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H&m - a Swedish Retail Company

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Autor:   •  September 11, 2018  •  Case Study  •  887 Words (4 Pages)  •  52 Views

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  1. H&M is a Swedish retail company who main selling point is selling fashionable items at a cheaper price. H&M runs about 1800 shops today in more than 34 countries . - The H&M group is a global fashion and design company related to Al Shaya Group, with the brands H&M and H&M Home, COS, & Other Stories, Monki, Weekday Cheap Monday and ARKET. Each with its own unique identity, all the brands are united by a passion for fashion, design and quality and the drive to dress customers in a sustainable way.

      The brand H&M offers fashion and quality at the best price in a             sustainable way for women, men, teenagers and children. The range includes everything from sparkling outfits and exclusive designer collaborations to everyday basics and high-performance wear to help fashion fans across the world dress their personal style.

  1. Main Competitors in Egypt are:
  • Zara
  • Mango
  • Forever 21
  • GAP
  • Marks and Spenser

  1.   The macro environmental factors affecting the marketing decisions of H&M are:
  • Political & Legal Factors: These include areas such as taxation policy, business legislations, etc. H&M is subordinated to various laws and policies because it is a public limited company. The company is also affected by International and Business law.
  • Economic Factors: these include factors that help in determining purchasing power, economic growth, income distribution and industrial structure as well. The company is also influenced by the price and supply of imported goods.
  • Socio cultural factors: H&M connects to high quality of fashion with affordable prices so that it is affordable to everybody. It should update itself and adapt with the social trends as well.
  • Technological factors: new products are being developed constantly in accordance with latest technical support to expand permanently and reach the target.
  • Environmental factors: H&M have started awareness among its employers and suppliers not to use any product and sustain ecological and social matters as well.
  • The micro environmental factors are explained by the SWOT analysis.
  • Strength : H&M is one of the largest global fashion retailer. All the stores offer quality and trendy clothing at the same time. There are guest designers as well.
  • Weakness: The changing macro economic condition is one of the weaknesses that the company is facing. Also buying large volume may lead to overstocking.
  • Opportunity: H&M is focusing on being widely spread in many reigons in Egypt.
  • Threat: Competitors like Zara, Forever 21 are posing threat to the company as a result the company may lose its target sample of population.

2- What is the target Segment(s) that the brand focus on?

H&M focuses on many segments such as Geographic, Demographic, Psychographic and Behavioral

Conc. Geographic H&M has many stores in many wide different places which made it easily targeted by many of the consumers

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