Classic Knitwear

Core Issues: -

1. Lower gross margin. Sustainability is questionable.

2. Absence of Branding

Strategies:-

a) Need to differentiate their product in the market to attract the customers.

b) Classic should make use of Guardian Brand Name in Best possible way.

c) They should explore new markets outside U.S. like in African and Asian Countries for the new product from Year 2009 onwards.

d) Rather than targeting particular segment, we should go for complete market approach.

e) Classic should take care of the future viability of its new launch. Co-branding should be preferred to total dependency on an external brand.

Solution

a) Positioned as the only apparel brand that promotes healthy dressing.

b) Differentiation

a. One year money back guarantee

b. EPA Rating

c. Odorless

d. Three times more durable than existing alternatives

c) Classic should also focus on female & Kids Apparel Segment also.

d) The branding should be done in a way that it reflects the contribution both brands. For example, "Guardian Classic

Calculation :

42 guys will definitely buy new product out of 185 persons (185*.38*.60)

i.e 22702702 Tshirts will be target for 100 million people.

Core Issues: -

1. Lower gross margin. Sustainability is questionable.

2. Absence of Branding

Strategies:-

a) Need to differentiate their product in the market to attract the customers.

b) Classic should make use of Guardian Brand Name in Best possible way.

c) They should explore new markets outside U.S. like in African and Asian Countries for the new product from Year 2009 onwards.

d) Rather than targeting particular segment, we should go for complete market approach.

e) Classic should take care of the future viability of its new launch. Co-branding should be preferred to total dependency on an external brand.

Solution