MGT 201 Case No 3 Armour Garment Co

Topics: Marketing, Brand management, Brand Pages: 7 (1287 words) Published: November 13, 2014
University of the Philippines Los Baños
College of Economics and Management
Department of Agribusiness Management

“ARMOUR GARMENTS COMPANY”

A case study submitted in partial fulfilment
of the requirements in
MGT 201- Organization and Management

ARMOUR GARMENTS COMPANY
CASE #3

I. Point of View
The point of view of Armour Garments Corporation’s officers and/or shareholders shall be considered in this case since they have the authority to decide on what to do for the business. II. Problem Statement

What should be the business strategies of Armour Garments Corporation that will make it competitive and profitable? III. Case Facts
Internal Analysis
Strength
1. Pioneer in the industry - Armour and Marca Troca
2. Brand Equity (a recognized brand in undershirt)
3. Produces superior/high quality products – twice more durable than other brands 4. Centralized distribution
5. Produces a simple product form with very minimal production process 6. With products that capture a wide target market segment (Men aged 2 – 40 up) 7. High quality low-priced product “Blossom”

Weakness
1. Lean/limited product line – traditional product line; few forms and available in white only 2. Absence of a Designer – they are just copying from Hongkong 3. Very limiting product positioning – existing products are undershirts only 4. Machines are not flexible for other types of products

5. Old manufacturing facility (21 years)
6. Limited distribution network
External Analysis
Opportunities
1. Growing market (increase in population)
2. Various distribution channels – wholesale & retail (e.g. department stores) 3. Other product forms
4. Female market segments
Threats
1. Product Seasonality - sales are high sales during the months of June and December only 2. Divisoria wholesalers/middlemen are not loyal to brands
3. Availability of lower priced products in the market particularly in Divisoria 4. Manufacturers offer longer credit terms
5. Opening of marginal undershirts factories
6. Fashionabilty of undershirt
7. New trends in the apparel industry

SWOT MATRIX
EXTERNAL
ENVIRONMENT
ANALYSIS

INTERNAL
ENVIRONMENT
ANALYSIS
OPPORTUNITIES

1. Growing market (increase in population)
2. Various distribution channels – wholesale & retail
3. Other product forms
4. Opportunity to capture other market segments
THREATS

1. Product sales are seasonal (high sales during the months of June and December only) 2. Divisoria wholesalers/middlemen are not loyal to brands
3. Availability of lower priced products
4. Manufacturers that are offer better credit terms
5. Opening of marginal undershirts factories
6. Fashionabilty of undershirt
7. New trends in the apparel industry
STRENGTHS

1. Popular/known brand in the industry - Armour and Marca Torca 2. Brand Equity (a recognized brand in undershirt)
3. Produces superior/high quality products – twice more durable than other brands 4. Centralized distribution
5. Produces a simple product form with very minimal production process STRENGTHS

6. With products that capture a wide target market segment (Men aged 2 – 40 up) 7. High quality low price product “Blossom”
SO STRATEGIES

Reintroduce Blossom in Divisoria and focus Armour and Marca Troca to other channels with products for women

ST STRATEGIES

Reintroduce Blossom with more styles and designs in Divisoria and focus Armour and Marca Troca to other channels

WEAKNESSES

1. Lean/limited product line – few forms and available in White only 2. Absence of a Designer – they are just copying from Hongkong 3. Product positioning – existing products are undershirts only 4. Machines are not flexible for other types of products

5. Old manufacturing facility (21 years)
6. Limited distribution network
WO STRATEGIES

Sell existing manufacturing facility...
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