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Uniqlo Should Uniqlo Enter the Canadian Market? !!Sunny Yuen - Ryerson University (Email: [email protected]) (Tel: 647.888.8818)!
Professor: Dr. Ken Wong!Course: RMG200!Submission Date: April 6, 2014
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Executive Summary!Uniqlo is Japan’s largest apparel retailer utilizing a SPA business model; also known as a
specialty store/private label business model. Essentially this means that the retailer takes an active role
in the designing and manufacturing of its apparel, and is the sole retailer of its line of clothing —
backwards integration. Their success stems from a strategy whereby they purchase large volumes of
the same item of clothing to maintain a low cost. Thereby allowing the retailer to pass these cost
savings onto the consumers. Uniqlo is a subsidiary of Fast Retailing Co., and contributes 80% to the
organization’s overall sales. The company is headquartered in Akasaka, Minato, Tokyo.
The retailer has been a publicly traded corporation on the Tokyo Stock Exchange since 2005.
Their short-term goal consists of becoming the number one apparel retailer within the United State;
with ambitious long-term goals of becoming the number one apparel retailer in the world. The main
objective of this report is to determine whether Uniqlo should or should not enter the Canadian market
and if so, which regions or trading area will prove to be the most successful. Research was conducted
to study the Canadian market as whole, with specific focus on three particular regions as the report
progresses. Lastly, the report ends off by presenting a timeline that will outline all major events that
must occur if Uniqlo does indeed decided to enter the Canadian marketplace.
!* Disclaimer:
The information within the report is tentative and subject to change. The information is accurate to the best of the writer’s knowledge. Ryerson University is not liable for any of the recommendations purposed throughout this report.
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Table of Contents!Introduction 1
Problem/ Opportunity 1 Purpose of Report 1 Background of Problem/ Opportunity 1 Source of Information 2 Scope of Report 2 !Background 3
History of Firm 3 Line of Business 3 Owner/ General History 3 Staffing/ Company Culture 4 Manufacturing 6 Mergers and Acquisition 6 The Firm Today 7 Financials 7 Number of Stores/ Market Share 8 The Business and Market Evaluation 8 Industry Overview 8 Primary/ Secondary Target Market 11 Demographics 12 Competition 13 Short-term and Long-term Objectives 14 The Proposed Markets 14 Market Evaluation 15 !Conclusion and Recommendation 16
Action Plan 18
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Introduction!Problem/ Opportunity:
After years of successful operation in the Japanese apparel retail market, Uniqlo has been
thinking big on a global scale! With expansions across Asia, Europe, and North American (United
States of America), Uniqlo must make another strategic business decision. They must ask whether it is
an appropriate time for Uniqlo to enter the Canadian apparel retail industry. If yes, then which regions
will offer the most success? If no, then when will the right time be - if ever?
Purpose of report:
The foremost objective of this report is to inform the management team overseeing the Uniqlo
subsidiary on why it would be opportune for the retailer to enter the Canadian market. The content in
this report goes into great depth examining multiple factors, which will justify the recommendation. A
secondary objective is to provide insight into the Canadian market, thereby equipping the management
team with the necessary fundamental framework to make an informed business decision.
Background of problem/ opportunity:
Canada is an affluent country with a population of approximately 35 million people and a
nationwide median household income of $76,000. Many apparel retailers have found the Canadian
market appealing and have invested quite heavily — fuelling our economy to new heights of growth.
With two other department stores entering the Canadian marketplace, Nordstorm and Saks, Uniqlo will
have to be very strategic in order to hit the ground running. As highlighted later on in this report,
Canadians typically spend on average 4.1% of their income on clothes. Bearing this statistic in mind,
Uniqlo will be competing against casual wear powerhouses such as Zara, H&M, and the Gap for
consumer dollars.
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Source of information:
The information found throughout this report is solely comprised of secondary research.
Secondary research consists of material extracted from articles and reports published online. There was
no primary research conducted for the purpose of this report.
Scope of report:
The report will only go as far as proposing major cities in Canada that will make a good
candidate for Uniqlo. There will be no coverage regarding any particular neighbourhoods for
consideration. The report will implicitly make the suggestion that Uniqlo should enter the Canadian
market making use of a direct investment plan, solely funded by Fast Retailing. This implicit
suggestion is made through the recommendation that Uniqlo enter the market by setting up flagship
stores - instead of partnering up with existing department stores. Lastly, the report will end off with a
timeline outlining all major events leading up the store launch.
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Background!History of the firm:
Line of Business and Diversification ! While many casual apparel retailers compete for consumer dollars by delivering the latest
fashion trends to the masses; Uniqlo takes on a different approach by doing the opposite and typically
only offering clothes with simple designs. Uniqlo differentiates themselves from the rest of the herd by
producing high quality clothes innovated through advanced technology. This means that a pair of
Uniqlo jeans will be able to resistant normal wear and tear better, which other brands of jeans may not
be capable of doing. (Laird, 2013) Uniqlo's tagline “MADE FOR ALL” in many ways explains their
merchandising and assortment strategy. Uniqlo's inexpensive clothes are made for men, women, and
children with designs that are thought to be so basic that they never really go out of style. With a
relatively narrow assortment of approximately 1000 SKU's, Uniqlo has gained their success through
selling basics such as plain t-shirts, Oxford shirts, leggings, and jeans for a fair price. Uniqlo keeps
their clothing on shelves for a longer period of time than rivals, which permits the retailer to order in
larger bulks and ultimately strike a better deal with their suppliers. Uniqlo creatively compensates for
their assortment narrowness by offering such items as their plain t-shirts in a variety of 50 different
colours. (Uniquely Positioned, 2010) Regarding product diversification, Uniqlo, have discovered the
appear in the sportswear market. Uniqlo has developed a presence in this market so through
sponsorship deals with top athletes including tennis player, Novak Djokovic and golfer, Adam Scott.
Owner and General History ! Uniqlo is a wholly owned subsidiary of Fast Retailing, a company first established and
currently still run by Tadashi Yanai. Uniqlo opened its first shop in 1984 in Hiroshima, Japan. In 1994,
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after ten years of business, there were 100 stores operating throughout Japan – shops were
typically located in the suburbs and roadsides all through the country. A reasonable explanation for
their rapid success can be attributed to the nation-wide recession that Japan experienced throughout the
entire 1990's. People were looking for ways to cut back on their expenses and Uniqlo's inexpensive
prices were just the answer. Within less than a decade, Uniqlo had steadily expanded on an
international scale, with 21 stores set up around the United Kingdom. Unfortunately only after four
years, there were only eight remaining in business. (Durisin, 2013) A factor that played a significant
role in the failed operations of those stores was a poor retail location strategy. Uniqlo usually occupied
retail space within Malls. These types of retail locations did not allow for the exposure that was
required in order to support business growth. Essentially the retailer was growing at a rate that
outpaced brand awareness – leading to a lack of consumer demand for the Uniqlo's products. (Laird,
2013)
Staffing and Company Culture ! As of 2008, it was reported that Uniqlo had 30,000 employees working for the retailer
worldwide. Adjusting for the recent unemployment rates throughout all of the countries Uniqlo
currently operates in, it can be estimated that there are approximately 32,000-35,000 employees
worldwide. Based off of these numbers, a primary focus will be placed on the United States when
examining Uniqlo's company culture. One of the most accurate ways to assess Uniqlo's work
environment is to see what past and present staff members of the retailer had to say about their first-
hand experiences. The reason why the American workforce is being studied in particular is because of
similarities that the American culture shares with Canadian culture. Here is what employees had to say,
relating to several facets of Uniqlo's company culture:
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1. For work life balance, past and present employees gave it a score of 60% for
overall satisfaction
2. When it came down to compensation and benefits, past and present employees
gave it a score of 60%
3. Past and present employees scored job security 60%
4. Past and present employees were moderately satisfied with management,
giving that aspect a 60% score
5. Lastly, employees' total satisfaction with overall company culture landed
Uniqlo a score of 65%
To summarize, given the brand image and recent success of Uniqlo; it does come as a bit of a
surprise to discovery that individuals who have worked for the retailer were only moderately satisfied
with their experiences. To highlight some of the general comments, there are a mixture of both good
and bad reviews. In particular, some found that the work environment was too demanding and intense.
Some saw room for improvements regarding work life balance. On the other end of the spectrum, some
viewed the retailer as a high-energy environment with great career growth opportunities. These reviews
were extracted from Indeed.com, a website designed for a community of individuals to share and learn
about a company of interest. After analyzing other websites, the reviews and results were quite similar
to the ones from Indeed.com.
Figure 1.
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Work Life Balance
40%60%
Satisfied Unsatisfied
Overall Company Culture
35%
65%
SatisfiedUnsatisfied
Management
40%60%
SatisfiedUnsatisfied
Compensation/ Benefits
40%60%
SatisfiedUnsatisfied
Job Security
40%60%
SatisfiedUnsatisfied
Manufacturing !Taking into consideration that Uniqlo is part of a Japanese-based company; and given the
country's contentious history between China, it is peculiar that Uniqlo decided to have approximately
70% of their clothes manufactured in China with the remaining 30% of their production distributed
among other Asian countries. (Uniqlo Analysis, 2013) On the other hand, from a business perspective,
it makes quite a bit of sense, given the relatively inexpensive cost of labour in China. The fact that a
large percentage of Uniqlo's manufacturing business is operated in China has raised some
complications recently. Back in late 2012, due to China's Anti-Japan protest, Uniqlo was forced to
close several of their shops. (Dolan, 2012) Any type of situation with that level of severity may have a
significantly negative implication on their manufacturing business if Uniqlo does not formulate a plan
to cultivate a sustainable mutually beneficial relationship with China.
Mergers and Acquisitions !Fast Retailing is a huge success story within the apparel retail industry. Following their historical
timeline, one can infer that the company has had the fortune of reaching an inconceivable level of
prosperity not only to from the contribution of Uniqlo; but through the joint ventures, mergers, and
acquisitions of other brands as well. Some examples include, but are not limited to: the investment
back in 2004 in LINK THEORY JAPAN CO., LTD., the developer of Theory brand apparel. The
acquisition of Création Nelson S.A.S back in 2005, which subsequently led to the creation of Comptoir
des Cotonniers brand. In 2008, subsidiaries G.U. Co., Ltd., Viewcompany Co., Ltd. and Onezone Corp.
merge into GOV Retailing Co., Ltd. In 2009, Fast Retailing acquires LINK THEORY JAPAN CO.,
LTD. Mostly recently in 2012, Fast Retailing acquires U.S.- based contemporary fashion and premium
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denim company J Brand Holdings, LLC. (Annual Reports, 2013) It is not certain whether Fast
Retailing would be the powerhouse they are today if it was not for all their strategic business decisions.
The firm today:
The Financials ! Over the past 10 years, Fast Retailing has experienced significant growth in sales and operating
income. At fiscal year end 2013, Fast Retailing generated net sales of ¥1.14 trillion and operating
income of ¥132.9 billion. These figures represent an increase of 23.1% and 5.1% respectively.
Consequently, the increase in net sales and operating income have lead to a rise in net income of 26.1%
to ¥90.3 billion. Of these amounts, Uniqlo-Japan operations accounts for the largest percentage of net
sales with 59.8%, and international operations contributing 22%. These numbers mean good news for
investors. Over this period of time, Earning Per Share (EPS) was at a high of ¥887.12 - producing an
increase of 26.1%. Upon reviewing elements from both the income statement and balance sheet; one
can obtain an accurate look into the finance performance by examining asset turnover and net profit
margins in order to calculate the return on asset. In Fast Retailing’s case, the ROA has remained
relatively the same, hovering around 10%, over a five year period. Despite increases in net profit, the
company has also increased its total assets. This may indicate that the company is not being as
effective with its investments as they could be. Ideally companies prefer to invest as minimal amount
of money as possible in order to generate as much profit as possible. This is something that Fast
Retailing should improve on in order to better achieve some of their long-term expansion goals. After
examining Fast Retailing’s balance sheet, it appears that the company has a sufficient amount of
working capital - ¥386,143 million. This means great things for Uniqlo Recognizing that Uniqlo is a
major contributor to Fast Retailing’s overall business success, the parent
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company is in a strong financial position to invest more into Uniqlo’s expansion. In turn, making
Uniqlo an even strong industry player. (Annual Report, 2014)
Number of Stores and Market Share !! At present, Uniqlo has over 1,300 stores worldwide. The retailer has stores positioned
throughout Europe, the United States of America, and has a large business presence within Asia -
particularly China. (Uniqlo Business Model, 2014) Uniqlo is the fourth largest retailer, following
behind rivals the Gap, H&M, and Zara. (Durisin, 2013) Starting up a roadside shop in Japan back in
1984, Uniqlo has grown to become Asia's number one apparel retailer. !
The business and market environment:
Industry overview !In order to obtain the apparel retail industry overview, attention must focused on Michael
Porter's Five Force Analysis model.
Degree of Rivalry:
The retailer industry is fairly fragmented with large numbers of similar retailers within each
segment. There still remain considerable room for new players to into this industry though. The reason
why there is room is due to the fact that fashion is view a fast-pace industry, therefore never securing
one's retailer's position. Keeping all of this in mind, the overall intensity of rivalry within the apparel
retail industry is believed to be moderate. (Global Apparel Retail, 2013)
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Threat of New Entrants:
The barriers to entry are quite low for the apparel retail industry, with capital requirements low
enough to permit individual players to enter. There exist very few regulations that retailers much abide
by. With that being said, there are however self-imposed conventions that retailer should follow, which
consist of: fair labour laws, non-use of child-labour, etc. It can be extremely detrimental if a retailer
should decide to go against of these conventions. Lastly lower switching costs, and a lack of strong
product differentiation makes the market quite vulnerable to existing players. Overall, there is a strong
threat of new entrants to this industry. (Global Apparel Retail, 2013)
Threat of Substitutes:
While there are no substitutes for apparel itself, there are substitutes to the traditional “brick and
mortar” retailers. These substitutes can include but are not limited to: online stores, direct mail, etc.
These modern retailers who have decided to operate through non-conventional distribution channels
are able to compete more aggressively by offering lower prices. Another form of threat to mass-
produced apparel is the substitute of niche markets offering “home-made” and “custom” apparel. The
threat of counterfeit brands can act as a substitute to authentic brand names. Lastly, customers do have
the option of purchasing clothes second-hand. Overall threat of substitutes is assessed as moderate.
(Global Apparel Retail, 2013)
Buyer Power:
Within the apparel retail industry, there are a lot of buyers – individual buyers. Therefore,
individual buyers lack financial leverage, this weakens their power. On the other other, there are the
many brands offered, with little to no switching costs incurred by buyers. This ultimately creates more
choices and reduces brand loyalty from the buyer's perspective. Apparel is an essential commodity for
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consumers, but to the fact that retailers are at the end of the distribution channel, they are obliged
to deliver on the consumers wants. Consequently, buyer power is determined as moderate. (Global
Apparel Retail, 2013)
Supplier Power:
In the apparel retail industry, suppliers are manufacturers and wholesalers. These are usually
small to medium sized enterprises, therefore, allowing retailers source from the two. The pool of
suppliers is further expanded with the retailers' ability to purchase inventory from oversea
manufacturers and wholesalers – particularly China and India. This reduces overall supplier power
through increased competition against suppliers in lower-rage regions – especially because
manufacturers and wholesales often lack differentiation, they are forced to compete on the basis of
pricing. Retailers face a relatively low switching cost, but do risk switching to a supplier who will not
be able to keep up with sudden increases in consumer demand. Overall supplier power within the
apparel retailer is moderate. (Global Apparel Retail, 2013)
Conclusion:
After examining the apparel industry, which followed the structure of the Porter's Five Forces
model, it is assumed that the industry's overall appeal is moderate.
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Primary and Secondary Target Markets
!
Figure 2A & 2B After reviewing Uniqlo’s target markets, it is quite overt that the retailer is attempting to target
young adults, age 18 to 24, of all races and both genders first and foremost. Shifting the attention to
focus on the psycho-graphics pertaining to the primary target market, one can observe that Uniqlo’s
target customers recognize the brand as being top causal wear. They understand that clothes are
important to their appearances. They tend to learn about brands through friends and family. Products
that are of high quality and well-designed are factors that heavily influence these customers’
purchasing decisions. These customers are perceived as trendy and passionate about fashion. Lastly,
these individuals often lead healthy, challenging, and yet causal lifestyles. (Uniqlo Analysis, 2013)
Primary Target Market
Age 18 - 24 years of age
Occupation Undergraduate and above
Gender All
Geographic Location
Urban Area
Race All
Secondary Target Market
Age 25 - 35
Occupation White and Blue Collar
Gender All
Geographic Location
Urban Area
Race All
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Demographics
As of January 2014, it is estimated that Canada’s total population consists of approximately
35,344,962 people. (Statistics Canada, 2014) In 2013, the largest age group in Canada was between the
age of 50 to 54, which comprised 7.8% of Canada’s total population. Combining two age groups
ranging from 15 to 24, who are considered Uniqlo’s target markets, make up 13.2% of the Canada’s
population. Roughly, there is an equal split between the male and female population. (Statistics
Canada, 2013) A large portion of Canada’s population is still of British decent, but there is a lot of
change that is occurring, Canada is becoming one of the most diverse countries in the world. In 2013,
nearly 20% of the population was comprised of immigrants coming from G8 countries. A majority of
these foreign-based residence live in Ontario, British Columbia, Quebec, and Alberta. (Evans, 2013) At
present, the biggest visible minority group are the South Asians, followed by the Chinese. It is
expected that the South Asian population will continue to grow, while the opposite is true regarding the
Chinese - going from 24% in 2006 to 21% by 2031. It is predicted that the Chinese will be more likely
to emigrate from Canada within the next 15 years. (Statistic Canada, 2011) According to Statistics
Canada, the 2011 census reveals that the median household income is around $76,000. This amount
may seem like a lot, but when broken down to the individual level, the average annual income is
approximately $38,000. (Scotffield, 2013) This is quite surprising, considering that back in 2011,
11,782,700 or 64.1% of adults age 25 to 64 had a post-secondary education. (Statistics Canada, 2014)
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Competition:
Figure 3 As previously mentioned, Uniqlo is the fourth largest apparel retailer following the Gap, H&M,
and Zara. Based off of this position map, it is clear that although Uniqlo competes with these three
other retailers for consumer dollars, all four retailers are not necessarily in the same playing field. This
map compares all four retailers on two dimensions - product quality and merchandise assortment (0
representing low and 4 representing high) The Gap, H&M, and Zara appear to have fairly similar
business strategies - sell relatively lower quality products offered in a wide variety. Whereas, Uniqlo
on the other hand does things a little differently. Instead of carrying a large number of SKU’s in order
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Position Map
Prod
uct Q
ualit
y
0
1
2
3
4
Merchandise Assortment0 1 2 3 4
Uniqlo
H&M
ZaraThe Gap
to meet ever-changing fashion trends, Uniqlo has employed a strategy to offer a narrower
assortment of superior quality products developed through advanced technology.
The firm’s short and long-term goals:
Currently, Uniqlo is the number one apparel retailer within Japan, with total market of 5.5%.
(Uniqlo Business Strategy, 2013) With that being said Uniqlo has short-term goals of becoming the
number one apparel retailer in Asian and in the United States. At present, there are seven stores located
across the United States; but Mr. Yanai hopes to open another thousand stores in order to establish a
greater retail presence within the US market. (Dolan, 2012) As previously mentioned; Uniqlo is
currently number one within the Japanese apparel retail market, but has ambitious long-term marketing
objectives of becoming the number one apparel retailer on a global scale. By 2020, Mr. Yanai has
financial objectives of generating $50 billion in revenue, resulting profits of $10 billion. (Uniqlo: The
Heir Apparel, 2013)
The proposed markets:
If Uniqlo decides to enter the Canadian market, it is proposed that the retailer set up flagship
stores in Vancouver, Toronto, and Montreal. A primary reason why it would be in Uniqlo’s best interest
to operate in these cities is due to the large population in these provinces. In 2006, British Columbia,
Albert, Ontario, and Quebec were the most populous provinces - accounting for 86% of the entire
population. (Statistics Canada, 2008) It can only be assumed, that given the recent increase in
immigration, that these cites have grown in population size. As it will be further examined in the next
section, there are other reasons that justify the selection of these cities.
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Market evaluation criteria:
Figure 4 The chart above highlights the main criteria, which are used to evaluate the proposed cities that
Unique may decide to operate in. Figures that were used to calculate market sizing consisted of
average Canadian income multiplied by the percentage of income that Canadian spend annually on
clothes and finally taking that subtotal multiplied by the number of individuals within each age group
(primary and secondary age groups). For example, the market size for Vancouver is $26,100 X 4.1% =
$1070.10. Taking this amount, it is multiplied by the total of individuals within the 18-24 age range
(56,545), which equals $60,508,804.50. The same steps are repeated with the secondary target market,
with a finally number equaling $266,122,787. The same process is practice to calculate the market size
for Toronto and Montreal. (How Do People, 2013) (Statistic Canada, 2014)
The numbers for work force availability are arbitrary to a certain extent. Taking the number of
unemployed individuals within British Columbia, Ontario, and Quebec helps establish the base number
of available individuals who are part of the labour force. Afterwards, it is assumed that members who
are already employed may changes jobs/ occupations sometime in the near future. Therefore, working
Vancouver Toronto Montreal
Market Sizing $266,122,787 $1,015,673,499 $678,733,323
Target Market Availability
Primary Target: 56,545!
Secondary Target: 112,800
Primary Target: 245,605!
Secondary Target: 413,015
Primary Target: 157,495!
Secondary Target: 279,895
Work Force Availability
400 Individuals 1000 Individuals 500 Individuals
Corporate Tax Rates
26% 26.5% 26.9%
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with this assumption, the number of unemployed individuals can be adjusted upwards to take
into account the possible job/ occupation changes that may occur - giving the final number for work
force availability. (Statistics Canada, 2014)
In 2012, it was reported that Canadian corporate tax rates were one of the world’s lowest. These
results were concluded under PwC’s annual study, which compared a total of 185 countries. Along with
these lower corporate tax rates, it was stated that Canada is also one of the best countries to conduct
business due to our sound banks, investor protection, and relative lack of red tape. (Canadian Business
Tax, 2012) According to KPMG’s federal and provincial tax rate analysis, business tax rates in British
Columbia, Ontario, and Quebec are: 26%, 26.5%, and 26.9% respectively. (Federal, Provincial
Territorial Tax, 2014)
Conclusion and Recommendation!After examining multiple factors throughout this report, it is quite overt that Uniqlo should enter
the Canadian market, in order to fulfill the retailer’s marketing objective of becoming the number one
global apparel retailer. Specifically, Uniqlo should operate its first store in Toronto during the pilot
stage of this project to gauge how well Canadians respond to Uniqlo’s entry. If all goes accordingly,
then the next two cities that Uniqlo should set up stores are Vancouver and Montreal.
The reason why Toronto would make an excellent choice for the first store is due to the large
amount of people within the age range of 18-35 - the age group Uniqlo is targeting as their primary and
secondary market. As well, referring the previous chart, Toronto offers the largest market with a size of
approximately $1 billion. Lastly, Toronto has have the biggest pool of potential employees between the
three suggested cities. Overall, Toronto presents the most promising opportunities for Uniqlo to
capitalize on one of the most affluent countries in the world.
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Two key suggestions for Uniqlo relate to store format and training. In regards to store format,
Uniqlo should continue to employ their flagship format (average of 30,000 square) upon entering
Toronto’s fashion market. As the retailer has experienced in its past, occupying smaller store space
within malls were detrimental to Uniqlo’s success. This was primary due to the lack of brand
awareness that was being established through this retail location strategy. Therefore, investing into the
right space to build a flagship store will most certainly increase the retailer’s visibility to consumers.
The store should employ a combination of both a free-form and grid layout. The front of the store
would utilize the free-form by placing products in a creative way that will entice customers to stop by
for a visit. Another way of attractive customers is through the use of free standing fixtures/mannequins,
window, walls, lights, and music to establish a unique ambience. The rest of the store would follow a
grid layout, with the iconic wall of folded neon coloured t-shirts.
Next, Uniqlo should consider investing a sufficient amount of resources into an adequate
training program. As previously mentioned, a major problem amongst former and present staff
members is their moderate satisfaction with the company culture. A part of the problem may stem from
a lack of proper training on how to best deal with adverse situations; therefore creating a tense work
environment from their perspective. Hence, implementing a proper training program can promote a
level of fitness that will enable staff members to better cope with the high-tensity environment, while
providing exceptional customer service. In turn, enhancing the Uniqlo brand.
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Figure 5 !!!
!
Action! Responsible Date Purpose Possible Barriers
Site Selection Real estate/location Analyst June 2014
To select a fitting location for first flagship store in Toronto
- Difficulties in finding the right location!- May find location, but experience an favourable long-term lease
Press Release Marketing/ Public Relations September, 2014
Inform the public about the entrance of Uniqlo into the Canadian market, in particular, Toronto. Therefore sparking interest among stakeholders
- May not generate as much hype as intended
Construction Development Team January, 2015 To erect the first flagship store in Toronto
- May encounter delays for whatever reason; pushing the grand opening to a later date
Recruitment/ Training
Human Resources ! June, 2015
To have the first store adequately staffed with skilled employees!
- Labour market may be too competitive, therefore, unable to find enough qualified employees in time
Marketing Campaign !
Marketing Team June - November, 2015!
Build Brand awareness and cultivate consumer interest and demand
Campaign may go over budget, while not reaching intend objectives
Grand Opening !
Retail Operations November, 2015
Open the first store to the Canadian public right before Holiday Season to generate a great level of sales! !
Any type of bad publicity may result in a turnout that is less than anticipated
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