Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Solution

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Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Study Solution

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Solution could be conducted to create various strategies using the strengths of the business to get chances, overcome weaknesses and to minimize the risks. It could likewise be used to evaluate that how certain weak points withstand particular chances and increase the risks. The strategies prepared using the Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Help are provided as follows;
• Usage of strong worldwide brand name position and financial resources in expanding towards potential markets.
• Special brand name experience might assist the company to much better position itself in new markets.
• Resistance in growth in the possible global markets encouraging variety.
• High rates limits the expansion in different Asian and African nations with low per capita earnings.
• Strong brand name recognition, non-traditional ways of marketing and the distinct brand name experience might be made use of to reduce the danger from possible clients.
• Rigorous look policies might led to the customer shift towards Victoria with high social duty.
• Restricted target audience might caused a decline in the overall market share of the business.
These strategies could help 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 Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Analysis might be conducted to assess the availability of funds to the company that might be utilized in growth towards worldwide markets. The financial position of the company could be evaluated by utilizing the data given in the case Display 1. The ratios that could be thought about in financial efficiency analysis are given in the Table 1 below;

From the above Table 1, it could be seen that the company has a reasonable financial performance with a ROE of 7.9% and a high sales development of 18.4%. Although, a 4.3% net profit margin does not seems to be prospective and the business needs to put efforts in increasing its incomes in addition to minimizing its operational costs to increase its revenue margins.

Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Solution

Segmentation

The segmentation analysis consists of the analysis of different service segments of the company in domestic and the international, markets. The majority of the company's Traditional shops lie in US including above 500 stores in practically each of the state of United States. Nevertheless, the company has likewise an international existence in 8 different countries with its greatest variety of stores located in UK i.e. 21. The companyhas an overall of 54 stores in worldwide markets that is probably the 10% of its stores in the US. It indicates that majority of the earnings of the business originated from the local markets. The business is considering to broaden its shops into 7 more European and Asian countries. A chart revealing the presence of the business in numerous worldwide markets is given up the Appendix 2.

Targeting


The business targets its clothing brand name to the young, tall and attractive teens and kids that are thought about to be cool. This targeting policy is responsible for various distinctions in the company related to its rivals. For example, the company hires good looking men and women for its shops and follows a rigorous appearance policy to keep attraction of good-looking individuals towards its stores and offer an unique brand name experience.

Positioning


The business has placed its brand name as a high-end brand targeting only a specific market section. The company with its non-traditional ways of marketing through designs and representatives posters its brand image as a luxury clothes brand targeted to the cool and good-looking personalities in society. This market position attracts different elite individuals towards the brand name however it injures the business's position in numerous communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Diesel For Successful Living: Branding Strategies For An Up-Market Line Extension In The Fashion Industry Case Solution faces a lot of competition in the market with the presence of different number of rivals in the market. Gap is also thought about to be a prospective competitor in local as well as in worldwide; markets as the business is thinking about to move in the worldwide markets.



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