Case Analysis: Giordano
Assumptions
It is assumed that Giordano is currently planning on further expanding beyond its well-established presence in Asian markets. Also, that Giordano does not currently plan to focus the next stage of development on pricing or on optimizing distribution channels. This conclusion stems from the fact that Giordano’s margins, though lower than competitors, are still turning a healthy profit and the company appears to be competitive at a pricing level with firms that are selling similar products. Giordano is assumed to be no more expensive than it’s other competitors, and that they have a budget available for additional promotional campaign.
Problem
Giordano faces several different issues at hand with regards to expansion in new and existing markets. Chief among these issues is the organization’s positioning in the market, which until now has been one of their key success factors in achieving the growth that Giordano has experiences in the last 10 years. Giordano’s needs to position itself as a competitive lifestyle brand against the looming entry of global brands like The Gap and ESPRIT further into the Asian market, as well as to compete against them in markets where they have an established competitive advantage. The firm is currently doing well, and has seen most of it’s international expansions be successful so far, meaning that the urgency of this issue is one more of a preventive nature to reinforce market position and protect against new market entrants than one to solve a burning issue the firm is facing.
Analysis
Giordano currently positions itself as a value for money retailer selling unisex clothing for all ages (Exhibit 5, p. 498). This image helps it carve a space within the competitive Asian retail business environment, but it also puts it in direct competition with several similarly marketed brands. The strengths of the Giordano brand have been segmenting their product line (e.g. Gio Ladies and BSE) and their emphasis on
It is assumed that Giordano is currently planning on further expanding beyond its well-established presence in Asian markets. Also, that Giordano does not currently plan to focus the next stage of development on pricing or on optimizing distribution channels. This conclusion stems from the fact that Giordano’s margins, though lower than competitors, are still turning a healthy profit and the company appears to be competitive at a pricing level with firms that are selling similar products. Giordano is assumed to be no more expensive than it’s other competitors, and that they have a budget available for additional promotional campaign.
Problem
Giordano faces several different issues at hand with regards to expansion in new and existing markets. Chief among these issues is the organization’s positioning in the market, which until now has been one of their key success factors in achieving the growth that Giordano has experiences in the last 10 years. Giordano’s needs to position itself as a competitive lifestyle brand against the looming entry of global brands like The Gap and ESPRIT further into the Asian market, as well as to compete against them in markets where they have an established competitive advantage. The firm is currently doing well, and has seen most of it’s international expansions be successful so far, meaning that the urgency of this issue is one more of a preventive nature to reinforce market position and protect against new market entrants than one to solve a burning issue the firm is facing.
Analysis
Giordano currently positions itself as a value for money retailer selling unisex clothing for all ages (Exhibit 5, p. 498). This image helps it carve a space within the competitive Asian retail business environment, but it also puts it in direct competition with several similarly marketed brands. The strengths of the Giordano brand have been segmenting their product line (e.g. Gio Ladies and BSE) and their emphasis on