SWOT SkyWest Analysis
Strengths
Wide geographic coverage
Gap operates primarily through franchise, company-owned stores and online stores, all of which allow for global expansion (C-167)
Significant online presence
Gap offers its customers user friendly online platform, website which is easy to navigate and view new styles or purchase products online (C-167)
Variety in brands, price points and value
Gap offers four different brands, at various levels of value, upscale brands and value priced apparel. By offering different brands with different price points, it allows Gap to cater to a variety of different target markets (C-158)
Weaknesses
Dependence on outside vendors
Gap does not manufacture its items. Most of its products were manufactured by 79 independent vendors located in 60 countries (C-167) Only 3% of the company’s products were produced domestically with a remainder outside the US.
Low productivity in 2010
Gap reported a decline in sales in 2010 fiscal year ($14,197 mln in 2010 vs. $16,023 mln in 2007 *C-156)) Gap experienced rapid decline in comparable-store sales (C-155) which is adversely affecting the growth of the company. Furthermore, sales in general continued to decline across all of it chains (C-170)
Opportunities
Growing market for plus size apparel for women in the US
The market for women’s plus size clothing had grown to 34% of the population by 2008. The plus-sized segment had become $27 bln segment within the industry by 2010 (C-159)
Expanding presence in key growth markets
Through a franchise agreement with Brand Republic Pty.in 2010, Gap obtained the exclusive rights to operate Gap Brand stores in Australia (C-170);
Gap announced plans to open first stores in China and Italy in 2010 (C-170);
Plans to launch online businesses in Canada and UK (C-170);
Threats
Weak consumer spending in U.S
Poor economic conditions in the United States, weak consumer confidence which dropped by 10 points between May and June2010 triggers low consumer spending in the nearest
Wide geographic coverage
Gap operates primarily through franchise, company-owned stores and online stores, all of which allow for global expansion (C-167)
Significant online presence
Gap offers its customers user friendly online platform, website which is easy to navigate and view new styles or purchase products online (C-167)
Variety in brands, price points and value
Gap offers four different brands, at various levels of value, upscale brands and value priced apparel. By offering different brands with different price points, it allows Gap to cater to a variety of different target markets (C-158)
Weaknesses
Dependence on outside vendors
Gap does not manufacture its items. Most of its products were manufactured by 79 independent vendors located in 60 countries (C-167) Only 3% of the company’s products were produced domestically with a remainder outside the US.
Low productivity in 2010
Gap reported a decline in sales in 2010 fiscal year ($14,197 mln in 2010 vs. $16,023 mln in 2007 *C-156)) Gap experienced rapid decline in comparable-store sales (C-155) which is adversely affecting the growth of the company. Furthermore, sales in general continued to decline across all of it chains (C-170)
Opportunities
Growing market for plus size apparel for women in the US
The market for women’s plus size clothing had grown to 34% of the population by 2008. The plus-sized segment had become $27 bln segment within the industry by 2010 (C-159)
Expanding presence in key growth markets
Through a franchise agreement with Brand Republic Pty.in 2010, Gap obtained the exclusive rights to operate Gap Brand stores in Australia (C-170);
Gap announced plans to open first stores in China and Italy in 2010 (C-170);
Plans to launch online businesses in Canada and UK (C-170);
Threats
Weak consumer spending in U.S
Poor economic conditions in the United States, weak consumer confidence which dropped by 10 points between May and June2010 triggers low consumer spending in the nearest