The body Shop strategic analysis
Title: The body Shop strategic analysis
Category: /Business & Economy
Details: Words: 5348 | Pages: 19 (approximately 235 words/page)
The body Shop strategic analysis
Category: /Business & Economy
Details: Words: 5348 | Pages: 19 (approximately 235 words/page)
The Body Shop International
CASE ISSUES:
Market Saturation/Loss of Sales (CI#1) - Growth Strategy is no longer working for The Body Shop. Their store growth has diminished since the mid-1990s, and by 2002 the company's profit was shrinking, and sales were not growing proportionally to the rapid expansion of stores. Having entered a retrenchment phase, they need to focus on profitability without rapid expansion.
Is Anita Gone? (CI#2) - Though Anita Roddick stepped down
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activist/corporate image can lead to a broader market segment now, and will make it easier to transition to a more prestigious brand placement.
THEN
Turnaround
Once the benefits from the current strategy (increase in profit, stability) shift have been achieved, the company should complete it's image change and turn to an all-natural, but socially neutral company. With a more innocuous reputation, the company can focus on shareholder value and compete with the mainstream market.