Gap, Inc. Retailing Analysis Essay Example | Topics and Well Written Essays - 1000 words

Gap, Inc. Retailing Analysis - Essay Example Gap’s trouble in 2001 At the time of Millard Drexter, there were 200 underperforming stores of Gap Incorporated that continuously operate. This specifically decreases the level of profit generation considering that the entire operation of the company continues in a regular manner while generation of revenue came into a downward spiral. Unfortunately, financially speaking Gap Incorporated could not eventually continue to operate in this condition. This is an issue of lack of management perspective and outlook. The company lacks appropriate evaluation system in order to identify its weakest and strongest areas. Unfortunately, this continues to operate and in 2001, the financial performance of Gap Incorporated received substantially small net margin for income. Compared this with the performance of other retailing companies, Gap is far behind and the whole opportunity is lost for the good of its competitors. There is another important view that Gap Incorporated under the manageme nt of Drexter was overlooked. There was lack of market research that could determine customers’ preferences and needs. This eventually is the reason why Gap Incorporated misjudged fashion trends in 2000. It tried to create trendy apparel for young adults but it was not creating greater impact in the market. Customers were ending up choosing other fashion options due to some important reasons including their own style. For instance, it is important to know that American consumers spend less on clothing due to the fact that fashion does nowadays does not only include clothes but other accessories and technological gadgets. For instance, iPods and iPhones are considered part of the fashion trends among American consumers. Normally, niche markets for growth opportunities are the most significant view in apparel retailing industry. However, the market is continuously expanding and there are added segments that need to be clearly understood further. In the United States, size fitti ngs among Americans change over 60 years. In line with this, more data are necessary to be gathered in order to find out the best fittings for Americans. Apparel industry is also competing with vacation, housing and automobile industries. These industries at some point minimize the level of revenue intended for Apparel industry. Thus, with the consumer and market research, Gap Incorporated for instance will be able to identify the right move in order to stimulate needs for its product offerings at the right timing. There is also another important marketing trend that needs to be understood by Gap Incorporated. This is in line with the declining significance of department stores in the US apparel industry. This is how important marketing research is. It tries to help retailers understand consumer behavior and the entire market in general. Understanding consumer behavior means knowing exactly what they prefer over the other offerings available for them. Gap’s spectacular turnar ound in 2003 Gap was able to remarkably have itself applauded for its honesty with respect to improving the working conditions for the manufacturer of its garments in factories. This created a certain level of trust that promotes more than just a promising output. This remarkably opened up the possibility of increasing customer relationship and to ensure trust and loyalty in the end. Not only that, Paul S.

Introduction to Banking Essay Example | Topics and Well Written Essays - 2750 words

Introduction to Banking - Essay Example Despite the fact that the borrower was pursuing a professional course which needed the inputs of expensive photographic equipments; the borrower had never ever approached the bank even for a student loan. (ii) A prime factor responsible for the borrower not approaching the bank for even a student loan is the financial resourcefulness and entrepreneurship skills exhibited by the borrower as a freelance photographer even while she was a student. She was able to sell her work as a freelancer. This implies that she had developed substantial trade contacts over all these years which are now going to stand in good stead for the sale of photographs from her current project. Case facts go on to reveal that she is on the threshold of some category of fame in photography circles. Her entrepreneurial abilities provide further comfort to the banker. (iii) Case facts reveal that her parents are generous and thereby affluent () and have supported their daughter liberally in the past. They have been cited as one of the reasons that she was not required to obtain loan during her student days. For the purpose of the present project it may be good idea to accept collateral securities from such parents. They can also be utilized as guarantors for the present loan. Her background check thus reveals no factor which would be an inhibiting factor in extending her the loan. However following specific questions may be asked to her during her loan interview to complete the appraisal process: (a) She may be asked to furnish a firm and complete itinerary of her project in Africa. She may be asked to indicate clearly the number of days she intends to stay in Africa, the number of locations she would visit, her boarding and lodging arrangements at each such location, her local conveyance and other expenditures. Case facts reveal that borrower has sought the loan for air tickets and photographic equipment; it is apparent that most of the above expenditure she wishes to put in through her own sources as margin. It is important to estimate this margin available with her as otherwise rest of the project and bank lent funds would be of no specific use. Thus bank must estimate all such expenditures and probe her sources and their availability at the project start date. These sources could include her own savings, her parents support, support from any other photograpy association, magazine or institution or even any grant or fellowship. (b) The next pertinent set of questions would be on specific items she is seeking loan for viz.air tickets and photographic equipment and accessories. Borrower may be asked to furnish the names of the specific airlines she would be traveling on to Africa along with her assistant. In case enquiries reveal that the airlines she proposes to use is expensive or that other airlines are offering more economical round tickets then the borrower would be asked the reason for preferring the chosen airlines. She may also be advised to avail of the cheaper airlines. Coming to her other need viz of photographic equipment and accessories queries may be framed on the specific equipment she proposes to buy for her project and why she thinks that such equipment is more suitable both in terms of price and performance, from amongst other same genre equipment. The banker may like the borrower to show the process of narrowing down