Fleet of Foot Case
Up until now, Navado Carrillo’s present strategy was working just fine. Her idea of providing high-end running shoes made her a very good return on her investment in the first 10 years. Selling mainly Nike products was also a very good idea Navado had because Nike was well accepted and seen as top quality to her customers. Her current strategy of also adding other Nike shoes, including walking shoes, shoes for aerobic exercise, basketball shoes, tennis shoes, and cross trainers was a good idea for the business because it offered her loyal customers different options of shoes now that jogging is becoming too demanding. I think where Navado went wrong is adding in a line of sportswear and putting more emphasis on fashion. Her business is known for high quality running shoes and other shoes, not fashion. Other companies like to sell other brands and have a few line of sportswear fashion to separate themselves from well-known shoe stores like Navado’s. Now that she added this extra line and incorporated more fashion into her store, she is in direct competition to other stores, which results in her losing business and having her sales flatten out. To help her sudden fall in business, Navado tried an experiment that was great in my opinion, where “she took a line of high-performance athletic shoes that were made to order. The distinctive feature of these shoes was that the sole was molded to precisely fit the customer’s foot” (Perreault). This was a great idea because when someone came in looking for high-end running shoes, her sales clerks would tell them all about it and once the shoes came in two weeks later, they were delighted. Since those shoes were going for $170, only serious runners would buy them but seeing how they were happy with the product, they could spread the word about these shoes to other runners, which would increase Navado’s sales. However, the company that offered them ran into financial trouble and went out of business....
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