Evaluation of Strategic Marketing Models in Fashion Industry Essay

Introductionmodal value essentially involves change, defined as a succession of short term trends or fad and the very temper of forge, where change is intrinsic, gives different emphasis to marketing activities (Eeasey, 1994). Further more, abut research, according to Pettigrew (1992), in strategical focal point is paradigmatically diverse and empirically complex. Therefore, summary of transit toughie of dodging specific attention should be paid in agency industry. Since it is significant without any doubt for a modality fellowship to make the proper amaze to complement marketing dodge, evaluation of scheme mathematical process mannequin could be essential. This essay attempts to evaluate Johnson & Scholes tralatitiousistic baffle and agglomerate & Jones representative in fashion industry by analysing and comparing these 2 nonpluss via a few cases of fashion companies. By virtue of making a case study of a listed company, Metersbonwe Group, analyzing its strat egy it could have an evaluation of Johnson & Scholes traditional model plot of land the Bravo of Burberry would illustrate advantages of Hill & Jones model contempt of certain limitations. military rank of strategic Marketing Models in Fashion manufactureOverview of ModelsExploring Corporate Strategy model(Johnson and Scholes, 1999) The exhibit above indicates the three main processes in a linear sequence understanding the strategic state of affairs strategic choice turning strategy into action (Johnson and Scholes, 1999). Johnson and Scholes (1999) pointed that distributively process is supposed to be regarded as closely associated, and none has priority everyplace an otherwise process realistically for these three processes argon interrelated and mergedin circles. In Exploring Corporate Strategy model, according to the Johnson and Scholes (1999), strategic flummox means that strategic analysis and understanding of the impact on strategy of the external environment, an org anisations capability (resources andcompetences) and the expectations and influence of s payoffholders, which lays the foundation of the future strategies. In the strategy creation and choice part, there are some(prenominal) strategic options available for manager making a reasonable finish to choose congruous methods. Next, the strategy executing involves the ensuring that chosen strategies are truly put into action. strategical Planning process model(Hill and Jones, 2004)Evaluation of Strategic Marketing Models in Fashion IndustryThe figure shows that there are five major processes of the Hill and Jones model selecting the corporate electric charge and goals analyzing the brass sections external matched environment to identify opportunities and threats analyzing the organizations inhering operating environment to identify the organizations strengths and weaknesses Selecting strategies that flesh on the organizations strengths and correct its weaknesses in order to take advantage of external opportunities and counter external threats, which should be consistent with the mission and major goals of the organization implementing the strategies (Hill and Jones, 2004).Analysis of Comparison and EvaluationFrom the description of the processes of dickens models, it could be found that there is a difference in process between Johnson and Scholes model and Hill and Jones model. In this part, evaluation would be cogitate by case analysis. In Johnson and Scholes model, they prefer to analyses the impact on strategy of the external environment, external elements (resources and competences) and the expectations and influence of stakeholders beforechoosing a congruent strategy between several options. Take Metersbonwe Group as an example, the company, which was created by death chair and Founder, Zhou Chenjian in Wenzhou, Zhejiang, in 1995, is a listed company specialized in casual wear apparel projecting, manufacturing and retailing,playing its business of fice as a leading casualwear apparel company (Shiwei and Hengjing, 2011). It had achieved great success in sometime(prenominal) several years. To extend their business, Metersbonwe had a red-hot strategy to imitate the fashion model, which was initiated by Zara.In the market process, the company make an analysis of it internal and external environment. However, they had an imprecise market prediction of fashion trend, which made the companys sales not as expected hence change magnitude companys inventory in the dynamic market. According to china Scope Financial (2011), as of September 30, 2011, Metersbonwes inventory regard as was CNY 2.98 billion, 83% of its net asset and although Metersbonwes cash flow in the third draw and quarter of 2011 became positive for the first time since the third quarter of 2010, the growth of its income and profit has slowed down. One of the main characters of Zaras fast fashion model is that in the rapid supply chain maintaining low inventories of this model is the basis for profit (Maolijief, 2012).On contrary, the Metersbonwe had committed a fatal misconduct in their process of strategy choice, declining inventory rate and slowing operating theatre time many times. In fashion industry, high inventory each retention day means devaluation (Maolijief, 2012). In addition, on account of the management of the Metersbonwe, the positioning issues were all important for Metersbonwe when it is confronted with the high inventory crisis and decline of their cross image. The external environment offered the threat and ever-growing competition from other strike out such as Semir. Its strong Apparel brand and existing consumer group were find advantages fordefending its position. In the dynamic market, especially in the fashion market, which is undergoing a myriad of changes in the twinkling of an eye,if the company made an inappropriate strategic option and could not change to cope with the unpredictable situation in their proce ss of strategy, they would turn from a success into a failure while process of strategy planning is essential. In contrast, in Hill and Jones model, analysis of organizations external competitive environment and the organizations internal operating environment are followed by a absolve mission.The UK fashion brand Burberry will suffice to illustrate this point. Burberry started a saucily strategy after appointing Rosie Marie Bravo in 1997 as chief executive, which has made Burberry from boom. In the new strategy, Rosie Marie Bravo (CEO) set a mission to move the Burberrys brand by selecting the corporate mission and goals, which could be regarded as the first step of Hill and Jones model. Burberrys goals were to rebuilt Burberry brand image, to keep the traditional consumer base as well as attract a new, more fashion forward client base by regaining cook oer distribution and taking back the power over shape and product development. In the process of analyzing the companys exter nal competitive environment, Burberry made a decision of opening a flagship store on New Bond Street in London, competing with stores such as Gucci, Versace, Prada and Chanel by placing itself on the level of these luxury fashion brands.Besides, Burberrys fashion shows in Milan, as other luxury fashion brands usually do, was a congruent approach to draw the fashion medias attention and to enjoy mediacoverage, thus empower itself highly competitive in international fashion market. The side by side(p) process after selecting the mission was analyzing the internal situation such as their narrow range of mountains of customers and lacking of autocratic design and product distribution, hence Burberry made a strategy to establish six new brand levels under his direction and incorporated several alternative fashion directions previously ignored thus leading Burberry to attract majority of the potential consumers. With these new brands extending their range varying from traditional mens wear to womenswear, childrens apparel, and accessories, Burberry could cope with their weaknesses of narrow scope of customers to achieve their mission.Inaddition, Burberry made a plan to renegotiate with these remote companies that the licenses previously endorsed. In this way, Burberry enabled itself to overcome companys internal design and distribution disadvantages. In the fourth steps, Burberry took a new strategy in three aspects, according to the companys mission and analysis of both(prenominal) internal and external situation to turnaround Burberry plenty of approaches to marketing and rebranding controlling product design and manufacture changing distribution policy. After the implementation of the new strategy, Burberry achieved considerable improvement in its financial performance, showing a profit increase of 630 per cent between the years of 2000 and 2003 and constructing itself as a fashion luxury brand. The Burberry case demonstrates the characters and significance of every process in Hill and Jones model.Although, Hill and Jones model has its limitations as well as merits, vindicatory as Katja Kanngiesser (2004) pointed out that traditional strategy process paid more attention on analysis, reason and period of stability and presume that establish on their analysis they could make reliable future prediction. Hill and Jones (2004) admitted that expensive strategies often emerge from deep within the organization without previous planning. Furthermore, other researchers hold the opinion that the real world is unpredictable and they doubt the role that lower-level managers could play in the management process (Gavetti, Levinthal, and Rivkin)ConclusionThis essay presents ii generalizable model of firm strategy in the fashion market and illustrates model with two cases. From the analysis of two kinds of strategy process model in company cases, it could be concluded that Hill and Jones model has an advantage over Johnson and Scholes model by virt ue of analysing of Metersbonwe and Burberry while Johnson and Scholes model and Hill and Jones model have many similarities in the process of strategy model. Both Johnson and Scholes model and Hill and Jones model have its limitations as well as merits.BibliographyAndrew, M. Pettigrew. (1992), The casing and Significance of Strategy Process Research. 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Diploma Thesis, European Business SchoolEvaluation of Strategic Marketing Models in Fashion IndustryShiwei X, Hengjing L. (2011), Constructing core competencies of practical(prenominal) enterprise with information technology a case study of Metersbonwe Fashion & Accessories Co., Ltd. Business Management and Electronic Information (BMEI), 2011 International Conference on 13-15 May 2011, Vol. 1 pp.456459.China Scope Financial, (2011). Metersbonwe Faces High Inventory Pressure. online ready(prenominal) at http//www.chinascopefinancial.com/news/post/1736.html Accessed 27 December 2011.Maolijief, (2012). Metersbonwe brand dress high inventory problem analysis. online Availab le at http//mens-clothes-online.tm96.net/20120724/metersbonwe-brand-clothin g-high-inventory-problem-analysis-2.html Accessed 24 July 2011.