Lululemon Case Essay examples - 8018 Words

Confirming Pages CASE 6 lululemon athletica, Inc. Arthur A. Thompson The University of Alabama I n early 2012, investor interest in lululemon athletica— a designer and retailer of high-end, yoga-inspired athletic apparel under the lululemon athletica and ivivva athletica brand names—was surging. Over the past 30 months, growing numbers of female shoppers were patronizing the company’s stores to pay premium prices for lululemon-branded items that offered performance, fit, and comfort and were stylish as well. The company’s functional and stylish apparel had taken on â€Å"must have† status among growing numbers of fitnessconscious women. People were flocking to lululemon stores not only because of the fashionable products but also because†¦show more content†¦Wilson also saw the company’s mission as one of providing people with the components to live a longer, healthier, and more fun life. Several new stores were opened in the Vancouver area, with operations conducted through a Canadian operating company, initially named Lululemon Athletica, Inc. and later renamed lululemon canada inc. In 2002, the company expanded into the United States and formed a sibling operating company, Lululemon Athletica USA Inc. (later renamed as lululemon usa, inc), to conduct its U.S. operations. Both operating companies were wholly owned by affiliates of Chip Wilson. In 2004, the company opened a franchised store in Australia as a means of more quickly disseminating the lululemon athletica brand name, conserving on capital expenditures for store expansion, and boosting revenues and profits. The company wound up its fiscal year ending January 31, 2005 with 14 company-owned stores, 1 franchised store, and net revenues of $40.7 million. A second franchised store was opened in Japan later in 2005. Franchisees paid lululemon a one-time franchise fee and an ongoing royalty based on a specified percentage of net revenues; lululemon supplied franchised stores with garments at a discount to the suggested retail price. Five years after opening the first retail store, it wasShow MoreRelatedLululemon Case Study1306 Words   |  6 PagesAssignment 1 Case Study Lululemon 1. Considering the five forces of competition and how they direct the profit potential for a given industry, discuss how the forces help explain Lululemon’s performance. 2. The resource-based model assumes that each organization is a collection of resources and capabilities, which provide the basis for a firm‘s strategy and its primary source of above-average returns. Use this this model to outline Lululemon‘s core competencies and how their capabilitiesRead MoreLululemon Case Study2260 Words   |  10 PagesAssignment for Course: MGT 5090 – Entrepreneurial and Strategic Thinking Submitted to: Dr. Regina A. Greenwood Submitted by: Anais Carrasco Date of Submission: May 30th, 2013 Title of Assignment: CASE 4 – Lululemon Athletica Inc. CERTIFICATION OF AUTHORSHIP: I certify that I am the author of this paper and that any assistance I received in its preparation is fully acknowledge and disclosed in the paper. I have also cited any sources from which I usedRead MoreLululemon Case Study1609 Words   |  7 PagesCase Study- lululemon Ethics and Social Responsibility Executive Summary Founded in 1998, lululemon has become an extremely successful company. Over the last 12 years of operation, its mission is to improve health, make a difference in all the communities it is located in, and provide guests with quality products to help them live healthy lives. Currently, lululemon still strives to make a difference in each community through the Community Legacies Program. Plans for expansion are also in effectRead MoreLululemon Case Study1094 Words   |  5 Pagesfood chains, which appeal to the youth, such as Chipotle and offer take-out delivery. Personally, I see Amazon capturing the food delivery service in the near future. However, some analysts such as Derrick, believe Amazon’s next step is to acquire Lululemon. All of this suggestion is highly probable. In the next century, it would not be surprising to see if Amazon was able to compete for all of these suggestions. Costco Costco’s channel management is certainly one of the reasons why the organizationRead MoreLululemon Case Study Essay947 Words   |  4 PagesLULULEMON CASE STUDY FEBURARY 9, 2013 Question # 1 SWOT Strengths: niche market leader, product technology, customer focused, quality, innovation, brand, corporate social responsibility, and sustainability Weaknesses: perceived female focus, Local centricity, price point, inventory, perceived as yoga only, distribution, and access to stores Opportunities: Product diversification, line expansion, accessories, leveraging perceived expertise, category leader, and expert Threats: BuyoutRead MoreLululemon Case Analysis Essay4336 Words   |  18 Pagesï » ¿ Lululemon Athletica, Inc. Created by: Kelsey Davis GBA 490-901 March 21, 2014 Table of Contents Executive Summary To: Laurent Potdiven Chief Executive Officer Lululemon Athletica Inc. This report has been created with the intent to analyze the athletic apparel industry with a specific focus on Lululemon Athletica, Inc., further refered to as Lululemon. In this report you will find that the strengths and weaknesses of Lululemon’s current strategies and future goals areRead MoreLululemon Athletica Inc. Case Analysis1506 Words   |  7 PagesThis paper commences by defining the problems that were faced by Lululemon Athletica Inc in 2013. After, the author explores the causes of the issues that the company was experiencing and the effects that they had on Lululemon Athletica Inc. The next step is to look at ways in which the issues could have been addressed both for the short-term and long-term. When all is said and done, the audience will fully appreciate why â€Å"Lululemon Athletica Inc should revert to its fundamentals – that is, to concentrateRead MoreLululemon Case Study Essay example780 Words   |  4 Pageslevels increase, and also, the intro duction of women-oriented gyms has also increased the customer base by encouraging more women to partake in fitness. Moreover, the technologies of designing and manufactured apparel have been constantly improved. Lululemon`s fastest wicking fabric is primarily used in running gear for women and men which the moisture wicking is inherent in the fabric so will last for the life of the garment. The analysis from porter`s five forces shows: Rivalry between establishedRead MoreLULULEMON Ethical BehaviourSocial Responsibility1467 Words   |  6 Pagesï » ¿ETHICAL BEHAVIOUR AND SOCIAL RESPONSIBILITY lululemon athletica There are many ways to measure the success of a business. A financial analysis of lululemon athletica, a Vancouver-based company, would show that it is valued at more than $220 million. Would looking at an improved level of health in its community be another way to measure the success of this company? lululemon athletica founder Chip Wilson would welcome your investigation of the improved health and well-being of people in the communitiesRead MoreLululemon Athletica Analytic Essay1633 Words   |  7 PagesCase Analysis #1 Problem Essay Lululemon Athletica Inc Samuel Ellison Presented for: Professor Kannangara Sunday, March 6th, 2016 BUSI4003 Introduction Lululemon Athletica Inc., founded in 1998 in Vancouver by Chip Wilson, is a company which designs and produces high-end yoga and technical athletic clothing. They have operated primarily in North America and Australia; their initial target customer was an educated woman who lives an active and healthy lifestyle. They opened their first