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By: Joseph

GAP Inc Strategic Management

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Strategic Management

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Page 1: GAP Inc Strategic Management

By: Joseph

Page 2: GAP Inc Strategic Management

MISSION STATEMENT

Page 3: GAP Inc Strategic Management

VISION STATEMENT • “We seek to make lasting,

positive impressions on the people and communities where we operated. Because we believe that doing what’s right is good for business. That means delivering value to our shareholders while working to lessen our impact on the planet, advance the rights of garment workers and ensure that our company culture is one our employees can be proud of”

Page 4: GAP Inc Strategic Management

OPPORTUNITY• Gap Inc. opened its first stores in Serbia and Ukraine in 2011, broadening clothing chain’s reach into

Eastern Europe

• Gap introduced Forth & Towne in Chicago and New York. The store cater to baby-boomer women, offering stylist, age-appropriate clothing that is especially appealing to their femininity and individually

• Most trends affecting the $14 trillion apparel retail industry are driven by demand from the various demographic groups and their consumer preferences.

• The teen market age 15 to 19, which represent about 7.1% of the market, is also a powerful purchasing group for Gap and its closest competitors

• Green product appear to be maintaining their position, with the apparel and retailing industry experiencing and increase in the number of green products

• Acquisitions is the only path to sales growth from the purchaser’s point of view

• Many customers are obsessed with promotional pricing

• Other new technologies in the planning stage including improvements for custom production, mass customisation, and internet-based communication networks linking manufacturers to suppliers, allowing retailers to better tailor their products to the needs of the shopper

Page 5: GAP Inc Strategic Management

OPPORTUNITY

• Visa Inc. a global leader in payments, is working with Gap to deliver real-time discount and promotions to consumer via SMS text message

• Facebook, which has created a platform for retailer, offer deal to customers who are in the vicinity of store locations.

Page 6: GAP Inc Strategic Management

THREATS• The United States still is suffering grow relatively high unemployment rates and very low home prices

• Rising oil prices can naturally impact transportation cost, but additionally, increase in natural gas price can affect the cost of producing pulp, which is used in the manufacturing of plastics used for packaging

• As of March 2011, the united states has a consumer goods trade deficit approximately $62.1 billion. an Export growth rate of 5% and an import growth of 5%, compared to countries such as China and Vietnam that have export growth rates in excess of 20% and strong trade surpluses.

• Trade restriction, including increased tariff or quotas, embargoes, safeguards and custom restriction against apparel item, as well as U.S or foreign labor strikes, work stoppages or boycotts, could increase the cost or reduce the supply of apparel available to the United States and adversely affect business, financial condition, and operations.

• Abercrimbie & Fitch Co. is major rival to Gap

• In Additioin, the companys stores offer films, photos, postcards, desktop

• TJX Company world’s number one off-price family clothing sore with operations in the United States and internationally

• Nordstrom, inc. corporate culture is anchored by the motto “Service with smile”. With its easy-return policy and touches such as thank-you notes from employee, Nordstrom has earned a reputation for top-notch customer