Assignment # 1 Roll# 10126006 Name: Awais Nawaz TSCM APT-304 Tasks 1. Identify Products range they deal in H&M brand deals in: • Assecories • Suitning for women& men • High volume fashion basics for men&women • Swimwear • Nightwear • Underwear • Ladies Footwear • Cosmetics • Childrenwear • Children apparel 2. Identify Customers (Consumers) H&M brand’s customers are: • Men • Women • Teenagers • Children 3. Identify Means of Competition (Why will consumer buy the products?? ) H&M retail stores have products that are High Fashionable & Quality at low prices.
H&M has advanced technology integration such as EDI, GPS and RFID. ? EDI: H&M stores used EDI system to check the availability of the product in other stores. ? GPS Technology: H&M has GPS technology, customers snap a picture of virtual articles of clothing and pinpoint a shopper’s location store where they did window shopping. ? RFID: H&M used RFID system to track its product inventory and real-time location acsess for products in warehouse. There are differnet competitors of H&M like: • • • • Express Zara NY&C Forever 21 1 • GAP 4.
Which are the infrastructure related aspects the company excels in H&M brand has its own distribution centre are quite good. H&M does not own any factories. Instead, clothes and other products are commissioned from around 700 independent suppliers, primiraly in Asia and Euorpe. H&M has 2200 retail stores operate in 40 countries around world. 5. Product sources Soureces of H&M brand are Asia and Euorpe. About two third of thier supplier have production in Asia. Asia product suppliers are: • • • • • • • China Compodia India Pakistan Indonesia South Korea and Sri Lanka.
The remaining suppliers are in Europe for the most part. They are: • • • • • • • • • 6. Turkey Italy Portugal Greece Bulgaria Romania Lithuania Poland and England. Supplier processes Suppliers for H&M Brands are; Full production, private brand and branded manufacture. Full production: • • Supplier buys all the material and is responsible for them. H&M gives design and product specifications to its suppliers. Private brand: • H&M supplier is responsible for quality and H&M retailer may return all faulty goods returned to them by the consumer. Branded manufacturing: • All Design is done by the H&M. • Marketing and Retailing are controlled by H&M. 7. Retail processes H&M has its own retail Outlets. A key ingredient in retailing success is the strength of a company’s distribution channels. In some markets H is collaborating with franchise partners, but franchising is not part of the general expansion strategy. 8. Brand retailer H is a brand retailer, becuase of the following factors: • • • • 9. It has its own product designs. Marketing Sourcing And Retailing. Product concepts
Product concept of H is that to offer high fashion and quality products at the best price, quality also means that the products must be manufactured in away that is environmentally and socially sustainable. 10. Marketing strategy H brand’s marketing strategy is Generating ‘Word of Mouth’ through ‘fashion and quality at the best price’ and other mediums such as: • • • • • • • • Outdoor advertising Direct market H Magazine Fashion blog: http://www. popbee. com/ Video advertisements Print advertisements E-marketing H own website (www. m. com). 3 11. Draw a Supply Chain Model Supply Chain Model Retailer’s Locations Africa(Egypt, Morocco) Asia(China,Japan, Saudi Arab, UAE,South Korea, Singapor, ThaiLand, Oman) North America( Canada, US) South America: Chile Europe( Germany, UK, France, Spain, Italy, Russia, Finland, Turkey, Switzerland, Norway, Greece, Poland) Distribution Network Own Distribution Network ‘Swedish’ Sourcing Locations Asia(China, India, Pakistan, Sout Korea, Sri Lanka) Euorpe(Turkey, Italy, Greece, Poland, England) 4