Industry History
From a historical analysis, Texas is one of the cities whereby fashion, lifestyle and trend have been highly regarded. As a result, many people from other cities in the neighboring areas such as Houston have always regarded the city for its high regard to fashion. At the same time, considering that this is one of the cities that developed over time as entertainment spots, this developed a high attraction for fashion in the city. At the same time, the nineteenth and the twentieth centuries recorded high levels of fashion fairs in the city. This is one of the factors that have led to development of fashion and trend in the city. This has catapulted the desire for development in the latest trends globally. At the same time, one of the most essential factors to note concerning the city is the residents themselves. Most of the people who live in the city have migrated from other regions across the world, and are high and middle income earners, who are interested in their appearance, glam and the latest in the fashion industry. This is the reason why establishing a fashion oriented store in Texas is one of the most profitable ventures that an entrepreneur can step into. At the same time, this is one of the reasons and factors that encouraged us to establish a store in the city.
From an analysis of the market and its performance, one of the most outstanding outcomes is the fact that clothes and other beauty products are some of the products that have maintained a high and consistently growing demand for the past 76 years. This is one of the reasons that have encouraged many people and particularly entrepreneurs in the field to venture in this field and establish boutiques and clothes stores across the city (Wilson, 2006).
By establishing our store, some of the factors that catapulted the move were the increase in the demand for luxury clothes and ornaments in the city by over 56% across the city, following an analysis that was conducted in the city between 1980 and 2010. At the same time, considering that this is one of the periods that recorded very high entry of foreigner into the city who finally settled in the town, most of the customers, therefore, which are in this case the target market, prefer imported clothes and ornaments, mostly to go with cultures from which these residents come from. At the same time, considering the fact that Texas is a tourism city which encompasses other factors such as fashion shows, fashion fairs and lifestyle trends, importing of clothes is one of the most essential aspects to consider when establishing a boutique in the city, and this is one of the most essential aspects that we have put into consideration, making us one of the leading stores in the city.
Preliminary Strategies
There are various preliminary strategies that the corporation should achieve in order to begin its operations, and these include the following.
- The corporation needs to get financiers and loaner institutions that will fund it on grants and loans. This is because establishing our services in the city of Texas is one of the most essential steps, considering the city is highly competitive. A large capital is needed therefore the company needs to identify where to raise its capital from.
- Repayment strategy- It will be necessary to establish the payment strategies that we will use to repay the loans to our funding institutions. This is necessary in order to determine and understand how our corporation will work, in terms of budgeting. This will help in creating an impression of the company to the lenders.
- Specific locations- It will be necessary to ascertain the specific locations that we seek to establish our stores across the city. The most ideal locations are an uptown and a downtown store, in order to access all the customers.
Having established these preliminary strategies, the next thing will be the actual strategizing, especially in the sale of the products, as well as promotion. This will take the following steps.
Market Identification
Brand awareness is one of the most essential things that we will focus on, and this is only achievable by identifying the specific target market to which we seek to push our products. At the same time, it is necessary to note that narrowing down the targeted market to the specific market to which we seek to push our products is the most essential thing. This is because it will not only be cheaper when we start the actual marketing and promotion of products, but also easier to establish and ascertain the amount of expenditure that might be used in the process. Therefore, it becomes easy in budgeting and forecasting.
Production Promotion
The most effective strategies should be used in promoting the products. This is because it will not only minimize on the cost, but also identify the most applicable and realistic ways through which we will let the market know about our products. The most effective means through which we will promote our products is through the use of social media, print media and the internet. By using the internet, we will promote the products through our official website. At the same time, the use of fashion and trend magazines, particularly those within the city, is the most effective and affordable means to use in promoting our products (Keller, 2003).
Implementation
In our implementation strategies, a number of preliminary steps will be put into consideration.
- Contract signing- It will be necessary to sign a contract with the financiers on the repayment methods and the strategies that we will apply in repaying the loans.
- Two stores will be established in the city, one in the downtown part of the city, while the second one will be established in the Texan uptown. This is to ensure that all customers gain access to the boutique.
- A concrete pricing strategy will be introduced, for all the products depending on their demand as ascertained from past performance of the same. A pricing strategy is necessary because the different products will have different performance in the market. At the same time, this is what will highly determine other factors such as profitability.
- Labor- Labor is a very essential tool to consider. Considering the fact that there are two stores that will be established, this means that it will be necessary to break down labor and management of the stores as two different entities. However, elements such as training, recruitment and hiring of new employees will be conducted under the umbrella of one human resource management desk.
Implementation of the above strategy includes identifying the most ideal print media in the city that is not only financially ideal, but also the most popular media through which women, being the target market, can be accessed. At the same time, establishing our services on our website will be necessary, because linking the website page with social media websites such as Facebook, Twitter and Flickr among others is the most essential thing to do because through linking the website with social media, the target market, which is in this case the young people, will be interested to check out the details. At the same time, active promotion on the ground is necessary, for example through road show and workshop promotions (Keller, 2003).
The goals of Rowalian Gallery are to improve its customer satisfaction and to reduce its operation expenses, including the administrative and office expenses. If Rowalian Gallery is able to implement these strategies, then, it would be able to meet its main objective. The main goal is to attain a competitive advantage which will make the business to achieve industry returns, which are above average. So as to maintain more than 68% gross margin, to achieve more than 2,000 positive feedbacks from all our customers in a period of one year, the company has embarked on online customer segmentation. This will give the customers a ground to express themselves and with the knowledge of their expectation the company will be in a position to satisfy them. In order to increase the annual sales to more than $1 million the company employs marketing itself through its website and has enabled the use of its stores at the website. So as to increase the business’s profit margins and to satisfy all our customers the company has worked hard to create impression of itself in the public. This has been done by use of the most popular service media in the society (Keller, 2003). The company’s main goal being to attain ultimate customer satisfaction from all our potential customers, the company directs its efforts more on building its image to the potential customer target groups. The Rowalian Company intends to launch its operations on May, 4, 2013 at its operating city, Texas.
