Giordano Case Holdings Inc
Using the SPADE method, analyze Giordano Holdings Limited, Inc. Case
SITUATION
Jimmy Lai was born into poverty in Guandong, China. He was exposed to many western retail businesses that encouraged him to join the retail market himself. He thought of using a pizza parlor name to open his clothing chain. Lai founded Giordano in Hong kong in 1981.
Giordano’s success is measured by the company’s relentless focus on its five corporate business values of quality, knowledge, innovation, simplicity and service. The company has its own apparel manufacturing division where many of its own clothing styles are produced. Giordano is also renowned for its basic and practical men’s, women’s and children’s T-shirts and trousers, especially denims. In comparison, Giordano is very similar to the American based retailer The Gap. The product is sold under the brands of “Giordano”, “Giordano Concepts”, “Giordano Junior” and “Giordano Ladies”
Giordano’s first beginnings were gloomy. It originally targeted the upscale market of Hong Kong and sold exclusively only men’s casual apparel and with too high prices, as a result, they were unsuccessful. However, this does not hinder Lai to continue his dream and transform the company. Combining what he learned from other successful internationally acclaimed brands such as United Colors of Benetton, McDonalds and Marks and Spencers, Lai created and centered his attention on simple, high quality styles, available in different colors and sold in reasonable prices. This huge make-over was coupled with their emphasis on satisfying their customers. The formula seems quite successful and they regained their position across China and Hong Kong. Now, they even opened stores in nearby countries such as Singapore, South Korea, Thailand, Malaysia, Indonesia, Philippines and even in Middle East.
PROBLEM
Their efforts to provide a high quality clothing line for unisex customers with reasonable prices brought a new wave of competitors for Giordano.
SITUATION
Jimmy Lai was born into poverty in Guandong, China. He was exposed to many western retail businesses that encouraged him to join the retail market himself. He thought of using a pizza parlor name to open his clothing chain. Lai founded Giordano in Hong kong in 1981.
Giordano’s success is measured by the company’s relentless focus on its five corporate business values of quality, knowledge, innovation, simplicity and service. The company has its own apparel manufacturing division where many of its own clothing styles are produced. Giordano is also renowned for its basic and practical men’s, women’s and children’s T-shirts and trousers, especially denims. In comparison, Giordano is very similar to the American based retailer The Gap. The product is sold under the brands of “Giordano”, “Giordano Concepts”, “Giordano Junior” and “Giordano Ladies”
Giordano’s first beginnings were gloomy. It originally targeted the upscale market of Hong Kong and sold exclusively only men’s casual apparel and with too high prices, as a result, they were unsuccessful. However, this does not hinder Lai to continue his dream and transform the company. Combining what he learned from other successful internationally acclaimed brands such as United Colors of Benetton, McDonalds and Marks and Spencers, Lai created and centered his attention on simple, high quality styles, available in different colors and sold in reasonable prices. This huge make-over was coupled with their emphasis on satisfying their customers. The formula seems quite successful and they regained their position across China and Hong Kong. Now, they even opened stores in nearby countries such as Singapore, South Korea, Thailand, Malaysia, Indonesia, Philippines and even in Middle East.
PROBLEM
Their efforts to provide a high quality clothing line for unisex customers with reasonable prices brought a new wave of competitors for Giordano.