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Gap, Google, Skywest Case Study Guide

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Gap, Google, Skywest Case Study Guide
MGMT 497 – Case Studies EXAM
GAP –
1. What are the key elements of the company’s strategy? Is it working? a. Redesigned websites and established online presence for all Gap Brands (Gap, Old Navy, BannaRep, piperlime, Atheleta) to allow customers to shop for all brands in one cart for greater functionality and more convenient shopping experience. This e-commerce platform utilized service innovation as its key strategy. Became known as one of the best e-commerce sites in retail (pg. 164) b. Expand to new markets internationally in Asia, the middle east, and Europe (Saudi Arabia, Indonesia, South Korea, Greece, Russia...) (pg. 166) c. Reduce outstanding debt and consistently increase dividend payments to shareholders for financial wellness d. Improving Gap’s quality, styling, and overall image by brining back Patrick Robinsons as Gaps’s design chief who strayed them away from the “trend treadmill” and back to the classic of quality and style. (pg. 167) e. Analyst saw to company’s improved merchandise, clearer focus on the 25-35 age demographic, strong leadership team, and additional cost cutting strategy as the strengths of Gaps turnaround strategy. Still yet to determine if slight increase in sales is an in fact a effective turnaround strategy f. Gap utilized turnaround strategies. Gap experienced two turn around strategies periods: 2002 and 2007. g. 2002: elements of focus on eliminating long term debt, becoming more consumer accessible- online shopping i. Pros: reduction of debt from $2.9 billion to zero in 5 years (2007), increase dividends to shareholders $0.09 to $0.32, reduced outstanding stock shares 877 million in 2002 to 794 million in 2007.(C-165) ii. More accessibility to consumers via internet reconfiguring the company website-establishing a more user friendly site for all five brands. (C-164) h. 2007: elements of focus were on expansion (including international expansion) &

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