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Anna Osmanay
Anatolia College –American College of
Thessaloniki (ACT)
GAP INC. – CASE ANALYSIS
(STRATEGIC AUDIT)
GAP INC.: BACKGROUND
 One of the American “leading international
specialty retailers”
 Offers apparel, accessories and p...
STRATEGIC AUDIT
Current Situation
Current Performance:
Net sales decreased by 8% compared to
2014.
 Gap Global: negative...
 Mission: “Gap Inc. is a brand-builder. We create
emotional connections with customers around the
world through inspiring...
Corporate Governance:
Board of Directors: responsible for oversight of the
business, affairs and integrity of the company,...
Fractions Weight
(Total: 1)
Rating Weighted
Score
(WS:3.15)
Strengths
Brand recognition .10 4 .40
Appeal to broad market t...
EXTERNAL ANALYSIS
Fractions Weight
(Total: 1)
Rating Weighted
Score
(WS:3.15)
Opportunities
Growth in online retail spendi...
RECOMMENDATIONS
 Better capitalize on its brand image and
Recognition.
 Gap also needs to realize the potential threat o...
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Gap Inc. - Case Analysis (Strategic Audit)

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The presentation analyses a case of Gap Incorporation. The Gap Incorporation is an international specialty retailer located in the United States. A strategic audit of the company is presented, as an internal and external analysis of the company's environment is necessary.

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Gap Inc. - Case Analysis (Strategic Audit)

  1. 1. Anna Osmanay Anatolia College –American College of Thessaloniki (ACT) GAP INC. – CASE ANALYSIS (STRATEGIC AUDIT)
  2. 2. GAP INC.: BACKGROUND  One of the American “leading international specialty retailers”  Offers apparel, accessories and personal care products for men, women, children and babies, under: Gap Banana Republic Old Navy Forth & Towe
  3. 3. STRATEGIC AUDIT Current Situation Current Performance: Net sales decreased by 8% compared to 2014.  Gap Global: negative 9 percent versus positive 1 percent last year  Banana Republic Global: positive 2 percent versus negative 10 percent last year  Old Navy Global: positive 3 percent versus positive 4 percent last year
  4. 4.  Mission: “Gap Inc. is a brand-builder. We create emotional connections with customers around the world through inspiring product design, unique store experiences, and compelling marketing.”  Purpose statement: “Our purpose? Simply, to make it easier for you to express your personal style throughout your life. We have more than 150,000 passionate, talented people around the world who help bring this purpose to life for our customers.”
  5. 5. Corporate Governance: Board of Directors: responsible for oversight of the business, affairs and integrity of the company, determination of the company's mission, long-term strategy and objectives. Top Management: A diverse and talented executive management team focused on executing Gap Inc. strategy to engage customers and maximize shareholder returns
  6. 6. Fractions Weight (Total: 1) Rating Weighted Score (WS:3.15) Strengths Brand recognition .10 4 .40 Appeal to broad market target .15 5 .75 Large network of physical stores .15 5 .75 Marketing campaigns .10 3 .30 Cut 9 months production cycles to 3 months & customize deliveries .10 3 .30 Weaknesses Struggle to recapture customers who had abandoned it .10 1 .10 Decline in revenues .15 2 .30 Overdependence on North America .05 3 .15 INTERNAL ANALYSIS
  7. 7. EXTERNAL ANALYSIS Fractions Weight (Total: 1) Rating Weighted Score (WS:3.15) Opportunities Growth in online retail spending .10 4 .40 Line extensions (accessories, baby wear) .15 5 .75 Markets in Southwest Asia .20 3 .60 Launch of Piperlime .10 3 .30 Threats Shoppers switched to rival clothing retailers .20 3 .60 Increased competition .10 2 .20 Remarkably easy to imitate .15 2 .30
  8. 8. RECOMMENDATIONS  Better capitalize on its brand image and Recognition.  Gap also needs to realize the potential threat of European companies’ expansion into the United States and Canadian markets.  Further strategically restructure its product range by increasing its lineup of plus sized apparel.
  • YoungSoonYi

    Feb. 11, 2019
  • bmoreybless

    Mar. 5, 2016

The presentation analyses a case of Gap Incorporation. The Gap Incorporation is an international specialty retailer located in the United States. A strategic audit of the company is presented, as an internal and external analysis of the company's environment is necessary.

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