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mondetta everywear case study.. General organization case study

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updated 1 year ago

Mondetta everywear (mondetta means ‘small world’) is a Canadian clothing company founded in Winnipeg, Manitoba by brothers Raj and Amit Bahl and Ash and Prashant Modha, in the year 1987. At the moment they've started the business all the brothers-friends had been undergraduate students. They started as a local clothing store in the family house’s basement and after several years they've had a solid local business. At the beginning of the 1990s, they've decided to expand their company and enter the U.S. and European market. The phenomenon of this company is that they’ve begun as a garage garment shop and have become an international closing brand.

As the company was growing, its organization was transforming according to the market terms. At first, Mondetta offered the clothes they’ve produced for selling to the independent stores. Some of these stores were considered as trend setters while others were just cloning the style brought in by others. Mondetta guys hoped to set a new trend through the local stores but although their production was original, these local trade points couldn’t buy clothes in large quantities, plus, neither selling volume nor early payments couldn’t be granted. So the company embarked the way of chain stores (regional and national). Besides, you could see Mondetta clothes in the department stores even though the demands for that were very high. They required a strictly set volume, desired prices, and early payment discounts. Markups on the cost for casual clothes reached 50 per cent with volume and early payment discounts up to 5 per cent each.
Both through the independent and department stores Mondetta entered the U.S. market despite the high competition. Once they’ve managed to present their products in Bloomingdales. Nordstroms and Macy’s, they’ve strengthened their reputation and earned the customers’ trust.

Mondetta’s strategy is focused on the product originality rather than on the saturation of the market. For now, they have shifted focus to corporate accounts and private label customers, maintaining retail ties with a select number of stores. Mondetta services national curling association and golf teams.
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