Giordano
Summary of the Case
Giordano is one of Asia’s most successful retailers with operations in East Asia, Southeast Asia and the Middle East. The success of Giordano was attributed to factors such as providing excellent customer service, understanding consumer’s needs and wants, stringent selection and training of staff, short design to production cycles, and extremely good inventory control and turnover. With a strong emphasis on customer service and value for money Giordano was able to differentiate itself from competitors. The question is how, can Giordano maintain its competitive advantage in the future? Amidst increasingly stronger competitors and changing industry conditions, Giordano had to critically evaluate its sources of competitive advantage and key success factors, and perhaps to consider repositioning itself in current and new markets Furthermore, Giordano needed to examine which key success factors would likely to be eroded over the coming years. Furthermore, Giordano had to consider whether and if yes, how its key success factors could be transferred to other country markets that it planned to enter.
View Point Mr Jimmy Lai - CEO
Statement of the problem
Increasing Giordano’s sales turnover, aligned with a substantial gain in market share. STATEMENT OF OBJECTIVES
Short-term Objective
* To reposition itself against its competitors in its existing and new markets.
Long-term Objective
* To be the world’s leading fashion and clothing line companies in terms of profit and sales volume.
Areas of Consideration
-Political
Tax structure Pollution regulation
-Economical
Asian Currency Crisis Currency fluctuations Rising cost of raw materials Labor Cost
-Social
Taste and Preference Culture Convenience - Technological IT Systems
Alternative Courses of Action
ACA 1 Giordano should implement a more sober approach to maintain consumer loyalty with their local brands.
ACA2
Giordano is one of Asia’s most successful retailers with operations in East Asia, Southeast Asia and the Middle East. The success of Giordano was attributed to factors such as providing excellent customer service, understanding consumer’s needs and wants, stringent selection and training of staff, short design to production cycles, and extremely good inventory control and turnover. With a strong emphasis on customer service and value for money Giordano was able to differentiate itself from competitors. The question is how, can Giordano maintain its competitive advantage in the future? Amidst increasingly stronger competitors and changing industry conditions, Giordano had to critically evaluate its sources of competitive advantage and key success factors, and perhaps to consider repositioning itself in current and new markets Furthermore, Giordano needed to examine which key success factors would likely to be eroded over the coming years. Furthermore, Giordano had to consider whether and if yes, how its key success factors could be transferred to other country markets that it planned to enter.
View Point Mr Jimmy Lai - CEO
Statement of the problem
Increasing Giordano’s sales turnover, aligned with a substantial gain in market share. STATEMENT OF OBJECTIVES
Short-term Objective
* To reposition itself against its competitors in its existing and new markets.
Long-term Objective
* To be the world’s leading fashion and clothing line companies in terms of profit and sales volume.
Areas of Consideration
-Political
Tax structure Pollution regulation
-Economical
Asian Currency Crisis Currency fluctuations Rising cost of raw materials Labor Cost
-Social
Taste and Preference Culture Convenience - Technological IT Systems
Alternative Courses of Action
ACA 1 Giordano should implement a more sober approach to maintain consumer loyalty with their local brands.
ACA2