it harms the company's position in various communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Keeping Cool: Running The Numbers On The Kooltex Incentive Package (B) Case Analysis faces a lot of competitors in the market with the presence of numerous number of rivals in the market. Gap is likewise considered to be a prospective rival in regional as well as in international; markets as the company is thinking about to shift in the global markets.



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