Ceecee Retail Fashion Case Study
Autor: Suxin Chiew • November 9, 2017 • Case Study • 682 Words (3 Pages) • 1,822 Views
Financial results and business plan
Ref. | Issues | Technical knowledge |
1. | Highly profitable business with an operating profit margin. | SWOT (Strength) |
2. | All sales revenue figures exclude any sales tax (such as VAT) and gross margin are stated after the purchase cost of the manufactured products only. | SWOT (Weakness) |
4. | -The latest full year forecast for 2009 is not as bad as was first feared. -The full year forecast for the ended 31 December 2009 generated an operating profit of 634 million. | SWOT (Strength) |
5. | Diane Innes is confident that the actual account will reflect the result shown in this latest full year forecast for 2009. | SWOT (Strength) |
8. | Fast fashion essentially replicates the principles of the manufacturing technique of “Just In Time” (JIT) | SWOT (Strengths) |
9. | a) Focusing on up to minute fashion styles for women at affordable price | Cost leadership |
b) priced “look alike” clothing ranges which were very similar to higher-end clothing fashion shops | Differentiation (Hybrid strategy) | |
10. | a) if Carla Celli wanted to scale up her business model to cover more cities | Ansoff Matrix- Market development |
b) Carla Celli would have to become much more business minded and try to think “outside the box” | Product development | |
c) Carla Celli decided to implement Paulo Badeo (logistic IT consultant) ideas for the fast fashion model for a greater number of retail shops | Innovation | |
11. |
| SWOT (Threat) |
| Cost leadership | |
c) Carla Celli had recruited a set of experienced professionals in the design, finance and logistics areas to help implement effective cost management | Value Chain Analysis (VCA)- Support Activities (HRM) | |
12. | Carla Celli had plans to expand into menswear, children’s clothing and some home furnishings | Conglomerate diversification |
13. | In 2000 CeeCee was listed on a major European stock exchange - enabled a faster rollout of shops across Europe - give access to less expensive debt finance | SWOT (Strength) |
14. | Due to the weak economic climate during 2009, CeeCee only opened 20 new shops | PESTEL (Economic) |
15. | a) CeeCee sells men’s clothing, children’s clothing and a range of home furnishings at selected medium and larger size shops. | SWOT: Strength 4P’s: distribution channel |
b) CeeCee is still considered to be mainly a ladies fashion clothes shop. | SWOT: Opportunity Brand image | |
16. | CeeCee achieved an overall gross margin of 60.1% during the year ended December 2008. - No delivery costs and direct sales staff costs were charged. | SWOT: Strength |
17. | a) Range of home furnishings that CeeCee currently sells includes textiles, such as bed, table and bathroom linen also tableware items. b) The home furnishing ranges are constantly being updated and new designs launched, which are popular among customers of young professionals | Product development SWOT: Strength PESTLE: Social 5 Forces: Buyers’ force can be moderate |
18. | a) Another product range that generates high gross margins is clothing accessories. - CeeCee shops stock limited ranges of accessories. - Large sized CeeCee shops display full range of accessories to encourage shoppers to buy. | Product development 7P’s: Promotion, place 5 Forces: Buyers’ strength SWOT: Strength, Opportunity |
19. | a) Prime locations for all of its shops, and in some city centres CeeCee has seized the opportunity to use historic buildings in key shopping areas. | 7P’s: Place SWOT analysis-strength |
b) Spacious shops which use sophisticated architectural details and designs to make shops appealing to customers to browse and to provide a comfortable environment in which to shop. | PESTEL: Social SWOT analysis-strength | |
d) Careful and visually appealing layout of clothing displays, so as to attract customers to choose coordinating clothes and accessories and to maximise sales revenue. | 7P’s: People, Place, Promotion VCA-Primary Activities (Marketing and Sales) SWOT analysis-strength | |
e) Excellent customer care. CeeCee carefully recruits and trains all of its employees to ensure that the customer is put first. This philosophy is behind all aspects of the work in all of CeeCee’s shops. The emphasis is put on providing an un-crowded pleasant shopping experience where the customer is not approached by shop staff unless asked, but shop staffs are constantly available if required. All shop managers encourage team work and the building of long term working relationships to improve the standard of customer care. | VCA-Support Activities (HRM) 7P’s: People SWOT analysis-strength |
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