This case study analyses NZ Sock, a company that has a history from 1887 to current date in the clothing industry. Over the years NZ Sock has introduced different types of products in the industry such as rugby and high school socks. Recently the company decided to venture into the well-being industry with the new production of Merino/Seaweed socks. This strategy has placed the company as a contender to become a leader in the well-being industry. Since the introduction of the company, it has had 4 generation of a family and different styles of management. The case study looks at different aspects of the company such as conducting a SWOT analysis, its current position of the market and its strategy to ensure its survival.
Current Position in the Market & Competitive Advantage:
Paladin Ltd is growing and venturing into the well being industry with a sales value of $185,000 to date and continue to expand into new markets (Dale, Shepherd & Woods, 2008). The company’s current position is that they are new to the industry and still growing. It is a slow process to expand into new markets with a new product but as time goes the popularity of the product would increase. The company is still developing its production and operations side of the firm. It is trying to analyse the most efficient way to tackle exporting by producing from countries such as China. The NZ sock company is currently based in NZ and Poland but is looking at expanding into new territory such as UK, USA & Japan. The organization has secured a distributer in the UK to supply the National Health Service in with the merino/seaweed socks. The product would be provided free to people suffering with diabetes and obesity. This is an opportunity for the organization to have a breakthrough in the market and expand itself. The merino/seaweeds product is a unique product which is being introduced to the market for the first time. The company has the comparative competitive advantage of producing a unique product in an un-explored market. Creating an innovative new product has its competitive advantage as you would be the only supplier for the product. The company is currently trying to become a market leader and ensure that it makes a mark in the market. There is a growth in the world for health products and the well being market with an estimate potential of $ 2 Trillion USD (Gregory & Pelletier, 2010). If Paladin Ltd is able to become market leaders with the industry then they would have access to developing new products creating competitive advantage. The product is unique as it is a combination of merino wool and seaweed. The seaweed known as SeaCell Active works by moisturizing and hydrating the skin while the merino wool traps heat in its pockets (“The NZ Sock Company,” 2012). This rare combination of the two fibres gives the company a unique product that has a growing demand.
Vision, Value and Mission
The NZ sock company understand the importance of recycling, reusing & reducing and therefore is incorporating sustainability into the organization (“The NZ Sock Company,” 2012). The organization is trying to move itself into a more sustainable company and changing its value to a greener one. The NZ sock values also lie in production of high quality products for the market. Producing high quality products gives the company a good reputation in the market. This ensures that the company is a key player within the industry by meeting quality standards. The company’s mission is to venture into a new industry of health and well being. Their mission is to do so by becoming leaders in the industry and ensuring that they are a sustainable company (“The NZ Sock Company,” 2012). The mission of the company from the case study can be concluded that, the company aims to become an innovative producer of quality socks and a leader in the market (Dale et al, 2008). The vision of the company is to become an innovative company that...