Contextual Analysis of Uniqlo

Topics: Retailing, Strategic management, Uniqlo Pages: 4 (1010 words) Published: March 5, 2013
Contextual Analysis of UNIQLO

* Introduction
UNIQLO, an officially Japan’s leading clothing retail chain. UNIQLO now has 1024 stores in 12 countries (Appendix 1). The operations are controlled by the parent company Fast Retailing Co. Ltd. Observe the strategy of UNIQLO, it base on SPA model which took place in the group’s structure and lead them to become the top brand in Asia during the downward spirals of global environment.

* UNIQLO Business strategy
To become one of the top clothing retailer in the competitive global markets. UNIQLO has refined its SPA (Specialty store retailer of Private label Apparel) business model (Global fashion Wire, 2011), encompassing all stages of the business – from design and the production to the final sale (Fast Retailing, 2010). It is a kind of vertical integration model that supply chain is all control by the enterprise. The competitive advantage of UNIQLO business model:

* UNIQLO can be in the better control. UNIQLO manage the production process to sales by themselves. Therefore, the firm can not only easily control quality but also shorten the delivery time. * Due to 'UNIQLO' direct participate in management of retail outlets. UNIQLO can easily identify the sales information, adjusting product structure and improve the quality of service. SPA model can easily adjust the process of production, product design, target market and store layout by market demand at anytime. Through varieties of a large number of small sales as well as production of economies of scale, helps in achieving the low prices they are known for (Business & Economy, 2010).

* UNIQLO Marketing strategy
In addition to produce high quality with reasonable price clothes, UNQLO successfully to get it message and image across by interactive marketing strategy. Effective website: a multichannel approach

Rather than looking the business through direct online retailing, the focus of UNIQLO’s web strategy is to develop the multichannel...
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