Thursday, June 6, 2019
I-phone and I-teach Essay Example for Free
I-phone and I-teach EssayThe highly anticipated and much celebrated release of the revolutionaryest and perhaps hippest mobile phoneular phone on the market has spurred a number of tidingss on the applicability of these devices to different forums. With an increasingly large number of prepubescent teens and children carrying cellular phones everywhere they go, a number of educators demand begun to inquire as to its applicability as a precept aid while there ar some who argue that cellular phones have no place in todays educational institutions. There is reliablely no clear yes or no answer to this mercantile establishment and instead it is important to arrive at a certain compromise in order to resolve this issue. There are basic ally two instructs of public opinion behind this issue, the pros and the cons. The first argues that the changing times and evolving technology necessitate the use of these new devices in order to improve educational methods and take advantage of the ever decreasing attention span of students with regard to traditional tenet methods.The second school of thought, on the early(a) hand, argues that the older methods which have been tested and tried are always better and therefore these distractions (cellular phones) should be strictly kept expose of classrooms. In order to, however, come up with a reasonable discourse concerning this head it is first important to examine just how these devices have affected classroom activities. Cell phones connect friends and families. In a moment, across the country or oversees a parent can call his son to see whether he is doing alright.Businessmen can make their business deals and get everything done when away from falseice. Newer programs core take advantage of the cameras that most of todays cellular phone models have by allowing one to take a design of a summon and have that file converted into a document that can be edited as reported in the October 29, 2007 issue of Newswe ek entitled, How to Make the Cellular knell a Portable Scanner. (Ellison, 2007, p. 1)In the same way that businessmen take advantage of the ever increasing conveniences that cellular phones have provided, students at schools all over the country communicate frequently with each other through the use of cell phones and this is the case of concern for most of the countrys school administrators (Armbruster-Sandoval, 2005, p. 64) The first school of thought, as presented earlier, argues that instead of banning these cellular phones from classrooms, an alternative can be reached. There is no need to reject this technology patterned advance but rather there is a need to embrace it and take advantage of it.With the average classroom attention span in the United States dropping, much and to a greater extent educators have come to realize that there is a pressing concern to come up with new methods of teaching that is able to reach out to these children and one of these solutions is the cellular phone. In response to this, however, detractors have argued that this instant method of communication has its own drawbacks as strong. Cellular phones are said foster social relationships as opposed to direct communication which provides a certain level of personal interaction.The essential factor or edge of having the instructor or teacher personally present to ensure that the student is able to learn will certainly be diminished by using cellular phones as a mode of conveying lessons and learning modules. The second bone of contention with regard to cellular phone use in the classrooms has arisen out of the recent traumatic events that have rocked the American educational institutions. The Columbine tragedy and even perhaps 9-11 have made parents more concerned over the base hit of their children and have demanded that schools allow the children to fuck off these devices into the classroom.In response to this rising safety issue, more and more schools in the United St ates have begun lifting the ban on cellular phones in classrooms (Shaw, 2005, p. 1). When Mayor Bloomberg criminalise cellular phones from New York public schools, most of the uproar that resulted from the institution of that policy came, not from the school children as previously anticipated, but rather from concerned parents who argued that the neediness public payphones in the area made it more dangerous for their children (Williams, 2006, p.1). While certainly it whitethorn not have an effect on the lessons that these students learn in classroom, it does affect the prime(a) of education a child may receive since a concerned parent may relocate the child to safer place which may not provide as good a quality of education as the previous school. While there is certainly no doubt that the safety of children is of the highest priority, there is also a need to educate todays youth if they are to stand a chance of surviving in this world.another(prenominal) issue that has been prese nted is that cell phones lead to the deterioration of writing skills as the use of the text messaging feature of speech leads to what has been termed txt-lingo. For some, text messages, a popular phone feature has affected the English language That is (that the use of) abbreviated messages has also affected the use of vowels (Silin, 1999, p. 20). This issue has even been made worse by the fact that the new dictionaries or rather predictive text feature on cellular phones make it easier for students to just tap away at the keypad with the phone doing the comparable spelling changes.The loss of not only personal but grammatical communication skills is indeed an issue which must be tackled in response to the case on whether or not children should be allowed to bring cellular phones into the classroom. It is important to remember, however, that even though the above argument may present a scintilla of truth, learning is simply much more that just missing vowels and spelling. Educatio n has never been confined to the teaching of English but rather even to the discussion of the propriety of bringing cellular phones into the classrooms (Shaw, 2005, p. 1).As such, to even argue that cellular phones should not be brought into the classrooms because it leads to bad spelling skills would be totally disregard the other benefits that can be derived from the use of such a device. Benefits such as being able to send images of certain objects that may be used for a lively and scholarly discussion in class, encouraging discourses between students over certain topics and certainly the building of foundations for the educational improvement of todays youth, out-of-the-way(prenominal) outweigh the simple problem of lacking vowels which can be easily remedied (Shaw, 2005, p. 1).Perhaps the answer to this problem lies in the students themselves who use these devices as argued be certain concerned parents. There are some parents, who can claim that their children are very respons ible, and they know when to put on or put off the cell phone and therefore should be allowed to use cell phones even in schools (Fretcher, 2000, p. 69). According to Armbrustor-Sandoval, Teenagers have learned to heavily rely on cell phones thus transforming this into a serious issue. This is why the government is contemplating on banning cellular phones in not only classrooms but inside campuses as well.Banning cellular phones in most educational institutions is a good idea but some exceptions should be allowed since cellular phones can be used in report emergencies and the like (Armbrustor-Sandoval, 2005, p. 71). If parents cannot control their own children with regard to the use of cellular phones in education institutions, the question that begs to be asked therefore is whether or not the government is more qualified to make that decision and enforce is it for the students. There is no doubt from this brief discussion that there are indeed a number of pros and cons concerning t his issue.On one hand, allowing the use of cellular phones promotes the safety of students and minimizes the concern that parents naturally have over their children and at the same time, the use of cellular phones presents new opportunities to extend teaching to beyond the confines of the classroom. The cons of this issue can be basically be summarized in a single thought which is the concern over the deterioration of quality of education a child will receive in an environment which may no longer be perceived as conducive for teaching if the use of cellular phones is allowed.Cellular phones have improved dramatically over the last few years. With the rate of technological advancement today, it is not far off into the future when cellular phones will be able to do certain things that were but unimaginable in the present. The question, however, is whether or not all these advances will live to be benefits for just a certain group or if they can be used to improve every aspect of life (as most of the cellular phones are currently trying to do i. e. I-phone). The benefits and drawbacks are certainly very clear.The problem for the government and most educational policy makers is on how to balance these benefits and drawbacks so as to be able to take full advantage of the situation (Shaw, 2005, p. 1). As such, the only solution that remains is coming up with a well thought out cellular phone policy for the school in order for them to be able to continue to reflect the society which they serve.ReferencesArmbrustor-Sandoval, R (2005) Is other World possible? Is another classroom possible? Radical pedagogy. Activity and social change social justice, vol. 32 Foust, R. C. , Soukup, C. (2006) Do I Exist? original subject and secrets in the sixth sense Western Journal of communication, Vol. 70. Fretcher, H. G. (2000) Power up, Dont Power Down Barring students form cell phones, my space, and other communication technologies. Once they enter, the classroom is the wrong app roach. A better move would be integrating. Those tools into instructions The journal (Technological Horizons in Education), Vol. 33 Luke, A. D. (2005) Getting the big picture community science. Methods that capture context American journal of community psychology Vol. 35. Shaw, Katherine (2005) Students and Cell Phones Controversy in the Classroom from http//www.associatedcontent.com/article/4903/students_and_cell_phones_controversy.html
Wednesday, June 5, 2019
Strategies for Reform in Kenya: Development of Equality
Strategies for Reform in Kenya Development of EqualitySTUDENT CHRIS MUGO NDIRANGUREG.NO 1021356QuestionReform agenda in Kenya, committees, parties involved and forward practicesINTRODUCTIONReforms are about bringing positive change in any rustic or administration. Its about becoming better with the removal of false and error or by correcting malpractice, specially of a moral and social kind. Reforms are about enhancing value and qualities. In Kenya various reforms progress to been initiated particularly with the adoption of a new organic law in 2010. Various committees and parties have been involved in the reform agenda.The following then are well-nigh of the reforms initiated in Kenya.Measures to Curb CorruptionAccording to Transparency International degeneration index of 2013 Kenya ranked number 136 out of 177 in the world. This indicates the high level of corruption in the country. Indeed corruption is endemic to Kenya. It has contributed to wastage and misuse of national resources. Thus the new constitution has a number of provisions to allow for stronger checks and balances to curb corruption. for the most part the constitution ensures the supremacy of parliament where parliament scrutinizes the executive to ensure it does not abuse its mandate and also scrutinizing state finances. This ensures no wastage or loss of cash in hand occurs through corruption.Other than parliament the constitution provides for a commission that will work to curb corruption in governing. The establishment of this commission is key in Kenyas reform agenda. The Ethics and Anti-Corruption Commission (EACC) has since been established and given the following amours under the Ethics and Anti-Corruption Act, 2011. Some of the functions includeEnsure compliance with, and enforcement of, the provisions of the formation in relation to ethics, integrity and anti-corruptionDevelop and promote standards and best practices in ethics, integrity and anti-corruptionReceive complain ts on allegations of breach of the ethical principles or code of handle by a public officerInvestigate and prosecute any acts of corruptionRecommend appropriate action to be taken against public officers say to have engaged in unethical conductDevelop a comprehensive national strategy to combat corruption and economic crime assist ethics and ethical conduct among public officers, the private sector and the public in general.Decentralization of GovernmentThis arguably is the biggest reform initiated by the constitution. This is the ceding of force play and autonomy by national governments to the counties. The constitution devolves power closer to the mountain at the grassroots. This diffuses political power and avoids on group or ethnic community from dominating the country by winning national elections throughout. Thus preventing political violence as witnessed in the 2007/2008. The constitutions allows for the followingEstablishment of counties that replace the previous admini strative units of provinces and districts.Creation of 47 counties where each county has an executive committee led by a governor and a deputy governor elected for a upper limit of two termsCreation of county assemblies composed of elected members.Devolution of health services, infrastructure among other functions from the national government to the county government. The county governments are also empowered to get down levies and permit fees to support its development needs.The reform agenda of devolution or decentralization of the Government is intended to achieve the following political, social and economic goals byEnhancing the principles of democracyBringing power closer to the people and increase public participation in policy-makingEnable greater responsiveness to the needs and opportunities for people at the grassroots levelEstablish new hubs of economic growth away from the capital cityPromote equitable development across the countryIn ensuring smooth transition of nationa l government functions to county government a County changeal Authority has been formed under the Transition to Devolved Government Act, 2011. The main function of the authority shall be to facilitate a coordinated transition to county governments. Other functions includeFacilitate comprehensive and effective transfer as provided for under the constitutionOversee transfer of assets, liabilities and staff of national governments and local government activity to county governmentsCarry out an audit of the existing assets and infrastructure of the national government and local authorities with respect to devolved functionsDevelop and implement training programmes for county government staffResolve disputes over transition issues between the nation and land county governmentsWomen rights and marginalised groupsThis is one of the major issues in Kenyas reform agenda over the past decade. Women rights groups and marginalised groups have pushed for reforms that would allow for greater pa rticipation and recognition in the running of affairs in the country. This is especially in government political sphere.The major reforms regarding women are entrenched in the new constitution. According to (Mugambi, 2010) the purpose of these constitutional gains on the side of women are to retain their dignity and to promote social justice. The constitution ensures that women are able to pass on citizenship to their children regardless of whether they are married to Kenyans or not, eliminates sex activity discrimination in relation to land and property. The greatest provision in relation to women and of major significance is that the constitution provides that a one third requirement for either gender in elective bodies. This translates to women occupying at least 1/3 in elective institutions. This rule has a major shortcoming as citizens cannot be pressure to elect women in order to achieve the gender threshold. The constitution also provides for the election of women represe ntatives for each county who shall sit in parliament.Marginalised groups have also benefitted from the reforms being initiated in government. These marginalised groups include youth, marginalised communities and the disabled. The constitution provides that for the nomination of members of this group into parliament and county assemblies. The youth have also benefitted from the creation of funds that will enable them to set up businesses and attain income. An vitrine of this is the creation of the Uwezo fund. The government has also formulated a policy of awarding contracts and tenders to youth groups and women. The policy states that 30% of the contracts and tenders shall be awarded to women and the youth. mathematical process ContractingThe Kenyan government has been characterized with long bureaucratic procedures, inefficiency, lack of obligation which translates to high levels of corruption and wastage of resources. This results into poor economic performance. The government h as however been adopting measures to change the common bad practices. This government hopes will change the perception and attitude towards government in service delivery. The government has thus initiated reforms in the public sector to gain public combine both locally and internationally. Key to this reforms is performance contracting. mathematical process contracting is a mechanism under the public sector reforms that aims at improving performance of the domain sector through setting clear objectives. It involves setting simple, measurable, accurate, realistic and cartridge clip-bound targets. Specifying agent performance in terms of results and assigning accountability for those results, increasing transparency and accountability in public institutions, establishing clear reporting, observe and evaluation mechanisms of the projects.Performance contracting is done on a quarterly basis. At the end of every quarter, government institutions submit their quarterly reports and fi nally annual report to relevant agency. Feedbacks then are sent to the government institutions for improvements.The first procedure in performance contracting process is target formulation. The government institution sets targets based on the following indicators financial, service delivery, non-financial, operational and dynamics. A work-plan/ implementation schedule based on its departmental plans is formulated. The plan indicates with activities hoped to be accomplished in the contract year. The second procedure is Negotiations. The targets set are negotiated on the basis of available resources, time frame and relevance to existing policy documents. The third is vetting. The targets in this stage are looked at again. The fourth stage is signing. The contract is signed by the relevant heads of the institution and the monitoring agency. This shows commitment by both parties towards the attainment of the set targets. The fifth stage is implementation. The government institutions im plement their agreed contracts and work towards achieving the set targets within the specified time frame. The sixth and final stage is reporting. The reporting is done on a quarterly basis which culminates in an annual report to the relevant reporting authorities.Performance contracting is important because of the following reasonsHelps in fast tracking existing plans in a government institution and a countries strategic plan example Kenyas vision 2030Proper coordination of projects is achieved through the development of intense monitoring and evaluation system so as to achieve the set target pose of higher targets in every contract period leads to improvement in efficiency.Public servants have the opportunity to be recognised thus motivates them to performPerformance contracting has led to the emergence of a competitive Public Service which enhances their growth and development.REFERENCESMugambi, M. (2010, March 28). Constitutional Gains for Kenyan Women. Retrieved March 20, 2014, from Academia.edu www.academia.eduConstitution of Kenya.2010Ethics and Anti-Corruption Act, 2011.Transition to Devolved Government Act, 2011.
Tuesday, June 4, 2019
A History of Schlumberger
A History of SchlumbergerIntroductionSchlumberger is one of the worlds largest inunct and waste industry. Where Schlumberger employs roughly 123,000 people in their alliance which representing over 140 nationalities and to a fault working in more than 85 countries. It has its principal offices in Houston, Paris and Hague. Furthermore, Schlumberger render the widest cheat of products in the industry and in any case the service from exploration finished production. and so, Schlumberger not just an innovation guild but likewise invent, design, engineer, and apply technologies which dish protrude guests to find and produce oil color and gas more efficient and safe.Schlumberger was founded in 1926 by the French brothers called Conrad and Marcel Schlumberger as the Electric prospecting high society. They recorded the scratch-ever electrical immunity well log likewise called borehole log which enable the recording of geologic formations penetrated by the borehole, in Merkw iller-Pechelbronn of France in 1927.In 1929, the telephoner starts to grow quickly and logged its first well in the California, United States. Also they logged their first electrical logging in Japan in 1936. Schlumberger invested heavily in research industries, and it inaugurating the Schlumberger Research aggregate in Ridgefield, United States.In 1956, Schlumberger Limited was incorporated to hold the shares of multiple companies as a holding conjunction for all Schlumberger businesses. Later on, Schlumberger continued to run over geezerhood. In 1960, they formed Dowell Schlumberger consists of half of Schlumberger and half of Dow Chemical which expert in pumping work for oil industry.In 1962, the Schlumberger Limited appeared in the list on the New York Stock Exchange, the largest stock exchange in the world. Meanwhile, Schlumberger purchased an electronic instruments manufacturer, Daystorm in South Boston, Virginia which was sold to Sperry Hutchinson in 1971. In 1964, Sch lumberger also purchased 50% of Forex and then created the Neptune cut order by merging Forex with 50% of Languedocienne. The first computerized reservoir analysis program SARABAND, was introduced n the year of 1970. The remaining half of Forex was purchased by the following year, the public figure Neptune was changed to Forex Neptune Drilling Company. In 1979, Fairchild Camera and Instrument also joined the Schlumberger Limited included Fairchild Semiconductor.In 1981, Schlumberger also established its first internationalistic data link with e-mail. In 1983, Cambridge Research aggregate in Cambridge, England was inaugurated by Schlumberger and later on it was renamed as Schlumberger Gould Research Center after Andrew Gould, the former CEO of Schlumberger.In 1984, the SEDCO oil production company and 50% of Dowell of North America were purchased. Then Anadrill drilling segment was created by combining Dowell and The Analysts drilling segments. In 1985, Forex Neptune was merge d with SEDCO to form the Sedco Forex Drilling Company and Schlumberger acquired Merlin and half of GECO at the meanwhile.In 1987, Schlumberger successfully complete their purchase on Neptune from North America, Bosco and Cori from Itali, and Allmess from Germany. Meanwhile, Fairchild Semiconductor under Schlumberger was acquired by National Semiconductor for 122 jillion dollars. In 1991, Schlumberger also purchased PRAKLA-SEISMOS and first created the use of geosteering to drill a borehole well more effectively.In 1992, Schlumberger purchased the software company GeoQuest System. In the 1990s Schlumberger also bought out the petroleum division, AEG meter and the ECLIPSE reservoir study team Intera Tehnologies Corporation. Furthermore, Oilphase and Camco International were also acquired by Schlumberger. Then a joint venture was formed amidst Schlumberger and Cable Wireless created Omnes, they will handle all Schlumbergers internal IT business.In 2000, WesternGeco was created by me rging Geco-Prakla division and Western Geophysical which Schlumberger held a office of 70% and remaining for its competitor Baker Hughes. In the same year, Sedco Forex was left and merged with Transocean Drilling company.In 2001, Schlumberger spend 5.2 billion dollars to acquire the IT consultancy company Sema plc. In 2004, Schlumberger Business Consulting act as the companys management consultancy arm was launched. In 2005, Waterloo Hydrogeologic was acquired by Schlumberger which was followed by a few other body politicwater industry related companies, for example Westbay Instruments and forefront Essen Instruments. Schlumberger also relocated its corporate offices from New York to Houston.In 2006, Schlumberger complete purchased the remaining 30% of WesternGeco from its competitor Baked Hughes for 2.4 billion dollars. In the same year, the Schlumberger-Doll Research Center was moved to a reinvigoratedly built facility in Cambridge, Massachusetts. The facility united few other research centers run by the company in Cambridge, England Moscow, Russia Stavanger, Norway and Dhahran, Saudi Arabia.In 2010, Schlumberger announced the acquisition of Smith International in an all stock deal priced at 11.3 billion dollars. This is the senior high schoolest purchase in Schlumberger history. Schlumberger also announced planning to acquire the French- ground company Geoservices which specialized in energy services, at the exist of 1.1 billion dollars with debt included.Schlumberger becomes the world leading oilfield company because of it can cause complete service in its field, including reservoir scouting, characterization, high engineering science drilling system, own production group and so on. Schlumberger owns a lots of daughter company which specialized in different field, and providing solutions. It also invested heavily in different research companies who improve high performance drilling equipments which can endure high pressure and temperature during dril ling process.Sun Zis Art of War TheoryMoral influence refers to measures and policies that align the people with the sovereign so as to be in complete agreement and harmony with each other.Weather refers to the contrasting changes of night and day, the coldness of winter and the heat of summer, and seasonal changes.Terrain means by distance, whether the ground is traversed with ease or difficulty, whether it is open or constricted and the chances of invigoration or death (of an army).Generalship refer as the generals qualities wisdom, thinkworthiness, benevolence, courage and discipline.doctrine law Refer to organization and control, management systems and procedures, and the command and control structure for the deployment of resourcesSWOT AnalysisStrengthsSchlumberger is the worlds largest leading oilfield services tryrs and one the orbiculate market drawing card in it industry which brings many benefits to it company. Generally, Schlumberger possess good company names, econo mies of scale, high margins, revenues and other substantial benefits. Schlumberger not just the top 1 biggest oilfield services company, but also company that worldwide recognize in the oilfield industry. For example, Schlumberger ranked in the top 50 of the Engineering category of The 2012 Worlds Most Attractive Employers that reflects all the students and professionals will try to seek job opportunities with the company.Besides that, Schlumberger also a company that consist excellent applied science that build up the companys name. Hence, it has technology innovation with 125 research and engineering facilities worldwide. It place concentrated importance on the developing innovation technology that annex the quality of product. In example, Schlumberger firmly holds their professionalism through years of experience in it field which to fulfil the customer needs and satisfaction by development its strong technologies. In addition, it creates more stable business and more like ly to obtain other businesses as opportunities comes.Furthermore, Schlumberger has strong research capabilities which they always invested significant time and silver on research and engineering as a long-term strategy to support and to expand their technology leadership. Schlumberger increase their services, products, tools, and equipment to maximize and extend production for the life of the reservoir. Schlumberger supplies various products and services including seismic, drilling services, well testing, well completions, subsea production, well production, and well intervention. Based from world energy news, Schlumberger generated 10.67 billion dollars in oil field services revenue with year to year increasing of eight percent. With these kind of technologies that Schlumberger can kind provide, it able to highly strength their company income and also it can create mentally to superior technology in days to come.In a nut shell, the deep knowledge of exploration and production tha t gained through more than 80 years of experience by Schlumberger enable it to invite much higher company standard in oil and gas industry. With the companys history, it consist a strong brand equity with worldwide recognition. Thus, the deep knowledge that gain the company but as the company obtain a great shekels and revenues that drive home empower the company to achieve one the worlds leading oilfield company.WeaknessesSchlumberger is a company with many strength as in the oilfield industry. notwithstanding doesnt mean it dont have any weaknesses in its field. Schlumberger have daughter companies over 140 nationalities, which give it a wide range of production and exploration. But with so many daughter companies, there is lots of possibility an error can occur in certain company. It is hard to tracking down the progress in each of the daughter company. For example, in certain daughter company whitethorn consist of drilling failure. This may cause bear upon not just to the customer but also the company itself.On the other hand, there also legal issues dissemble with Schlumberger with the accusation of fracking price. According to the Bloomberg news, where the company were sued over claims Schlumberger and other oilfield industry which Halliburton and Baker Hughes collaborated to raise prices and crush oilfield service competitors in the booming U.S. market for hydraulic fracturing services. Therefore, with this kind of legal issue involve with the company will affected on the companys good name and may worsen some relationship with certain company collaboration.Schlumberger may also contain another weakness that is not active in social media besides facebook and twitter. The company doesnt use much of the social media to larn their companys name. For example, the company doesnt promote much of commercialize video on it new innovative technologies or production to fascinate peach or even new customers. Therefore, without increase the participation of social media will influence the good name of the company.Schlumberger announce for the full year result of oil field services in year 2013, land revenue decline 2% in the North America Area. Where land businesses experience some weakness in drilling, stimulation and wireline services. The cause of the weakness can be related to the companys innovation technology has reach its limit. Hence, this kind of inconvenience the company facing would lead to decline revenues. The company able to increased service concentration, improve efficiency, market share gains, and new advanced technology.OpportunitiesSchlumberger consist plenty opportunities based from the company global market leader in the oil field industry. The company can acquire higher percentage of oil discovery. The company technologies additional innovative workflows, advance software, and technical experts to help the company clients to enhance characteristics of uncertain exploration. Thus the company deep understanding of the geology of their prospective areas which the company exploration conclave can extract the maximum value from their exploration asset.Moreover, Schlumberger also have acquisitions by buying out their competitor which the company could offer a higher level of project management and integrated solution for oil and gas companies. While others individual suppliers involved with exploration and production add excessive cost that increase complexities. As an alternative, Schlumberger decided to work on that by broadening its technical capacity and also approach greater integration capabilities.Schlumberger also have better exposed to expand in international markets rather than their competitor. For example, Schlumberger exposure to Gulf of Mexico proved to be important, aiding the 3 percent revenue growth in North America. While Schlumberger also has been awarded an 18 moth multiple services contract by Oil India for designing, drilling, and completing six horizontal wells. Where S chlumberger consist of high hazard making a larger foray into other countries in the near future.Besides that, Schlumberger contain the peak of increasing oil supply which will spend in the future. This enable increasing the demand for oil extracting companies and outlying technologies that can discover oil in difficult locations. Manufacture of oil from coal and innate gas is potential benefits of peak in oil supplies which Schlumberger gained. In future, the importance of oil will increase and the demand for these sources will be more expensive.ThreatsSchlumberger have one of the best technology in the oil field services industry. Thus, the company maintain the service industrys longest commitment to technology and innovation. But there are many challenges ahead towards the company that highly competition with other oil field services companies, with great technology in the company that some customers will need to consider on the budget. Because great quality also comes with a high price. Therefore, other competitor may provide much average technology cheaper budget that can already satisfy the technologies needed of several customers. Hence, that will enable the competitor to attract some the Schlumbergers previous customer to dealt further businesses with competitor.Schlumberger will not only deal with other oil field services companies of the budget on technologies but also the products and services of the company. Where Schlumbergers competitor Halliburton supplies oil and gas companies equipment and service that helps extract unprocessed oil and gas from the ground. Hence, they may offer the same products and services which also allow easier attract of new customer. Plus they will analyse and came up with new innovation technology to deal with Schlumberger.Furthermore, Schlumberger also concern about sparing slowdown occur on it company. For example, the SchlumbergerSema revenue of 870 million USD for the quarter decreased 3 percent consecutively a s a result of a 17 percent decrease in Cards revenue following lower demand in Europe. This economic slowdown can cause weak oil and gas demand and also will influence the pricing reduction in the company worldwide rig. In addition, it will also effect on the companys production and exploration spending. In order to overcome economic slowdown, one of the method is by expand the company areas and attract new customer to sustain the companys business which able to use various type of business commercialization strategies.Apart from that, the energy producers rising be for raw materials such as steel had help Schlumberger contributed to 120 percent growth in production and exploration spending between year 2004 and 2007.Schlumberger also concern regarding the high energy prices have prompted governments worldwide to increase taxes and change investment terms to producers profits to gain a bigger share. Which can cause underinvestment and simply exacerbate the problems for the company. ConclusionToday Schlumberger is the worlds largest oilfield services provider, with employees representing over 140 nationalities. The company rapidly developed international origins and a worldwide presence, becoming the leading provider of subsurface watchs.Schlumberger is faithful to its legacy of technological innovation. After initially leading the industry with its subsurface survey methods, the company now offer a wide portfolio of leading technologies to meet the needs of our customers in the oil and gas industry. Schlumberger has grown both organically and through outside acquisitions. Along with new technologies and opportunities. Certainly, Knowledge, technological innovation and a truly global workforce remain the symbols of Schlumberger today.Based from the whole process, Schlumberger is the global market leader in oil and gas industry that consist a strong business strategies plan. The company is accurate in grasping the opportunities with their leading innovative tec hnologies. Hence expand the companys exploration and production and improve their revenue in the global market. Besides that, the company also amplifying their company by using the history of the company and the excellent name in their industry to maintain their leadership in global market.In fact, Schlumberger committed to providing services and products that enhance their customers performance. Schlumberger delivers excellence to their customers which the company treat all their customers in a consistent and transparent way. With their extensive experience in developing and deploying innovative technology solutions, its enable to maintain the satisfaction of the customer and also shareholders. Furthermore, Schlumberger also enable to maintain a greater oil service between their competitor with the company understand and support the direction ahead. In other hand, the company strongly apply service focus, continuous improvement, and self- development.Lastly, Schlumberger consist of a strong integrity which the company recognize the boundaries and have the courage to act responsibly and sincerely. Decision making is one the company integrity, the company observe the right time and also the risk before move forward to a certain exploration and production. The high responsibility also holds firmly by the company to able to gained greater trust from collaboration group and customers.
Monday, June 3, 2019
Strategic Management At UNIQLO
Strategic focusing At UNIQLOToday, UNIQLO is described as the line up giant Gap, Inc.s counterpart based on the 4, 000% sh ar harm increase, do UNIQLO as Japans third largest clothing seller. However, it is not al miens victory for UNIQLO the foot soldier withal has its own sh atomic number 18 of downturns peculiar(prenominal)ly on its transnational blowup. For instance, working out programmes in the United Kingdom (UK) saw a tumultuous stumble in profits, forcing speedy Retailing to shut down 16 of the 21 UNIQLO interposes opened, because of competition. Most recently, three UNIQLO incloses in New Jersey were to a fault closed because of economic slumps. Despite these f comes, UNIQLO maintains the centre and still believed that the send has exclusively provided commission ship. How UNIQLO go away going to do much(prenominal) is central to this paper, focusing on the companys strategical management. External, industry and foe analysis as well as the internal environment provide be addressed.Political f movementors nurse direct impact on argument conducts and operations. Decisions do by the adverts the decision- fashioning of retail merchants and could come in the form of policy or legislation. In Hong Kong, the one country, two systems is the prevalent governance philosophy which endows the special administrative argonna with a high degree of autonomy and its capitalist economic system. Within a capitalistic and free crisscros tempered-oriented sparing, retail companies appoint the majority of microeconomic decisions exactly they look at to conform to particular(prenominal) agreements. Mainland and HK Closer Partnership Economic Arrangement (CEPA) and the US-China Textile Memorandum of Understanding be two examples of this. The former provides UNIQLO with a tariff-free treatment, stating that growths which arrive at no existing CEPA rules of origin leave enjoy tariff-free treatment upon applications by local manufacture rs. The latter could provide UNIQLO with an opportunity for an annual growth of 8-17% in 21 categories of Chinese stuffs and clothing exports to the US. Labor and customary regulations as well as code of conducts be withal complied into including China Social Compliance 9000 and US and EU quotas (RSCA 2006 Doshi 2006).Economic epitomeDomestically and globularly, handicraftes be to a fault being viewed by economic factors whereby a strong sparing indicates positive results and weak economy signifies the opposite, affecting both(prenominal)(prenominal) businesses and consumers. Hong Kongs gross domestic harvest-time is estimated at US$206.7bn with the service sector that contri andes 90% of the total GDP. The division is overly named as the worlds ordinal largest trading entity. Almost 50% of the total population is employed full-time and the unemployment rate has a continuous average decline by 4.1%, making propensity of income a possibility, a lower cost of living t hat is (Monthly Digest 2008). Spending is generally devoted for food, housing, healthc be, transportation, amusement, services and plume. People nowadays are real fussy with investing in bore clothing thereby resume spending with premium vestments finds (Doshi 2006). Realising this, the toll and tone characteristics of UNIQLO has a strategic fit UNIQLO tops commonwealth look fashionable and confident in world-class clothes at a reasonable price through the company-wide integrating of the Specialty Store retailer of Private Label Apparel (SPA) model, a low-cost plainly strong operation model.Social epitomeDemography or the population characteristics may acquire get patterns and that understanding demographic changes within a particular region or place facilitates determining whether products and services would appeal to clients as well as the number of potential nodes (Barney and Hesterly 2006, p. 35). Hong Kong has a total of 6, 985, 300 population based on 2008 est imate and is continuously growing due to immigrant influx from Mainland. According to Doshi, flock in HK and elsewhere have a growing interest in private labels. Consumers aspired for having private levels on either(prenominal)day garments. Casual wear from HK which is known for adept design and spirit has a positive image on spheric consumers. Nevertheless, international rats are concentrated in high-end consumers while domestic brands are for low-end consumers (Doshi, 2006). In taking advantage of the wealth of the demography, UNIQLO makes effort on providing high- fibre merchandise and generating respects to the society by taxes. Further, UNIQLO is a company that is committed in creating positive spirit as manifested in its vision and mission, styles of management, ways of doing business and requirements to employees.Technological AnalysisTechnological innovations are a priority for the decorate retailing industry yet it give remain as labor intensive as it is today. Boosting the industrys productivity, increased in automation has been the recent trend merely it is limited on specific functions, to which mostly require human intervention such as sewing and making patterns. Although there are computerised sewing machines that increase the productivity and reduce upbringing time. Further, the uses of computer system software intended for the industry give be on making rough sketches, printing detailed designs and storing of entropy for easy retrieval. The node orientation of UNIQLO was staple fiberally construed from its website in which customers can give feedbacks by email and discussion board. Hong Productivity Council do a report disclosing that the cloak industry could make sense of information technology (IT) if utilise for order processing, costing analysis, order tracking, material management, reporting and connectivity (2004).Industry AnalysisPorters Five Forces AnalysisA) Threat of foundingBarney and Hesterly (2006, p. 43) p oint out that stark naked entrants are the firms which have either recently begun operations or those that threaten to begin operations within an industry soon. Notably, the primp industry is a buyer-driven industry where producers are considering buyers decision-making especially when brand names enter the picture. These buyer-centric industries have low barriers to entry mainly because of intense competition. Utilising brands as a breadetplace power source however, this is a challenge for e genuinely clothing company. In the clothing business, mass customisation has seen to be the most in force(p) strategy. Putting strategises into achievement remains to be in resilience today (Culpan 2002). Therefore, the focus mustiness(prenominal) be on minimising the costs without sacrificing quality and to do this, managerial know how is a must in order to understand inter follow ups with suppliers and consumers, to facilitate creativity and innovation and to maintain mobility in adap ting to in the buff securities industry demands (Kincade, Regan and Gibson 2007).Building brand awareness and consumer commitment is a costly endeavor since it involves advertizement needed not whole to promote the brand but in any case on sustaining awareness and commitment. Strengthening brand names besides requires that there are quick response programs to increase revenues and manage risks. One of UNIQLOs major resources is its brand name, which is now synonymous with comfortable, high quality and cheap clothing merchandises. Although brand awareness outside the home country is a challenge, it is of intangible place to UNIQLO as a business as place. Brands are worthy and rare and reputable brands are acquired through the impressions one has of the company, and its products or services. Since a brand name is built overtime it becomes costly to imitate thereby providing a sustainable competitive advantage in the coiffure industry (Groucutt, Lydley and Forsyth 2004, p. 2 85).B) Threat of RivalryEither in home or host countries, apparels, accessories and merchandise will always have a competitor which usually fluctuates in size. The modern market trends for the apparel industry are world-wideisation and intensified competition, increasing price and lower profit margin pressures, small quantity with high complexity orders, shorter lead times, multiple location operation, changing customer requirements and liberalisation on framework and clothing quota that creates new market dynamics. Being antiphonary to these market trends shifts the focus of the apparel industry for more extensive product development and improvements at the least(prenominal) possible cost. Such condition forces companies to divert on product specialty because of high switching cost. In an industry where products are deemed to be equal, the key sources of specialization are brand image, temperament and prior existence (Byoungho 2004b). For UNIQLO, the products themselves are an important source of competitive edge. UNIQLO strives at developing products of high quality, in miscellaneous collections to change the company to reach the highest possible number of customers. As such, the rivals would be endangered when it comes to introducing innovative products. UNIQLO is stained in the fashion capitals of the world for the purpose of taking advantage of the new information about fashion trends. UNIQLOs ability to quickly adapt to trends and new markets has helped them develop product differentiation, something that is key to the companys success in the apparel industry. According to Tokle (1990), product differentiation is what separates the top competitors from the rest, but it something that is not costly to imitate. This is why their product differentiation is only a temporary competitive advantage. Competitive advantage could be achieved once the organisation learns to manage its capabilities that the end consumers could appreciate and competitors would find difficulties imitating (Porter 1985 Roney 2004).C) Threat of SubstitutesCasual wear is very particular with swooning-fit, comfortable and relaxed fit. Athletic or fighting(a) wear was comprehend to be the closest substitute to casual wear as manifested by the booming athletic wear industry. Typically worn as casual fashion clothing, progressive attires could provide deterrence in the industry. Moreover, the blurring demarcation on the casual clothing family could be besides seen as an opportunity for substitutes. specialised hold ons offer semi-casual, smart casual and business casual lines. Semi-casual clothes are less presentational than informal but are not as put out as casual dresses. Smart casual purports conservative looks but with harmony on colors, fabrics, shoes and accessories. Business casual, on the other hand, varies in definition but the common element is the collar. Realising this, the bottomline now is the price. Moreover, based on the SPA business mode l, all the requisite functions at UNIQLO falls under a single umbrella especially the inbound logistics and the production. UNIQLO is an example of a cut-make-trim company in which in which the company purchase the fabric and retain ownership of the raw materials and work-in-process, and so making it hard for rivals to imitate or produce substitutes for UNQILO brands.D) Threat of SuppliersThe prices and availability of commonly used fabrics such as cotton, blends, synthetics and wools might fluctuate significantly due to its habituation on demand, crop yields, weather, supply conditions, transportation costs, government regulations and economic condition among others (Byoungho 2004a). Quota is the major factor that affects the demand and supply of textile and fabrics. Even though the trade of raw materials is beatised, independent contractors, raw material suppliers, importers and apparel manufacturing firms could not isolate themselves from such scenario because of the prospec tive unsteadiness in the supply chain (Chetty 1999). As well, because of onward vertical integrating, coupled with the low barrier to entry, suppliers could easily become rivals. In becoming threat of entry, suppliers could be as well as become a competitor to already established apparel manufacturers. In addition, contractors is also one of the threats when the demand of the labor increases, it will cause labor costs price inflation. Laszlo (2008) stress that there are five main parts of the apparel value chain including raw material supply, provision of components production networks export channels and marketing networks at the retail level. Through the process, UNIQLO has an ownership on production and thereby a complete control on the supplies procurement. UNIQLO insources its production and handles the majority of the operational details. Sourcing is a go-to in the apparel industry but it is not rare although it can add value to UNIQLO.E) Threat of BuyersReaching more and d iverse consuming group, the apparel industry is both a stable and unstable industry. Stable because quality price and quality products are the main element and unstable because there are many factors that affect both price and quality. In the point of consumption, for instance, there are middle men such as the retail memorys that offer an array of brands. In acquire manufactured apparel, retail stores could have influence on making significant requirements and demands on their purchase, affecting prices. Though quality is inherent, prices would not be reasonable at all, and alternative clothing is readily available. This explains why apparel manufacturing companies are setting up their own stand along stores which will cater to their own produce. of the essence(p) is that apparel stores must not fall dependent on s specific class of customer. Buyers are increasingly appearing to prefer above metre apparel with a much lower cost, making apparel less differentiated. When selling n owadays to consumers, buyers would incur a significant portion of their dispensable cash. corresponding goes with retail store, they purchase apparel at the least possible final cost, but adds up to prices of apparel. UNIQLO is involve in selling to the customers through specialty store marketing, with a minimalist strategy of masses em high, sell em cheap concept that is. In addition, the unbranded fashion or the no-logo concept was perceived to be the main reasons for throngs warm attention (Williamson 2007 Parrish, Cassill and Oxenham 2006).Competitor AnalysisLocal Competitors1) BossiniThere are three competitors for UNIQLO Bossini, Giordano and Muji. Bossini International Holdings Limited is an apparel brand owner, retailer and franchiser nestled in Hong Kong. From its onset in 1987, Bossini continued to grow both domestically and internationally. Today, the spherical distribution network is comprised of 551 flat managed and franchised outlets in Mainland, 322 export franch ised outlets, 178 directly managed outlets in Hong Kong, Taiwan, Singapore and Malaysia and 1, 051 outlets in 20 countries. Taking pride on its Bossini brand that is comfortable, easy to mix-and-match, colorful and energetic like the Family-Fit brand, Bossini was able to cater to non-homogeneous consumer requirements in a value for money fashion (Bossini Annual Report 2006/2007).The strength of the brand and the large number was drawn from the seven practices face reality, keep it simple, act with the speed of light, set stretch goals, drive quality, create and sustain a learning organisation and keep the A, nurture the B and discard the C. Through this set of practices, Bossini puts emphasis on quality, efficiency and profitability as a source of competitive edge. The company is also continuously construction brand awareness by marrow of innovative cross-regional marketing activities. In enhancing its supply chain, Bossini shorten the product cycle from design to store and will continue to build string ties with them in a proactive manner. Building up an IT system is a strategy meant to drive future growth and profitability. Though the company deals with closure of unsuccessful outlets whenever necessity to divert their attention to areas which needs a closer concentration and with participating in broad campaigns and dual-branding to promote the products and to expand market reach, Bossini is more focused on its four core markets.2) GiordanoEstablished in 1981, Giordano is one among the popular and established casual apparel retailer in Asia Pacific Region which employs about 11, 000 supply with over 1, 895 shops operating in 30 territories cosmopolitan. From its restructuring from 1986, the company prepared for international expansion, which was made possible by the initial success in Hong Kong, Mainland and neighboring countries such as Taiwan and Singapore. Known as the most successful homegrown retail stores, Giordano is a pioneering company that p articipated in drafting of code of practice in the retailing scene and introduced innovations such as the total obtain experience where customers are greeted individually in the doorstops and bade bang-upbye unto when leaving the store.Envisioning itself in making people feel good while looking great, the companys main strategy is its For the People philosophy wherein quality, knowledge, innovation, service and simplicity are at the core. As an apparel of choice, Giordano is also committed in providing simplicity of design, quality workmanship, attentive customer service and value-for-money, allowing the company to strongly build its own loyal next (Giordano 2008). Though the four brands Giordano Ladies, Giordano Concepts, Giordano and Giordano Junior are constantly profitable, the weakness is that Giordano has a limited range of products and that consumers may grew tired of the existing concepts.3) MujiRyohin Keikaku, better known as Muji, is an outgrowth from The Seiyu, Ltd. In becoming a separate brand, Muji develops range of apparel, household goods and food that takes pride on being functional, simple and of high quality.Literally mover no brand, the over 700 Muji products observes the philosophy of simplicity. Primarily purporting an individualistic and diversified lifestyle, Muji follows three processes that is said to be the reason for proving good quality products at lower prices. These are selection of materials, streamlining processes and simplification of packaging.The companys emphasis on preventing materials wastage and improvement of essential product quality as well as time and labor optimisation are the key in achieving operational effectiveness and efficiency. The selection of materials is a very important stage for Muji where suitable raw materials are the main concern. Bulk purchase is a strategy wherein quality is the indispensable criterion, underpinning the possibility of producing high quality, low prices products. Thereby, the w eakness is on changes in demand and supply of raw materials. Standards at manufacturing stages are also under close scrutiny in order to eliminate waste and reduce cost. When it comes to packaging, Muji sticks to the simplicity philosophy, bearing only product related information and the price tag (Ryohin Keikaku Co., Ltd.).International Competitors4) GapGap, Inc. and United Colors of Benetton are the two international competitors for UNIQLO. Gap, Inc. has been officially incorporated in 1988 as a global specialty and outlet store which offers casual apparel, accessories and personal care products. Gap, Banana Republic, Old Navy and Piperlime are the four primary brands. As a way of grammatical construction the value of the brands, Gap is very fastidious with brand development, ensuring that value will be integrated from product design to distribution onto marketing, merchandising and shop environments. The strong point of Gap is its continuous commitment in enhancing the brand in fact, Gap has an intensive portfolio of brands covering classically styled, high quality, casual apparel at moderate prices for virtually all ages. However, the weakness is on inventory disorder rate. Emphasising style, quality and good value, Gap embraces a shopper friendly environment where store facades set off depending on selling season, size and location of the store. Just like UNIQLO, Gap is never threatened of closing under-performing stores and expanding and remodeling existing stores (Gap Annual Report 2006).5) BenettonA global clothing brand which is based in Treviso, Italy, the name Benetton originated from the Benetton family who founded the company in 1965. Now in existence in over 120 countries, Benetton started with only 5 stores in 1979 which were bounded to reach 800 stores today. The 5, 500 network of contemporary stores widely distributed are the reason for generating a total turnover of 2 billion euro. fake apparel is the core business wherein quality, styl e and passion through the brands such as United Color of Benetton, Sisley, Playlife and Killer Loop are the main concerns. fuse energy, colors and practicality, Benetton offers a portfolio of products for men, women and kids. The strength is in its innovation and IT integration in producing 160 million garments annually. At Benetton, superior product quality is achieved through committing every stage of the production process with innovation and creativity. The weakness is on the tendency for incoherent diversification (Benetton website 2008).Common to all the competitors of UNIQLO, either domestic or international, is the international expansion strategy known as the judo strategy or the conscious(p) decision to move rapidly into new markets where there is uncontested ground.(Hilburt-Davis 2002), and providing the best value of money based on distinct brands. Product differentiation, low cost production and gateway market penetration like UK and the Mainland are other strategies that these competitors pursue, in the same way like UNQILO is doing. It is important that brands must conform to the needs of the customers of straggleing age structures and preferences and producing brands where value was mounted from the very set-back step. Quality and customer service are the main concerns, followed by style or design and functionality. Brand development and building brand awareness as well as the overall look of the establishment are also the priorities. Common also to Bossini and Gap is the closure of unproductive stores/outlets while Benetton takes pride in its IT integration in production. Bossini also engages in dual-branding in terms of marketing. Since it is also common to all of these competitors to conceptualised product portfolio, the weaknesses are on incoherence in diversifying the products, apart from inventory turnover and focusing on core markets. Typically, when these scenarios happen production will be affected and it would not be advisable for those companies which are into bulk buying especially that the styles are immediately paced out.For UNIQLO, the weaknesses of the domestic and global competitors could be reaped off as new strategies and the strengths could be manipulated as new advantages. The UNIQLO could be upgraded in opening flagships stores in every gateway market so as to equally diversify brands and gateway locations, catering to all forms of demographics. For UNIQLO, product mix and shopping spree would be plausible especially if it will come in bolder shades, with better quality and cheaper prices, but are manufactured based on forecasted demands. To take advantage of the opportunities that competitors impose, UNIQLO must also open its horizon into new product trends including the silver market and the plus-size market as part of the brand concepts. Although all of the competing companies including UNQILO are into casual, everyday wear, what will set UNQILO apart from them is the potential of easy care cl othing where fabrics are very fluid and/or wrinkle free.Internal AnalysisSWOT Analysis1) StrengthsUNIQLO was deemed successful because of its commitment in divergence which supports the individuality of each family member as well as those with fashion-forward and edgy people. These products are of expected high quality because of the effective global materials procurement. Given this, UNIQLOs products are intentional parallel with the customer requirements and worldwide markets trends. Voice of the Consumer (VOC) is one of the key in building the most effective brands. For UNIQLO, however, this is not enough, it should be joined with direct engagement in value chain process and doing it through a low-cost, quality-driven manner. In the post production stage, it is also important for UNQILO to obtain effective distribution management and inventory control. UNIQLO is an expert in store development thereby efficient store operation in addition.2) WeaknessesJapan and Fast Retailing ar e devoted in simple, functional clothing with minimalist clothing details rather than cutting edge, extravagant clothing. This is the mark of UNIQLO, but could also be its major weakness in penetrating fashion-oriented places such as London, Paris and New York whereby fashion element of UNIQLO products are very limited. Another weakness is that UNIQLO belongs to a multi-layer distribution structured industry distribution digestibility is hard, leading to clogging in distribution inventory. UNIQLO is also originally designed for low-end consumers and that they will face a head-to-head competition with all kinds of market such as high end, high street, ethical consumers and cut-price shoppers when operating abroad. In some places, profitability is largely mark offd by the opportunities of retail season like back-to-school and holidays. In both cases, UNIQLO must already acquire the necessary managerial and operational competences prior to establishing a presence in these places but i n the case that UNIQLO would not be able to tap on being responsive enough to these threats this will impact the business results.3) OpportunitiesBelonging to an industry where fashion and apparel market trends are unending, UNIQLO is operating in a global business where companies direction and business activities are always expanding. Globalisation provides the apparel industry with grater simultaneity with the help of technology, facilitating the exchange of information with speedier level. Because of inter dependency, free trade zone has also seen as profitable because fashion, textile and apparel markets became borderless. While also making larger profits, UNIQLO could invest in hearty influence or its corporate fond responsibility. Whats left for UNQILO is to grab the opportunity of a faster information and knowledge transfer from these locations through a full force IT integration including the customers. The teenager market is also another opportunity the UNIQLO could expl oit since this group is very meticulous in value shopping and they have preferences of where to shop and how to shop.4) ThreatsChanges in economic conditions, changes in consumption trends and intense competition are just three of the treats that UNQILO, and all other apparel firms, is currently facing. Foreign currency affects the business conduct of UNIQLO because of the locational patch of the operations. Johnson and Scholes (2002) relate that strategic positioning is an imperative in realising the strategic capabilities of organisations. UNIQLO has a geographically dispersed operation fashion designers are in Tokyo, New York and Paris, garnering graduation hand information in fashion trends manufacturing departments are in China where cheap labors reside headquarter is still in Japan which takes responsibility in strategic decision making. Labor and materials could fluctuate depending in the performance of yen comparable to US dollars. In events that the economy of either one of the mentioned locations drifts, UNIQLOs operation will be shaken. In addition, the apparel industry where UNIQLO plays as a major player is contaminated with customers influences where the possibility of switching brands is always a possibility.ConclusionDescribed as the equivalent of Gap, UNIQLO is increasingly becoming known in the global apparel industry. UNIQLO continued to be a brand of preference because of the quality, simplicity, functionality and cheaper prices of the merchandises. Although UNIQLO is politically influenced by CEPA and US-China memorandum, UNQILO invests only on opportunities that are profitable, advantageous and will purport the continuous geographic expansion of the company. UNIQLO has an advantage when it comes to individual spending radicalally because clothing is a basic need. While at it, however, UNIQLO must not ignore the social aspects of doing business which is to provide people empowerment when it comes to giving to the government through tax. The company is also committed in enhancing customer service through acquiring the VOC.Entering the apparel market is relatively easy however, new entrants must face the challenges of building brand awareness and coping with the emergences of new trends. There are at least five major rivals for UNIQLO Bossini, Giordano, Muji, Gap and Benetton. All these rivals are involved in continuous product differentiation since, depending on the fashion trends, substitutes could instantly emerge. Because of the SPA model, UNIQLOs processes are inherently rare sense of ownership in process responsibilities is the key. The volume em high, sell em cheap concept, as well, is an attribute unique to UNIQLO. In sum, the prevalent strategy at UNIQLO is the continuous domestic and global expansion and low cost production and management, achieved through continuous strengthening of the already reputable brand, ownership of processes, obtaining the VOC, sound distribution and inventory control and effic ient store operations.To evaluate, the current strategies of UNIQLO are providing the business with immense profitability and growth. However, UNIQLO already has a record of mistake in focusing more and prioritising international expansions thus pain sensation the reputation of the company specially in terms of managerial capacity, expertise and competence. There remains the fact that the products lag behind the quality of the products generated from the fashion centers of the worldwide considering that designers are already in that places. A fact also is that UNIQLO has an immature experience curve in aspects of global market penetration. Shutting down of 16 of the 20 stores in the UK in 2001 and 3 stores in New Jersey are clear-cut evidences of the incompetence on the side of UNIQLO. Global integration prove to be futile especially because UNIQLO is easily shaken up by global economic changes. UNIQLO admits that the closure of the New Jersey stores is because of the recent reces sions and investment drifts in the US. In the UK, stores faced closure because of the failure to recognise the consumer preferences of Britons, which are very different with that of Asians and Japanese per se.There are two recommendations for UNIQLO Asian market integration and establishment on an online shopping site. The first centers the idea that UNIQLO is an Asian product and must be initially offered to Asian consumers. The appreciation of Asian consumers, though they also vary depending on individual cultures, would be much higher compared to that of the Westerners. There are several fashion or brand oriented countries in Asia that UNIQLO has to that degree to discover such as the Philippines, for instance. Filipinos consider clothing as a staple and the apparel industry in the country is a booming industry. Nonetheless, Filipinos have the invest in quality perception where quality is the primary concern and price is secondary but if there are products that combine these two features, it will be much appreciated. In addition, export costs would be limited.Online retailing is a proven successful endeavor. Different types of markets and industries are growing because of globalization and the debut of new information technologies, as well as the pioneer which is the Internet. The key requirements are now centered in quality, speed-to-market, flexibility, innovation, networks, customer service and customization. Internet advertising or sometimes called, as web advertising is a type of advertising in which a person can coStrategic Management at UNIQLOStrategic Management at UNIQLOIntroduction Dubbed as Japans retail success story in the new millennium, UNIQLO is a 100% consolidated subsidiary of Fast Retailing Co. Ltd, a Japanese retail holding company. UNIQLO formed the portmanteau for unique and clothing as am emblem of creativity and individuality of Japanese apparel industry. UNIQLO offers fashionable and high quality clothing at reasonable prices, and was seized as an opportunity to establish a brand position domestically and internationally, combining all the facets of the business from product design to final sales and the operation of the 790 stores around the globe. Primarily offing for a highly brand conscious consumer group, UNIQLO envisions itself as a leading global casual wear company targeting high sales and profitability growth. For UNIQLO, such aim could materialise based on the established strategies such as low cost management, cheapest manufacture and marketing schedules and prioritising customer requirements.Today, UNIQLO is described as the apparel giant Gap, Inc.s counterpart based on the 4, 000% share price increase, making UNIQLO as Japans third largest clothing retailer. However, it is not always victory for UNIQLO the subsidiary also has its own share of downturns especially on its international expansion. For instance, expansion programmes in the United Kingdom (UK) saw a tumultuous stumble in profits, for cing Fast Retailing to shut down 16 of the 21 UNIQLO stores opened, because of competition. Most recently, three UNIQLO stores in New Jersey were also closed because of economic slumps. Despite these facts, UNIQLO maintains the spirit and still believed that the brand has only but way forward. How UNIQLO will going to do such is central to this paper, focusing on the companys strategic management. External, industry and competitor analysis as well as the internal environment will be addressed.External AnalysisPolitical Analysis Political factors have direct impact on business conducts and operations. Decisions made by the affects the decision-making of retailers and could come in the form of policy or legislation. In Hong Kong, the one country, two systems is the prevalent governance philosophy which endows the special administrative region with a high degree of autonomy and its capitalist economic system. Within a capitalistic and free market-oriented economy, retail companies make the majority of microeconomic decisions but they have to conform to specific agreements. Mainland and HK Closer Partnership Economic Arrangement (CEPA) and the US-China Textile Memorandum of Understanding are two examples of this. The former provides UNIQLO with a tariff-free treatment, stating that products which have no existing CEPA rules of origin will enjoy tariff-free treatment upon applications by local manufacturers. The latter could provide UNIQLO with an opportunity for an annual growth of 8-17% in 21 categories of Chinese textiles and clothing exports to the US. Labor and customary regulations as well as code of conducts are also complied into including China Social Compliance 9000 and US and EU quotas (RSCA 2006 Doshi 2006).Economic Analysis Domestically and globally, businesses are also being affected by economic factors whereby a strong economy indicates positive results and weak economy signifies the opposite, affecting both businesses and consumers. Hong Kongs gross domestic product is estimated at US$206.7bn with the service sector that contributes 90% of the total GDP. The region is also named as the worlds ordinal largest trading entity. Almost 50% of the total population is employed full-time and the unemployment rate has a continuous average decline by 4.1%, making desire of income a possibility, a lower cost of living that is (Monthly Digest 2008). Spending is generally devoted for food, housing, healthcare, transportation, amusement, services and apparel. People nowadays are very particular with investing in quality clothing thereby resume spending with premium apparel finds (Doshi 2006). Realising this, the price and quality characteristics of UNIQLO has a strategic fit UNIQLO makes people look fashionable and confident in world-class clothes at a reasonable price through the company-wide integration of the Specialty Store retailer of Private Label Apparel (SPA) model, a low-cost but effective operation model.Social AnalysisDemograph y or the population characteristics may determine buying patterns and that understanding demographic changes within a particular region or place facilitates determining whether products and services would appeal to customers as well as the number of potential customers (Barney and Hesterly 2006, p. 35). Hong Kong has a total of 6, 985, 300 population based on 2008 estimate and is continuously growing due to immigrant influx from Mainland. According to Doshi, people in HK and elsewhere have a growing interest in private labels. Consumers aspired for having private levels on everyday garments. Casual wear from HK which is known for good design and quality has a positive image on global consumers. Nevertheless, international brands are concentrated in high-end consumers while domestic brands are for low-end consumers (Doshi, 2006). In taking advantage of the wealth of the demography, UNIQLO makes effort on providing high-quality merchandise and generating values to the society by taxes . Further, UNIQLO is a company that is committed in creating positive reputation as manifested in its vision and mission, styles of management, ways of doing business and requirements to employees.Technological Analysis Technological innovations are a priority for the apparel retailing industry but it will remain as labor intensive as it is today. Boosting the industrys productivity, increased in automation has been the recent trend but it is limited on specific functions, to which mostly require human intervention such as sewing and making patterns. Although there are computerised sewing machines that increase the productivity and reduce schooling time. Further, the uses of computer system software intended for the industry will be on making rough sketches, printing detailed designs and storing of information for easy retrieval. The customer orientation of UNIQLO was basically construed from its website in which customers can give feedbacks by email and discussion board. Hong Prod uctivity Council made a report disclosing that the apparel industry could make sense of information technology (IT) if utilise for order processing, costing analysis, order tracking, material management, reporting and connectivity (2004).Industry AnalysisPorters Five Forces AnalysisA) Threat of immersion Barney and Hesterly (2006, p. 43) point out that new entrants are the firms which have either recently begun operations or those that threaten to begin operations within an industry soon. Notably, the apparel industry is a buyer-driven industry where producers are considering buyers decision-making especially when brand names enter the picture. These buyer-centric industries have low barriers to entry mainly because of intense competition. Utilising brands as a market power source however, this is a challenge for every clothing company. In the clothing business, mass customisation has seen to be the most effective strategy. Putting strategises into action remains to be in resilienc e today (Culpan 2002). Therefore, the focus must be on minimising the costs without sacrificing quality and to do this, managerial know how is a must in order to understand interactions with suppliers and consumers, to facilitate creativity and innovation and to maintain mobility in adapting to new market demands (Kincade, Regan and Gibson 2007).Building brand awareness and consumer loyalty is a costly endeavor since it involves advertising needed not only to promote the brand but also on sustaining awareness and loyalty. Strengthening brand names also requires that there are quick response programs to increase revenues and manage risks. One of UNIQLOs major resources is its brand name, which is now synonymous with comfortable, high quality and cheap clothing merchandises. Although brand awareness outside the home country is a challenge, it is of intangible value to UNIQLO as a business asset. Brands are blue-chip and rare and reputable brands are acquired through the impressions o ne has of the company, and its products or services. Since a brand name is built overtime it becomes costly to imitate thereby providing a sustainable competitive advantage in the apparel industry (Groucutt, Lydley and Forsyth 2004, p. 285).B) Threat of Rivalry Either in home or host countries, apparels, accessories and merchandise will always have a competitor which usually fluctuates in size. The modern market trends for the apparel industry are globalisation and intensified competition, increasing price and lower profit margin pressures, small quantity with high complexity orders, shorter lead times, multiple location operation, changing customer requirements and liberalisation on textile and clothing quota that creates new market dynamics. Being responsive to these market trends shifts the focus of the apparel industry for more extensive product development and improvements at the least possible cost. Such condition forces companies to divert on product differentiation because o f high switching cost. In an industry where products are deemed to be equal, the key sources of differentiation are brand image, reputation and prior existence (Byoungho 2004b). For UNIQLO, the products themselves are an important source of competitive edge. UNIQLO strives at developing products of high quality, in various collections to change the company to reach the highest possible number of customers. As such, the rivals would be endangered when it comes to introducing innovative products. UNIQLO is positioned in the fashion capitals of the world for the purpose of taking advantage of the new information about fashion trends. UNIQLOs ability to quickly adapt to trends and new markets has helped them develop product differentiation, something that is key to the companys success in the apparel industry. According to Tokle (1990), product differentiation is what separates the top competitors from the rest, but it something that is not costly to imitate. This is why their product differentiation is only a temporary competitive advantage. Competitive advantage could be achieved once the organisation learns to manage its capabilities that the end consumers could appreciate and competitors would find difficulties imitating (Porter 1985 Roney 2004).C) Threat of Substitutes Casual wear is very particular with loose-fit, comfortable and relaxed fit. Athletic or active wear was perceived to be the closest substitute to casual wear as manifested by the booming athletic wear industry. Typically worn as casual fashion clothing, active attires could provide deterrence in the industry. Moreover, the blurring demarcation on the casual clothing family could be also seen as an opportunity for substitutes. work stores offer semi-casual, smart casual and business casual lines. Semi-casual clothes are less presentational than informal but are not as loose as casual dresses. Smart casual purports conservative looks but with harmony on colors, fabrics, shoes and accessories. B usiness casual, on the other hand, varies in definition but the common element is the collar. Realising this, the bottomline now is the price. Moreover, based on the SPA business model, all the necessary functions at UNIQLO falls under a single umbrella especially the inbound logistics and the production. UNIQLO is an example of a cut-make-trim company in which in which the company purchase the fabric and retain ownership of the raw materials and work-in-process, and so making it hard for rivals to imitate or produce substitutes for UNQILO brands.D) Threat of Suppliers The prices and availability of commonly used fabrics such as cotton, blends, synthetics and wools might fluctuate significantly due to its dependence on demand, crop yields, weather, supply conditions, transportation costs, government regulations and economic condition among others (Byoungho 2004a). Quota is the major factor that affects the demand and supply of textile and fabrics. Even though the sale of raw materia ls is standardised, independent contractors, raw material suppliers, importers and apparel manufacturing firms could not isolate themselves from such scenario because of the prospective unsteadiness in the supply chain (Chetty 1999). As well, because of forward vertical integration, coupled with the low barrier to entry, suppliers could easily become rivals. In becoming threat of entry, suppliers could be also become a competitor to already established apparel manufacturers. In addition, contractors is also one of the threats when the demand of the labor increases, it will cause labor costs price inflation. Laszlo (2008) stress that there are five main parts of the apparel value chain including raw material supply, provision of components production networks export channels and marketing networks at the retail level. Through the process, UNIQLO has an ownership on production and thereby a complete control on the supplies procurement. UNIQLO insources its production and handles the m ajority of the operational details. Sourcing is a go-to in the apparel industry but it is not rare although it can add value to UNIQLO.E) Threat of Buyers Reaching more and diverse consuming group, the apparel industry is both a stable and unstable industry. Stable because quality price and quality products are the main element and unstable because there are many factors that affect both price and quality. In the point of consumption, for instance, there are middle men such as the retail stores that offer an array of brands. In purchasing manufactured apparel, retail stores could have influence on making significant requirements and demands on their purchase, affecting prices. Though quality is inherent, prices would not be reasonable at all, and alternative clothing is readily available. This explains why apparel manufacturing companies are setting up their own stand along stores which will cater to their own produce. all-important(prenominal) is that apparel stores must not fall dependent on s specific class of customer. Buyers are increasingly appearing to prefer above standard apparel with a much lower cost, making apparel less differentiated. When selling directly to consumers, buyers would incur a significant portion of their dispensable cash. identical goes with retail store, they purchase apparel at the least possible final cost, but adds up to prices of apparel. UNIQLO is involve in selling to the customers through specialty store marketing, with a minimalist strategy of pile em high, sell em cheap concept that is. In addition, the unbranded fashion or the no-logo concept was perceived to be the main reasons for peoples warm attention (Williamson 2007 Parrish, Cassill and Oxenham 2006). Competitor AnalysisLocal Competitors1) Bossini There are three competitors for UNIQLO Bossini, Giordano and Muji. Bossini International Holdings Limited is an apparel brand owner, retailer and franchiser nestled in Hong Kong. From its onset in 1987, Bossini continue d to grow both domestically and internationally. Today, the global distribution network is comprised of 551 directly managed and franchised outlets in Mainland, 322 export franchised outlets, 178 directly managed outlets in Hong Kong, Taiwan, Singapore and Malaysia and 1, 051 outlets in 20 countries. Taking pride on its Bossini brand that is comfortable, easy to mix-and-match, colorful and energetic like the Family-Fit brand, Bossini was able to cater to various consumer requirements in a value for money fashion (Bossini Annual Report 2006/2007). The strength of the brand and the people was drawn from the seven practices face reality, keep it simple, act with the speed of light, set stretch goals, drive quality, create and sustain a learning organisation and keep the A, nurture the B and discard the C. Through this set of practices, Bossini puts emphasis on quality, efficiency and profitability as a source of competitive edge. The company is also continuously building brand awarenes s by means of innovative cross-regional marketing activities. In enhancing its supply chain, Bossini shorten the product cycle from design to store and will continue to build string ties with them in a proactive manner. Building up an IT system is a strategy meant to drive future growth and profitability. Though the company deals with closure of unsuccessful outlets whenever necessary to divert their attention to areas which needs a closer concentration and with participating in broad campaigns and dual-branding to promote the products and to expand market reach, Bossini is more focused on its four core markets.2) Giordano Established in 1981, Giordano is one among the popular and established casual apparel retailer in Asia Pacific Region which employs about 11, 000 cater with over 1, 895 shops operating in 30 territories worldwide. From its restructuring from 1986, the company prepared for international expansion, which was made possible by the initial success in Hong Kong, Mainla nd and neighboring countries such as Taiwan and Singapore. Known as the most successful homegrown retail stores, Giordano is a pioneering company that participated in drafting of code of practice in the retailing scene and introduced innovations such as the total shopping experience where customers are greeted individually in the doorstops and bade goodbye unto when leaving the store. Envisioning itself in making people feel good while looking great, the companys main strategy is its For the People philosophy wherein quality, knowledge, innovation, service and simplicity are at the core. As an apparel of choice, Giordano is also committed in providing simplicity of design, quality workmanship, attentive customer service and value-for-money, allowing the company to strongly build its own loyal following (Giordano 2008). Though the four brands Giordano Ladies, Giordano Concepts, Giordano and Giordano Junior are constantly profitable, the weakness is that Giordano has a limited range of products and that consumers may grew tired of the existing concepts.3) Muji Ryohin Keikaku, better known as Muji, is an outgrowth from The Seiyu, Ltd. In becoming a separate brand, Muji develops range of apparel, household goods and food that takes pride on being functional, simple and of high quality.Literally means no brand, the over 700 Muji products observes the philosophy of simplicity. Primarily purporting an individualistic and diversified lifestyle, Muji follows three processes that is said to be the reason for proving good quality products at lower prices. These are selection of materials, streamlining processes and simplification of packaging.The companys emphasis on preventing materials wastage and improvement of essential product quality as well as time and labor optimisation are the key in achieving operational effectiveness and efficiency. The selection of materials is a very important stage for Muji where suitable raw materials are the main concern. Bulk buying is a strategy wherein quality is the indispensable criterion, underpinning the possibility of producing high quality, low prices products. Thereby, the weakness is on changes in demand and supply of raw materials. Standards at manufacturing stages are also under close scrutiny in order to eliminate waste and reduce cost. When it comes to packaging, Muji sticks to the simplicity philosophy, bearing only product related information and the price tag (Ryohin Keikaku Co., Ltd.).International Competitors4) Gap Gap, Inc. and United Colors of Benetton are the two international competitors for UNIQLO. Gap, Inc. has been officially incorporated in 1988 as a global specialty and outlet store which offers casual apparel, accessories and personal care products. Gap, Banana Republic, Old Navy and Piperlime are the four primary brands. As a way of building the value of the brands, Gap is very fastidious with brand development, ensuring that value will be integrated from product design to distributi on onto marketing, merchandising and shopping environments. The strong point of Gap is its continuous commitment in enhancing the brand in fact, Gap has an intensive portfolio of brands covering classically styled, high quality, casual apparel at moderate prices for virtually all ages. However, the weakness is on inventory turnover. Emphasising style, quality and good value, Gap embraces a shopper friendly environment where store facades vary depending on selling season, size and location of the store. Just like UNIQLO, Gap is never threatened of closing under-performing stores and expanding and remodeling existing stores (Gap Annual Report 2006). 5) Benetton A global clothing brand which is based in Treviso, Italy, the name Benetton originated from the Benetton family who founded the company in 1965. Now in existence in over 120 countries, Benetton started with only 5 stores in 1979 which were bounded to reach 800 stores today. The 5, 500 network of contemporary stores worldwide ar e the reason for generating a total turnover of 2 billion euro. devise apparel is the core business wherein quality, style and passion through the brands such as United Color of Benetton, Sisley, Playlife and Killer Loop are the main concerns. conflate energy, colors and practicality, Benetton offers a portfolio of products for men, women and kids. The strength is in its innovation and IT integration in producing 160 million garments annually. At Benetton, superior product quality is achieved through committing every stage of the production process with innovation and creativity. The weakness is on the tendency for incoherent diversification (Benetton website 2008). Common to all the competitors of UNIQLO, either domestic or international, is the international expansion strategy known as the judo strategy or the conscious decision to move rapidly into new markets where there is uncontested ground.(Hilburt-Davis 2002), and providing the best value of money based on distinct brands. Product differentiation, low cost production and gateway market penetration like UK and the Mainland are other strategies that these competitors pursue, in the same way like UNQILO is doing. It is important that brands must conform to the needs of the customers of varying age structures and preferences and producing brands where value was mounted from the very first step. Quality and customer service are the main concerns, followed by style or design and functionality. Brand development and building brand awareness as well as the overall look of the establishment are also the priorities. Common also to Bossini and Gap is the closure of unproductive stores/outlets while Benetton takes pride in its IT integration in production. Bossini also engages in dual-branding in terms of marketing. Since it is also common to all of these competitors to conceptualised product portfolio, the weaknesses are on incoherence in diversifying the products, apart from inventory turnover and focusing on core markets. Typically, when these scenarios happen production will be affected and it would not be advisable for those companies which are into bulk buying especially that the styles are immediately paced out. For UNIQLO, the weaknesses of the domestic and global competitors could be reaped off as new strategies and the strengths could be manipulated as new advantages. The UNIQLO could be upgraded in opening flagships stores in every gateway market so as to equally diversify brands and gateway locations, catering to all forms of demographics. For UNIQLO, product mix and shopping spree would be plausible especially if it will come in bolder shades, with better quality and cheaper prices, but are manufactured based on forecasted demands. To take advantage of the opportunities that competitors impose, UNIQLO must also open its horizon into new product trends including the silver market and the plus-size market as part of the brand concepts. Although all of the competing companies inc luding UNQILO are into casual, everyday wear, what will set UNQILO apart from them is the potential of easy care clothing where fabrics are very fluid and/or wrinkle free. Internal AnalysisSWOT Analysis1) Strengths UNIQLO was deemed successful because of its commitment in divergence which supports the individuality of each family member as well as those with fashion-forward and edgy people. These products are of expected high quality because of the effective global materials procurement. Given this, UNIQLOs products are designed parallel with the customer requirements and worldwide markets trends. Voice of the Consumer (VOC) is one of the key in building the most effective brands. For UNIQLO, however, this is not enough, it should be joined with direct engagement in value chain process and doing it through a low-cost, quality-driven manner. In the post production stage, it is also important for UNQILO to obtain effective distribution management and inventory control. UNIQLO is an ex pert in store development thereby efficient store operation in addition.2) Weaknesses Japan and Fast Retailing are devoted in simple, functional clothing with minimalist clothing details rather than cutting edge, extravagant clothing. This is the mark of UNIQLO, but could also be its major weakness in penetrating fashion-oriented places such as London, Paris and New York whereby fashion element of UNIQLO products are very limited. Another weakness is that UNIQLO belongs to a multi-layer distribution structured industry distribution digestibility is hard, leading to clogging in distribution inventory. UNIQLO is also originally designed for low-end consumers and that they will face a head-to-head competition with all kinds of market such as high end, high street, ethical consumers and cut-price shoppers when operating abroad. In some places, profitability is largely determined by the opportunities of retail season like back-to-school and holidays. In both cases, UNIQLO must already ac quire the necessary managerial and operational competences prior to establishing a presence in these places but in the case that UNIQLO would not be able to tap on being responsive enough to these threats this will impact the business results.3) Opportunities Belonging to an industry where fashion and apparel market trends are unending, UNIQLO is operating in a global business where companies direction and business activities are always expanding. Globalisation provides the apparel industry with grater simultaneity with the help of technology, facilitating the exchange of information with speedier level. Because of interdependence, free trade zone has also seen as profitable because fashion, textile and apparel markets became borderless. While also making larger profits, UNIQLO could invest in social influence or its corporate social responsibility. Whats left for UNQILO is to grab the opportunity of a faster information and knowledge transfer from these locations through a full for ce IT integration including the customers. The teenager market is also another opportunity the UNIQLO could exploit since this group is very meticulous in value shopping and they have preferences of where to shop and how to shop.4) Threats Changes in economic conditions, changes in consumption trends and intense competition are just three of the treats that UNQILO, and all other apparel firms, is currently facing. Foreign currency affects the business conduct of UNIQLO because of the locational position of the operations. Johnson and Scholes (2002) relate that strategic positioning is an imperative in realising the strategic capabilities of organisations. UNIQLO has a geographically dispersed operation fashion designers are in Tokyo, New York and Paris, garnering first hand information in fashion trends manufacturing departments are in China where cheap labors reside headquarter is still in Japan which takes responsibility in strategic decision making. Labor and materials could fluc tuate depending in the performance of yen comparable to US dollars. In events that the economy of either one of the mentioned locations drifts, UNIQLOs operation will be shaken. In addition, the apparel industry where UNIQLO plays as a major player is contaminated with customers influences where the possibility of switching brands is always a possibility. Conclusion Described as the equivalent of Gap, UNIQLO is increasingly becoming known in the global apparel industry. UNIQLO continued to be a brand of preference because of the quality, simplicity, functionality and cheaper prices of the merchandises. Although UNIQLO is politically influenced by CEPA and US-China memorandum, UNQILO invests only on opportunities that are profitable, advantageous and will purport the continuous geographic expansion of the company. UNIQLO has an advantage when it comes to individual spending basically because clothing is a basic need. While at it, however, UNIQLO must not ignore the social aspects of doing business which is to provide people empowerment when it comes to giving to the government through tax. The company is also committed in enhancing customer service through acquiring the VOC. Entering the apparel market is relatively easy however, new entrants must face the challenges of building brand awareness and coping with the emergences of new trends. There are at least five major rivals for UNIQLO Bossini, Giordano, Muji, Gap and Benetton. All these rivals are involved in continuous product differentiation since, depending on the fashion trends, substitutes could instantly emerge. Because of the SPA model, UNIQLOs processes are inherently rare sense of ownership in process responsibilities is the key. The pile em high, sell em cheap concept, as well, is an attribute unique to UNIQLO. In sum, the prevalent strategy at UNIQLO is the continuous domestic and global expansion and low cost production and management, achieved through continuous strengthening of the already repu table brand, ownership of processes, obtaining the VOC, sound distribution and inventory control and efficient store operations. To evaluate, the current strategies of UNIQLO are providing the business with immense profitability and growth. However, UNIQLO already has a record of mistake in focusing more and prioritising international expansions thus botheration the reputation of the company specially in terms of managerial capacity, expertise and competence. There remains the fact that the products lag behind the quality of the products generated from the fashion centers of the worldwide considering that designers are already in that places. A fact also is that UNIQLO has an immature experience curve in aspects of global market penetration. Shutting down of 16 of the 20 stores in the UK in 2001 and 3 stores in New Jersey are clear-cut evidences of the incompetence on the side of UNIQLO. Global integration be to be futile especially because UNIQLO is easily shaken up by global eco nomic changes. UNIQLO admits that the closure of the New Jersey stores is because of the recent recessions and investment drifts in the US. In the UK, stores faced closure because of the failure to recognise the consumer preferences of Britons, which are very different with that of Asians and Japanese per se. There are two recommendations for UNIQLO Asian market integration and establishment on an online shopping site. The first centers the idea that UNIQLO is an Asian product and must be initially offered to Asian consumers. The appreciation of Asian consumers, though they also vary depending on individual cultures, would be much higher compared to that of the Wester
Subscribe to:
Posts (Atom)