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Lululemon Case Analysis

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Lululemon Case Analysis
Lululemon Athletica, Inc.

Created by: Kelsey Davis
GBA 490-901
March 21, 2014
Table of Contents

Executive Summary
To: Laurent Potdiven
Chief Executive Officer
Lululemon Athletica Inc.
This report has been created with the intent to analyze the athletic apparel industry with a specific focus on Lululemon Athletica, Inc., further refered to as Lululemon. In this report you will find that the strengths and weaknesses of Lululemon’s current strategies and future goals are analyzed and compared to that of its closest competitors. In conclusion to the analysis, recommendations have been made to potentially guide Lululemon Athletica, Inc. in a positive direction in regards to its future endeavors. The following tools were used to examine Lululemon Athletica, Inc.:
An overview of Lululemon’s external environment
An evaluation of the competitive forces within the athletic apparel industry
An evaluation of the rivals within Lululemon’s industry and analysis of a strategic group map for athletic apparel industry
An overview of Lululemon’s internal environment
A S.W.O.T. analysis of Lululemon
An analysis of the key success factors within the yoga-inspired athletic apparel industry
An evaluation of the driving forces of change within this industry
An assessment of Lululemon Athletica Inc.’s current strategy
An analysis of Lululemon Athletica Inc.’s strengths, weaknesses, opportunities, and threats
A weighted competitive strength assessment of Lululemon Athletica Inc. and its two closest rivals in the industry
An assessment of Lululemon Athletica Inc.’s competitive advantage
An evaluation of Lululemon Athletica Inc.’s most recent financial results

The findings of this report show that Lululemon Athletica Inc. is in a niche market that is becoming ever more competitive. Although this is the case, Lululemon has been able to hold on to a majority of this niche market share due to its ongoing efforts to develop athletic apparel that



Bibliography: Morning Star, Analyst Price. " Lululemon is riding on a cyclical upswing, and we believe results will moderate in the long run.." Morning Star. (2011): n. page. Web. 21 Mar. 2014. . PricewaterhouseCoopers, LLP, ed. "Form 10-K for Lululemon Athletica, Inc.." New York Times. United States Securities and Exchange Commission, 03 Feb 2013. Web. 20 Mar 2014. . Thompson, Peteraf, Gamble, and Strickland. Crafting & Executing Strategy: The Quest for Competitive Advantage . Special Edition for University of Alabama. 19e. United States of America: McGraw-Hill Education, 2014. Print. Thompson, Peteraf, Gamble, and Strickland. eCasebook for Crafting & Executing Strategy: The Quest for Competitive Advantage . Special Edition for University of Alabama. 19e. United States of America: McGraw-Hill Education, 2014. 39-52. eBook. . Etrade Reference Pages: https://www.etrade.wallst.com/v1/stocks/fundamentals/fundamentals.asp?symbol=LULU https://www.etrade.wallst.com/v1/stocks/fundamentals/incomestatements.asp

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