Cambridge Satchel Company Executive Summary

2013
The Cambridge Satchel Company

BUSINESS PLAN FOR THE CAMBRIDGE SATCHEL
COMPANY PRODUCT EXTENSION STRATEGY
Utilising five SMART objectives this report will cover the initial product extension strategy and release of a new product to increase the current product range at The Cambridge Satchel Company. Word Count - 1650

Contents
Glossary of Terms and Abbreviations ............................................................................................................................... 2
Introduction ...................................................................................................................................................................... 3
Objectives..........................................................................................................................................................................
CIPD
(2013)
PERT Analysis (CPA) - Helps to plan all tasks that must be completed as part of a project, including scheduling and resource planning. They also allow you to monitor project goals and assess where remedial action is needed.
Penetration Pricing - As stated by Riley (2012) Penetration pricing is the pricing technique of setting a relatively low initial entry price, and is often used to support the launch of a new product, to attract new customers.
Premium Pricing - As stated by Magloff (2012) Premium Pricing identifies the demographic that are willing to pay above the norm to feel they are getting a more exclusive product. Premium Pricing is used to maximise profit where there are no substitutes for the product.
Porter’s 5 Forces - This can identify the strength of your current competitive position, and the strength of a position you 're considering moving into alongside identify the competitive threats within the
As a result each customer is only likely to purchase one item from the Company therefore they need to be aware of who they can target within the future. Furthermore as stated in the report, the Fashion Industry is a very competitive market therefore customers have so much choice of other alternatives should they be put off due to factors such as price and hence why we are now creating a purse as it can be entered at a low price point.
Opportunities
The brand is already marketed and sold worldwide, in high end department stores and via their own website. It could be an option to expand operations abroad and set up pop-up shops in developing markets such as China,
Japan and India. Furthermore there is always the option to increase distribution to more high streets as well, without cheapening the brand, for example in the UK utilising the network of John Lewis and Debenhams. The technology market, like the fashion industry is a very fast paced environment, with products experiencing a short life-cycle, this could become an opportunity to reveal a luxury leather ‘techwear’ line that match the existing product ranges. All of this must be achieved by not alienating the male demographic, and as a result there is the potential to