Perceptual

In: Business and Management

Submitted By malhotratiz
Words 3497
Pages 14
Executive Summary

The main objective of this report was to make Non- Profitable business into profitable one. My friend was running a business of retail shop of travel luggage products comprises of travel bags, uprights, accessories etc., where he was losing invested money as well the interests that he put to make his retail shop work successfully. One of the major factor behind failure of his business was lack of relevant directions which was missed and could not deliver the desired results for the success of business.

This story is about my friend who was in a struggling phase for generating profits in his recently opened Luggage Retail store, the store was going through huge loss and was in a situation to get it closed in next 6 month of operation. As an advisor I went through his core business by using strategic marketing tools consisting of Porter’s 5 forces, positioning maps, strategic marketing grid to analyse the reasons for failure, using horizontal opportunities and untapped demand strategic tools to ascertain the treatment. I believed that by using such techniques and strategies, we could turn the loss making business into successful and highly profitable business.

Launching of a retail shop in highly competitive retail industry is quite difficult because of large investments and infrastructure is involved. Lack of dedicated floor staff, availability of products, visual merchandising were another factors which contributed relevant role in making this business suffering the loss.

So we decided to layout the issues and remedies to overcome the problem that store is presently suffering through. By taking a different route in changing the current image of the store with the help of increasing the product line and defining the category specifically could actually help the store to revamp and begin generating profits and growth.…...

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