BestLady: An Analysis Of Internal And External Factors And Strategic Recommendations For Success

Background of BestLady

Discuss about the Sustainability Transition in Global Trade.

BestLady is a local firm specialized in classic female apparel .dating back to 1996, the firm operated as an outlet branch of the then-booming Lee Garments Fashion design that has since rebranded and a new name and ownership. After strategically carrying out its operations in the region for six years, the Best lady became profitable enough and it was then that the firm commenced its own fully functioning but specializing in own range of female wear Amran et al, (2016)

Having known the rules of the game, the company rose quickly and by 2005, it was enjoying slightly over 50% local market in the women wear. Despite the company’s ignorance of social media for at least two years, the firm was doing very well but later on had to venture into online advertising to keep up with the market trend.

Strategy, as explained by Johnson and Scholes, refers to the scope and path taken by an establishment over a long-term Carpenter et al (2014).  The plans and the objectives enable a achieve advantage for the company via its resources’ configuration in an unsupportive business environment, to the aim of winning the stakeholders trust and meeting market demands. Concisely, the business asks itself concerning where it is headed and how to get to their destination, the way to exploit the internal factors that are in favor to an organization to suppress the destructive external factors. This research aims at examining the BestLady’s both internal and external factors using the business strategy models of SWOT analysis, External Factor Evaluation (EFE) Matrix PESTLE analysis, Boston Product Matrix, Internal Factor Evaluation (IFE) Matrix and provide appropriate recommendations thereafter Aithal, (2016).

Bestlady’s mission is to be our customer’s best fashion choice. The vision is to help our customers prosper in an enabling environment. The goals and objective of the firm include being profitable, remain competitive and benefit its clients, the community as well as itself.

Bestlady’s vision statement requires some enhancements to address what the firm stands for and the strategies put in place to attain the goal in the coming years of its operation. The organization’s mission statement is effective for the firm’s activities approaches surely make the firm its clients’   vogue center choice Janys (2016).

The business needs a vision statement that exhibits its growth and sustaining its women wear market. The mission statement should reflect Bestlady’s products and the way its clients benefit from them.

BestLady’s Rise to Success

New Bestlady’s vision statement could be like; to make viable fashion ordinary. We trust this as our long-term growth path for our organization.

To attach vitality to fashion. We satisfy every season’s glamour, design, and trends that enable women to feel perfect and get more out of their cash.

BestLady and its rivals have the same opportunities. The fashion field dictates that to win, a business needs to act fast in exploiting the opportunities.

Sustainability is one opportunity that BestLady has. In the fashion field, endurance concentrates on season, trends and quality for determinant factors. BestLady can produce new fabrics that match its design. The business can do the mass production like for big institutions or events. Engaging in such events and exploitation can build the company’s brand image and hence go on in winning the customer loyalty Lindgardt et al, (2009).

Diversification is another opportunity for exploitation for BestLady business. In order to reduce the risk of getting defeated, the firm can diversify its operation by venturing into production of men’s wear. Investing more in the opportunity of producing wedding dresses is another strategy Yan et al (2015).

Trendy innovation is another opportunity that the firm can engage by investing in research and development. To boost Bestlady’s competitive advantage can be achieved through investment in R&D.

The existing threats in the vogue industry have the capacity to lower Bestlady’s ranking as the top fashion firm in the region. The threats against the company are economy related although the rivals’ institutional activities also exist.

Rising raw materials prices overtime means the organization to set high prices for its commodities, which means expensive clothing on the shelves. The customers however apart from looking for quality, they also go economical meaning buying cheaper wears. BestLady needs to continue producing quality and trendy designs and invest more in customers’ satisfaction and retention strategies Evans et al (2017).

Another threat of new entrants is what the firm has to deal with. Although it has won the loyalty of any of its customers, BestLady needs to do more regarding customer services and employee satisfaction to avoid being knocked out of the business. Aggressive competition from the peer organizations should not be brushed away.

The external environment holds a very important place critical role in deciding the future of individual businesses and the entire industry. Executives must suit techniques matching demands continually in order to keep the business prepared to compete and survive hard times. Carrying out an external analysis at the beginning of the technique reconsideration process is a very critical practice Dickson (2017). First, you need to converge as a team for a PEST analysis process. The team’s gathering will result in getting your business’ environment synopsis; the environment is threatening and supporting factors, and the problems that will need attention in the set techniques. As the discussion rolls on, all the factors brought forward by the team relating to the political, economic, social, and technological conditions Bîrsan et al (2016).

Understanding Strategy and Business Environment

Critical evaluation of the political, economic, social, technological, legal and environmental factors surrounding BestLady will enable business strategy option taken by the firm to be clear. From the political perspective, BestLady needs to be satisfied with Supply chains efficiencies. The firm’s ability to take care of the customer’s needs is an instance of the supply chain. Any political unrest is it affecting the business either directly or indirectly will surely affect the firm’s operations.

The fashion enthusiasts, the Bestlady, face considerable issues economically. Market penetration is considerably high in some regions, which call for BestLady to consider entering into the new markets

In the Social aspect, BestLady a very strong market status with the brand consciousness of high levels. The fashion design market seems to increase youth wise and the firm has observed this keenly with appropriate actions taken

Furthermore, a social analysis, which entails demographic issues, culture, education, environmental consciousness, class structure, health and entrepreneurial spirit as the primary considerations in a business environment, also plays a big role. Putting in mind that those values and attitudes of the employees are drawn religion, family, and social institutions ought to be considered also Khachatryan et al , (2015). Such values go a long way in determining workforce views regarding the change, risk-taking, success, achievement motivation, work, use of time and competition, the other thing is technological analysis, where discussion involving the recent technological advancements, their impact on cost and value chain structure together with the rate of technological diffusion will be of great importance

Bestlady CPM
	Bestlady	lee Garments fashion and design	Ken knit Apparels
Critical Success Factor	Weight	Rating	Score	Rating	Score	Rating	Score
Market share	0.16	4	0.64	2	0.32	2	0.32
Number of outlet branches	0.12	4	0.48	3	0.36	2	0.24
Frequency of purchases	0.05	3	0.15	4	0.20	2	0.10
Design	0.06	3	0.18	2	0.12	3	0.18
Reputation of Product brand	0.05	3	0.15	3	0.15	2	0.10
Distribution channels	0.12	4	0.48	2	0.24	2	0.24
Convenience	0.11	4	0.44	2	0.22	3	0.33
Marketing capacity	0.06	2	0.12	3	0.18	3	0.18
Total	0.73	–	2.64	–	1.79	–	1.41

BestLady has over time-improved technology wise enabling it to lead in the fashion and design technology fronts. The company’s ability to be proactive in innovation has secured the admirable Bestlady’s market position, in spite of the unsupportive environment.

 As far as Bestlady’s legal aspect is concerned, the firm has gone through dark moments especially between its staff and the executives. The gender laws have seen the company find itself in battling grounds due to the variance in males to female employees in the organization. Meeting the ISO standards for its procedures and personnel has proved difficult and so the firm needs to be critical when it comes to legal matters Rossmann and Brockes (2015).

Environmentally, issues relating to sustainability and climate have had fundamental considerations in the strategy of the firm. The stress put on corporate responsibility by BestLady is enough proof of environment conservation Delgado and Pedauga (2017).

SWOT Analysis of BestLady

The CPM is model used to check the capability of the set strategies for an organization to achieve its goal Akhlaghpour and Lapointe (2018).

BestLady EFE Matrix
Chief External Factors	Weight	Rating	Weighted Score
The Opportunities
1. New entrant fashion and design  arises	0.03	1	0.03
2. A technology further enhances e-.commerce	0.14	3	0.42
3. New and untapped market  on wedding dress specialization.	0.06	4	0.24
The Threats
1. Fierce competitive rivals rising  with much force	0.05	2	0.1
2. putting too much on single product specialization	0.06	3	0.18
Total	0.34	–	0.97

BestLady IFE Matrix
Chief  Internal Factors	Weight	Rating	Weighted Score
Strengths
1. Brand reputation valued at $3 billion	0.09	4	0.36
2. Extensive distribution channels	0.05	3	0.15
3. Proficient employee management	0.03	2	0.06
Weaknesses
Over-dependence on single product	0.13	2	0.26
Too low net profit margin	0.06	2	0.12
Total	0.19	–	0.95

BestLady IFE Matrix
Chief  Internal Factors	Weight	Rating	Weighted Score
Strengths
1. Brand reputation valued at $3 billion	0.09	4	0.36
2. Extensive distribution channels	0.05	3	0.15
3. Proficient employee management	0.03	2	0.06
Weaknesses
Over-dependence on single product	0.13	2	0.26
Too low net profit margin	0.06	2	0.12
Total	0.19	–	0.95

The overall combined strategy choice by BestLady will be based on its internal factors in relation to its external factors. Concerning the firm’s strengths, BestLady’s only and celebrity brand is its best advantage. The business even stresses on using its own brand when an opportunity for subsidiary comes through Ketikidis et al, (2015). BestLady also enjoys a wide and innovative product and service ranges. The Company’s brand is undoubted, its prime internal strength, which has been efficiently used in getting BestLady an additional market share. It also enjoys an excellent employee management together with extensive distribution channels Bull et al, (2016)

However, BestLady weaknesses are directly connected to its strengths. The whole of the company’s achievements are drawn from its famous brand hence destructive event touching on the brand will bring the company to its knees. Unsatisfactory net profit margin due to the high production costs Comino and Ferretti (2016).capable of exploiting the ever-changing technology via e-commerce platforms Lambini et al (2016). New entrant fashion designs especially the highly innovative ones have hinted on shooting the organization’s ranks even higher hence are considered the possible opportunity for the women’s wear specialists. The untapped markets of mass production and specializing in weddings dresses offer an additional opportunity for BestLady Rauch et al, (2016).

Threats can never be missed in the fashion market. Strategic rivals are ever entering the fashion and design markets then chopping off the limited market shares. BestLady risks losing a lot by trusting its single product investment. Any slight blunder by the management or even the workforce would mean its peril Linder and Williander (2017).

The first counsel for the firm is elucidating the products, services controlled externally, and those managed locally. The external merchandising usually set the plans and regulations for the internal marketing operations means that the internal market dictates its success this can be done through strategic marketing, effective planning and budgeting, research techniques, and massive marketing campaigns on social media Bryson ( 2018).

Secondly, apprehension of needs of the immediate market then establishing a collaborative bearing is very important. The far located or international markets operation should not overshadow the local markets’ needs. Creation of both markets is however advisable Smink et al, (2017).

Product-focused management is another strong recommendation for BestLady. The executive should concentrate more on producing quality wear as that is the organization’s stronghold.  A leadership that is oriented in developing products will always make sure it does anything in its power to have all best ideas and resources directed to the product Nelson et al (2018).

External Factor Evaluation (EFE) Matrix

In addition, there is a need to establish and make friends with the external marketing schemes in good time. Seek the immediate feedback making sure there are no legal barriers that can turn problematic Hashemi et al (2017).

The next council is managing the firm’s campaigns ruthlessly based on an effective project planning. Hiring personnel to deal with campaigns at all fronts to oversee communication and coordination and ensuring everyone understands his/her responsibility to avoid missing deliverables and related misunderstandings. Other considerations include planning ruthlessly, considering the business seasons, proper communication and remembering to keep records and being flexible Utami and Lantu (2014).

Concerning the opportunities, the BestLady firm will need to exploit its internal strengths to take advantage of available opportunities. The threats will be dealt with via maximizing on the business to minimize them. Weakness will be improved on by taking advantage of the opportunities and working by the firm will eliminate weakness hence avoiding threats Jiangdong et al (2018). The marketing issue forecasted is bitter competition due to the ever emergence of similar business. To address the influx of similar firms, which will create more competition, quality products, improved customer service and incentives together with the frequent advertisement will give the BestLady the competitive edge against its rivals. The results expected is positive and as a successful on Fierro and Haddud (2018).

The procedures can be through examining an organization’s underlying base by developing revised EFE and IFE matrices, comparing the companies expected to the actual outcome or results and lastly strategy devaluation can be performed via identifying restorative activities that will keep the performance in check as per the original plans Mastler et al (2013).

Conclusions

The BestLady approach focused on premium branding and quality women’s wear is a strong business strategy. Top and fashionable design ability together with its high-quality garments has been the backbone for BestLady’s achievements. The firm’s rapid development through calculated strategies is the root cause of Bestlady’s market penetration, winning clients and sustaining their loyalty to the firm. The emergent issue for the organization has been to keep its reign in the fashion. This, as well as high prices for the raw materials required in production and aggressive competition, has been considered high-risk threats for the organization.   BestLady still ranks top brand in women’s apparel due to its informed business strategies. The strategic executives and determined approaches have shaped Bestlady’s fierce and continued success in the women’s wear, something failed by its competitors.

PESTLE Analysis of BestLady

Aithal, P.S., 2016. Study on ABCD analysis technique for business models, business strategies, operating concepts & business systems.

Akhlaghpour, S. and Lapointe, L., 2018. From Placebo to Panacea: Studying the Diffusion of IT Management Techniques with Ambiguous Efficiencies: The Case of Capability Maturity Model. Journal of the Association for Information Systems, 19(6), pp.441-502.

Amran, A., Ooi, S.K., Mydin, R.T. and Devi, S.S., 2015. The impact of business strategies on online sustainability disclosures. Business Strategy and the Environment, 24(6), pp.551-564.

Bîrsan, A., Shuleski, D. and Cristea, C.V., 2016. Practical Approach of the PEST Analysis from the Perspective of the Territorial Intelligence. Ovidius University Annals, Series Economic Sciences, 16(2).

Bull, J.W., Jobstvogt, N., Böhnke-Henrichs, A., Mascarenhas, A., Sitas, N., Baulcomb, C., Lambini, C.K., Rawlins, M., Baral, H., Zähringer, J. and Carter-Silk, E., 2016. Strengths, Weaknesses, Opportunities and Threats: A SWOT analysis of the ecosystem services framework. Ecosystem Services, 17, pp.99-111.

Bryson, J.M., 2018. Strategic planning for public and nonprofit organizations: A guide to strengthening and sustaining organizational achievement. John Wiley & Sons.

Carpenter, M., Johnson, G., Whittington, R., Scholes, K., Angwin, D. and Regner, P., 2014. Strategic Management: Pearson New International Edition: Concepts and Cases. Management, 17(1), pp.99-22.

Comino, E. and Ferretti, V., 2016. Indicators-based spatial SWOT analysis: Supporting the strategic planning and management of complex territorial systems. Ecological Indicators, 60, pp.1104-1117.

Dickson, T., 2017. How to Brand and Market a Fashion Label: New lifestyle brand 48.

Delgado?Márquez, B.L. and Pedauga, L.E., 2017. Environmental behavior and MNEs: a strategy pulled by stakeholder engagement. Business Strategy and the Environment, 26(7), pp.927-939.

Evans, S., Vladimirova, D., Holgado, M., Van Fossen, K., Yang, M., Silva, E.A. and Barlow, C.Y., 2017. Business model innovation for sustainability: Towards a unified perspective for creation of sustainable business models. Business Strategy and the Environment, 26(5), pp.597-608.

Fierro Hernandez, D. and Haddud, A., 2018. Value creation via supply chain risk management in global fashion organizations outsourcing production to China. Journal of Global Operations and Strategic Sourcing, 11(2), pp.250-272.

Hashemi, S.M., Samani, F.S. and Shahbazi, V., 2017. Strengths, Weaknesses, Opportunities and Threats (SWOT) Analysis and Strategic Planning for Iranian Language Institutions Development. Journal of Applied Linguistics and Language Research, 4(2), pp.139-149.

Janyš, R., 2016. An Analysis of the Marketing Communications Mix of the Czech Company Elektro Euro Plus in order to Increase Competitiveness.

Jiangdong, B., Johansson, J. and Jingdong, Z., 2017. Research on the Sustainable Development of Mining Industry OHSAS18001 Based on IFE and EFE Matrix. International Journal of Engineering and Technology, 9(6), pp.485-491.

Khachatryan, V., Sirunyan, A.M., Tumasyan, A., Adam, W., Bergauer, T., Dragicevic, M., Erö, J., Friedl, M., Frühwirth, R., Ghete, V.M. and Hartl, C., 2015. Search for a standard model Higgs boson produced in association with a top-quark pair and decaying to bottom quarks using a matrix element method. The European Physical Journal C, 75(6), p.251.

Linder, M. and Williander, M., 2017. Circular business model innovation: inherent uncertainties. Business Strategy and the Environment, 26(2), pp.182-196.

Lindgardt, Z., Reeves, M., Stalk, G. and Deimler, M.S., 2009. Business model innovation. When the Game Gets Tough, Change the Game, The Boston Consulting Group, Boston, MA.

Matzler, K., Bailom, F., Friedrich von den Eichen, S. and Kohler, T., 2013. Business model innovation: coffee triumphs for Nespresso. Journal of Business Strategy, 34(2), pp.30-37.

Nelson, V., Rueda, X. and Vermeulen, W.J., 2018. Challenges and opportunities for the sustainability transition in global trade (Introduction). Business Strategy and the Environment, 27(2), pp.173-178.

Rauch, P., Wolfsmayr, U.J., Borz, S.A., Triplat, M., Krajnc, N., Kolck, M., Oberwimmer, R., Ketikidis, C., Vasiljevic, A., Stauder, M. and Mühlberg, C., 2015. SWOT analysis and strategy development for forest fuel supply chains in South East Europe. Forest Policy and Economics, 61, pp.87-94.

Rosemann, M. and vom Brocke, J., 2015. The six core elements of business process management. In Handbook on business process management 1 (pp. 105-122). Springer, Berlin, Heidelberg.

Smink, M.M., Hekkert, M.P. and Negro, S.O., 2015. Keeping sustainable innovation on a leash? Exploring incumbents’ institutional strategies. Business Strategy and the Environment, 24(2), pp.86-101.

Utami, R.M. and Lantu, D.C., 2014. Development competitiveness model for small-medium enterprises among the creative industry in bandung. Procedia-Social and Behavioral Sciences, 115, pp.305-323.

Yan, J., Xia, F. and Bao, H.X., 2015. Strategic planning framework for land consolidation in China: a top-level design based on SWOT analysis. Habitat International, 48, pp.46-54.