Gap, Inc. is a leading American specialty apparel retailer based in San Francisco, California. It sells casual apparels, accessories, and other personal care products for men, women, and children. The products of Gap, Inc. include denim, khakis, T-shirts, boxers, casual wear, and others. It is traded in New York Stock Exchange under the symbol GPS. Currently, the company boasts approximately 150,000 employees and 3,139 stores all around the world. Gap, Inc. sustains a large number of brands, namely Gap, Old Navy, Banana Republic, Forth & Towne, Piperlime, and others. These different companies are bought by the parent company in different times. Started as a general jeans retiling store, Gap, Inc. today has a market value of $13.32 billions. Throughout its history, Gap, Inc. has established itself as a leader in the industry.
In July 1969, Donald Fisher and his wife Doris went to buy a pair of Levi’s jeans in a department store. But they could not find a pair that would fit him, which led them to feel that the demand of jeans has out-weighted supply. With this knowledge, the couple started a store in a small shop near San Francisco State University. This store only carried records and Levi’s jeans. The immediate response from young customers led Fisher to open other outlets. As the 1970s arrived, the appeal for jeans grew thus leading to high growth of the company. $2.5 millions in sales in 1971 increased to $97 million in 1976 with 186 stores in 21 states. As the recession of 1970s arrived, Gap had to react by changing the lines of clothes to a larger variety. They started selling their own labels which was later aided by appointment of Mickey Drexler as a CEO in 1980s. In May, 1988 the corporation was reincorporated in State of Delaware. The company had huge success in late 1990s with net income surpassing $824.5 millions. Before this, Gap, Inc. purchased Banana Republic in 1983. Banana Republic was a catalogue retailer selling safari-themed clothes. This transformed Banana Republic from a rookie in clothing business to a well established ‘business women’s store.’ The other major addition to Gap, Inc.’s portfolio was Old Navy which was established in 1994. Started as ‘Gap Warehouse’, Old Navy quickly proved to be one of the best sellers in retailing history. Gap, Inc. later took a huge step in 2006 with the inclusion of Piperlime.com, which sells private branded shoes. With an inclusion of all these different brands, Gap, Inc. is a leader in apparel industry. It has established itself as a specialty in this industry. With the inclusion of Piperlime, Gap, Inc. tried to diversify its customers and increased the appeal from e-commerce. The major brands of Gap, Inc. include Gap, Banana Republic, Old Navy, and Piperlime. A close look into these four specific brands included herewith.
• 1976 Gap goes public, offering 1.2 million shares of stock on the New York and Pacific stock exchanges. • 1977 The Gap Foundation, Gap Inc.'s charitable arm, is established. • 1983 Gap Inc. buys Banana Republic —then a two-store safari and travel clothing company with a thriving catalog business. • 1986 GapKidsopens its first store.
• 1987 Gap goes international, opening its first store outside the U.S. in London. • 1990 babyGapis born.
• 1994 Gap Inc.'s newest brand —Old Navy —debuts. Gap Outlet opens its doors. GapScentsis introduced in Gap stores. • 1995 Millard Drexleris named CEO of Gap Inc. The first Banana Republic store outside the United States opens in Canada. • 1996 Banana Republic introduces gift and home accessories collections. • 1997 Making shopping even easier for U.S. customers, Gap opens its Online Store at gap.com. Old Navy achieves $1 billion in annual sales in less than four years of operation. • 1998 GapKidsand babyGaplaunch their Online Stores. Gap Inc. launches its formal...