1) Public image problems.
2) Public relations such as employee and customer issues.
3) Product quality and sourcing problems.
From my understanding, “Chip” Wilson who caused whole these issues and problems. 2-What would you recommend Lululemon to do next?
1) Image damage control:
Producing a lot of the items in low cost countries like China to obtain high operating profit due to low costs.
2) Narrow focus:
Expanding the items into the children and men customer as well as into fitness activities instead of just running and yoga.
3) Brand recognition and limited Geographic market:
Market chosen for expansion should be carefully selected to ensure the brand maintains because the
value of the brand itself is built on a cultural connection with its North American consumer base, it will be difficult to translate these brand values to other cultures in Asia and Europe without altering the brand’s meaning.
3-Where is Lululemon today? Have they recovered?
Lululemon should stay with the same strategy that they are working on it before.