Geox: Breathing Innovation Into Shoes
BA462-Strategic Manament – Case B Geox: Breathing Innovation Into Shoes
October 3, 2013
Innovation is the keyword in Geox. In apparel and accessories industries like Geox, innovation is not an easy thing to do because company’s revenues mostly rely on selling seasonally changing lifestyle goods and the company is jumping in the industries of maturity stage. It is unique that Geox, a relatively young company who had penetrated the mature industries, in other words difficult to compete with, by using unique strategic managements. They tried to differentiate themselves from the competitors not only in their product design but also proper positioning within industries. The purpose of this paper is to find out how Geox has become one of globally innovative companies within the industry and what kind of strategic thinking the company had in mind. Among many methodologies, SWOT analysis method will be used to understand strengths and weakness that company had both internally and externally. After the SWOT, the focus will be based on the data illustrated in company’s previous financial statement given in the case. The last section of this paper will conclude overall view of the company’s strategic management style.
SWOT Analysis
To get a closer view of Geox, this case analysis will use SWOT analysis to decompose the company’s management and style internally and externally.
Strengths - According to the case, Geox played an important role as one of multinational corporations. Adjusted to be highly responsive to local environment by using transitional operation strategies, the company has pursued cost reduction. Also, Geox has controlled their production process and brilliantly cooperate with companies such as Aokang by building strong, yet legally reasonable, contractual relationship with outside vendors. This gives Geox significant advantages in
October 3, 2013
Innovation is the keyword in Geox. In apparel and accessories industries like Geox, innovation is not an easy thing to do because company’s revenues mostly rely on selling seasonally changing lifestyle goods and the company is jumping in the industries of maturity stage. It is unique that Geox, a relatively young company who had penetrated the mature industries, in other words difficult to compete with, by using unique strategic managements. They tried to differentiate themselves from the competitors not only in their product design but also proper positioning within industries. The purpose of this paper is to find out how Geox has become one of globally innovative companies within the industry and what kind of strategic thinking the company had in mind. Among many methodologies, SWOT analysis method will be used to understand strengths and weakness that company had both internally and externally. After the SWOT, the focus will be based on the data illustrated in company’s previous financial statement given in the case. The last section of this paper will conclude overall view of the company’s strategic management style.
SWOT Analysis
To get a closer view of Geox, this case analysis will use SWOT analysis to decompose the company’s management and style internally and externally.
Strengths - According to the case, Geox played an important role as one of multinational corporations. Adjusted to be highly responsive to local environment by using transitional operation strategies, the company has pursued cost reduction. Also, Geox has controlled their production process and brilliantly cooperate with companies such as Aokang by building strong, yet legally reasonable, contractual relationship with outside vendors. This gives Geox significant advantages in