targeting middle money group whose behavior can fluctuate by the current fashion trend and other external factors.
3.3.2. How Hermès Position
They execute their strategy to customers by providing what customers want but in a very limited ways. Hermès targets their highly privileged customers by showing them what Hermès is trying to achieve ultimately: the high quality of l
achieving its target return and make a forecast for how much demand would occur for the sales activities. This action can be fundamental basis for further operational decision. Secondly, it needs to make concrete shape to perform the plan. Setting a brand image can be included in this step. Entertainment can also be one of the factors developing the plan in this phase. Finally, the last considera
analysis, this industry is mainly characterized by high level of industry rivalry, and buyer power. This is because there are a lot of players competing in the market and customers whose switching cost is very low. (Exhibit 1) Therefore, achieving the responsiveness to market needs/trends and distributing the products in time are the keys to survive in competition.
The Drivers of Zara’s R
Analysis
The market was segmented according to consumer preference of the product. It was divided into three segments like shown in the diagram and Dongwon selected the unfavorable and indifferent group as their target for this advertisement target.
STP Analysis (continued)
The diagram below shows the positioning Dongwon wanted to achieve through this advertisement campaign. The
target the need of convenience that many busy business people seek for.
Based on market analysis, the product development team went through idea generation process using several different approaches. Through brainstorming, analytical attribute approach, problem-based approach, and GAP analysis, the team generated various ideas. Then, the team moved on to develop the product concept. The team c