University of Jaffna, Sri Lanka Department of Human Resource Management HRM 4131: Strategic Management Assignment No: 2 Group No: 9
GROUP MEMBERS Name
Signature
1. Janani.E
2010/BAD/091
…………………
2. Kenijude.
2010/BAD/092
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3. Niroshan.S
2010/BAD/093
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4. Vidyasaagar.S 2010/BAD/094
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5. Thushanthini.A 2010/BAD/095
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6. Vanuji.A
2010/BAD/096
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7. Vinthuja.M
2010/BAD/098
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8. Kajanthy.S
2010/BAD/099
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9. Arunapriya.
2010/BAD/101
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CONTENTS 1. introduction
2. External Analysis
3. Internal analysis
4. Possible Strategies
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Introduction. Sri Lanka’s biggest fashion chain with its 21 branches located island wide is dedicated to offer maximum customer satisfaction to its clientele with the latest in fashion and design.
Mission
To be the biggest retail fashion chain in Sri Lanka, providing a variety of quality products at an affordable price for the whole family, with excellent value added services and thereby winning the trust and confidence of customers to become a household name in Sri Lanka.
Founded
1992 Products Fashion
Gents Wear
Ladies Wear
Teenage Wear
Kids Wear
Home linen
Accessories
Bags
Shoes
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NOLIMIT FASHION STORES SWOT analysis for Sri Lanka’s biggest Fashion chain – NOLIMIT External analysis Opportunities 1. The Arapaima Loyalty Program Honored with an International award at the Asia Retail Congress 2012 will lead to enhance the reputation.
2. Availability of quality cloth suppliers domestically with competitive price leads to deliver their values to the customers.
3. Having an existing customer population of more than one million is a basement for their growth of sales.
4. High social recognition due to the social commitments which are done by the organization leads to minimize the external pressure group activities.
5. Nolimit online market offers the ability to greatly expand their business, can market to a much wider audience for relatively little expense.
6. New product can help to expand their business and diversity their customer base.
7. New technology helps Nolimit to better meet their customer’s needs with new and improved products and services. Technology also builds competitive barriers against rivals.
8. Finding strategic towns or cities as location depend as per R & D used market area.
9. Outstanding shopping experience will lead to repeat business
10. Dedicated management team and their employees are most valuable asset, not just a staff member; the progress of the company is dependent on their employees 5
Threats 1. In clothing industry there would be around 150 outlets operating island wide by ODEL, Fashion Bug, CIB and ASB etc. this chain of outlets will make direct competition to the organization.
2. Number of issues regarding ethnicity is emerging in Sri Lanka due to the religious views and this will be damaged to the company's reputation.
3. The fashion industry is changing day by day and it is hard to forecast the future requirements of the customers. Perhaps this may leads to drop down the sales.
4. International competitors are numerous and difficult to combat, because they can have many competitive advantages that give them an advantage over Nolimit
5. Intense completion can lower nolimit’s profits, because competitors can entice consumers away with superior products.
6. Consumers can change their tastes very quickly. Nolimit depends on knowing which goods and services consumers want.
7. The availability of substitute products hurts nolimit’s ability to raise prices, because customers can easily switch to another product or service.
8. Cost and effectiveness of marketing to women and children
9. Day to day changing life style with fashion and designing
10New retail fashion and design apparel membe rs may or may not be enter into the industry can bring more high Competition in the industry
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Internal analysis Strengths 1. Ownership of 20 stores locates in various places in Sri Lanka in different names (e.g. NOLIMIT show rooms, Glitz, Pallu, Y PAY MORE or the discount shops) 2. Over 1500 staff motivated by team spirit. 3. Matrix organizational structure which supports to the success in the cooperate world. 4. Availability of efficient back office operations to provide customer friendly environment. 5. Training and development of soft and hard skills for employees and Employee empowerment leads to make an effective work force. 6. Seamless and dedicated commitment of all divisions in the organization. 7. Wider product range which includes evening wear, casual wear, formal wear, party wear, ethnic wear, beach wear and night wear. 8. Experience and understanding of the fashion and designing industry 9. Great downtown locations 10. Retail offering clothing and accessories for men, women and children at any age. 11. Providing a variety of quality products at any affordable price for the whole family. 12. Unique shopping experience with exceptional customer service through; Internally well trained staff/ human resources.
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13. A strong supply chain helps Nolimit obtain the right resources from suppliers and delivery the right product to customers in a timely manner. 14. Lower costs lead to higher profits for Nolimit .A low cost leader can undercut rivals on price. 15. Unique products help distinguish Nolimit from competitors. Nolimit can charge higher prices for their products, because consumers can’t get those products elsewhere. 16. Customer Loyalty: When given a choice, customers are loyal to Nolimit Instead of targeting all customers, Nolimit only needs to target new customers in order to grow their business "Customer Loyalty (NOLIMIT )" will have a long-term positive impact on the this entity, which adds to its value 17. Brand Name (NOLIMIT); A strong brand name is a major strength of Nolimit This gives Nolimit the ability to charge higher prices for their products because consumers place additional value in the brand. 18. Shopping at NOLIMIT, Glitz and Pallu is a pleasurable experience because of the effort that is made to continuously improve standards. Improvements in both quality and quantity are a given, thanks to initiatives such as an expansion of outlets, adding exchange counters, lounge areas, gift-wrapping counters, parking facilities and so on. 19. The company has contributed to society by renovating and maintaining wards at five major hospitals: the National Cancer Institute in Maharagama, Kalubowila Teaching Hospital, Lady Ridgeway Hospital, De Soysa Maternity Hospital and Negombo General Hospital.
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Strength
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Weaknesses 1. Advertisements do not highly focus on price of their products to attract middle and lower level income earned people.
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2. Lack of online job applications opportunities compared to other competitors.
3. Online Presence (NOLIMIT) The online market is essential for displaying information and selling products. A weak online presence can result in lost opportunities for Nolimit.
4. Large market, it is women
5. Lack of ideas to make price decision as per affordable price in unavoidable circumstance also missing analyze on it.
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Strategies 1. Become leader in new fashion and designing innovation 2. Surpass competitors in quality or product performance 3. Provide a superior customer service to gain the mission and reach the vision. 4. Through the sales growth and the costs cut make an investment to another new branch 5. Locate the showrooms in economically and educated developed areas. 6. The best prospects of the company as currently a rapidly growing organization. 7. The progress of the company is dependent on their all employees strategically. Because,
NOLIMIT feels; If, No employees – No sales If, No sales _ No profit If, No profit _ No company Strategies are having major targets or end results. Those results are related to the long-term survival, value and growth of the NOLIMIT. 8. Top management focused on staff training and coaching, rewarding smart working and loyal employees at every level. Participative management is one of the most popular approaches used by executives to gain employee’s input and ensure their commitment to strategy implementation.000lo9kiiiiihy7
A bi-monthly in 11
Members Contribution
12
