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Strategic Realities of Abercrombie and Fitch - Case Study Example

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The paper "Strategic Realities of Abercrombie and Fitch" states that the information management system needs an upgrade as soon as possible. The company capitalised on others’ strategic weaknesses, but it will not be long before the competitors can move into the market to gain lost grounds. …
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Strategic Realities of Abercrombie and Fitch
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Download file to see previous pages The lifeline of an organization has a close link with the organizational ability and power to innovate and re-innovate in order to keep the competitive advantage valid in the long run. The companies have to ensure that they find fresh streams of revenue on a regular basis so that they can keep their sales volume steady and intact over the passage of time (Badelt & Weiss, 1990). The companies have to deal with traditional and conventional needs and want of the customers in a new and inventive way. In the language of marketing, one can say that modern companies require fulfilling expectations of the customers by innovating in terms of finding new ways to satisfy them. The featured company did not innovate on an operational level, but they took their offering to a new level by making a tough and difficult decision of going global when the odds against them were simply overwhelming, to say the least. The company made a bold strategic choice of performing international market development (Auger, Burke, Devinney, & Louviere, 2003). The choice was valid, but it was risky, and that helped the company regarding tapping into the latent sources of revenue worldwide (Baron & Tang, 2011). The research effort lifted various sort of data and information about the company through running an internet search, and the net profit remained significant in the year of 2011. The abovementioned annual period was lucrative in nature because the company started to reap benefits and results of the decision that involved taking the business to the global level (Elenkov, Judge, & Wright, 2005). The domestic markets were not generating sufficient returns, and therefore, the company had to innovate with reference to the establishment of international outlets. The company was manufacturing sports and excursion goods, but they were not able to crunch significant corporate success in the opening years. Besides, the company was operating since 1892, and they decided that they did not have sufficient satisfaction from the level of profitability that the business was generating.  ...Download file to see next pagesRead More
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