small business management case # 1 Nau.

Good Essays
Case Study # 1:
NAU.
1) What were the Nau’s founders’ primary motivations for founding Nau?
Ans: The primary motivations of the Nau’s founders was a new retailing concept was to combine the eco-friendly and mountain-climbing chic of Patagonia with the fashion-forward urban cool styles of brands like Prada, using eco friendly materials to make the outfits.
2) What kind of entrepreneurial venture is Nau?
Ans: Nau is a eco-frieldly start-up technical and lifestyle outdoor apparel company with a design philosophy blending beauty, performance and sustainability, and a commitment to creating positive change.
3) How do you feel about management’s decision to give a percentage of the firms sales to charity? Describe the pros and cons of such a decision.
Ans: It was a good corporate social responsibility of the new start up by deciding to donate 5% of sales to non-profit entities which were worthy of it and which were selected by the various buyers. They also didn’t worry about the slightly high price because they were positive that ecofriendly customers wound not mind it knowing that they were also supporting a cause.
The main advantage of this move was that it could help the society and will be able to prove to the customers and new investors that it was worth buying their product.
The only disadvantage is that for a new company they should have waited for a few years of growth and development in order to take such a step. The disadvantage of loosing money.
4) After reviewing these two companies websites, what do you believe Nau’s owners saw in Patagoinia and Prada that was relevant to their idea for a startup?
Ans: Prada is a very fashion forward and urban clothing brand and Patogonia is a brant which makes eco-friendly mountain climbing clothes and gear. They wanted to combine the ideas of both the styles of these two brands and make them into one where the clothes were still eco-friendly and durable for the mountains, the trail and the weather but which

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