Essay, 2 pages (300 words)

Giordano case analysis essay

Giordano was founded in Hong Kong in 1980 by Jimmy Lai. It’s one of Asia’s most successful retailers currently operating in East Asia, South- East Asia and Middle East. The success of Giordano can be attributed to several factors such as providing excellent customer service, offering customer value for money, and understanding customer needs and wants. These attributes actually comprise the company’s competitive advantage. In addition to the competitive advantage other key success factors like stringent selection procedures, training of staff, operating efficiencies, extremely good inventory control and turnover, close integration of purchasing and selling functions, and short product development cycles are the reasons behind the growth of the company and enabling the company to gain its hold in the global market also supporting its growth strategy, global expansion. These success mechanisms also helped Giordano survive the Asian economic downturn and SARS crisis.

The product strategy that the company created was that of mid-priced, inexpensive yet contemporary looking outfits with value for money. This helped Giordanoin by gaining strong market foothold as a trendy unisex apparel outfit company. The company was successful in filling in the gap by being a decent brand and at the same time it was cost effective. The company always focused on quality of service.

The staff was proactive in not only helping the customers but also in knowing the customers tastes and preferences. If we look at Giordano positioning, the company holds a brand value in the eyes of the customers. Thus, if the company decides to reposition itself, it might end up losing what it has attained as it might create doubt or ambiguity amongst the existing clients. I feel that the company not only focuses in creating new clients, but maintaining focus in retaining the existing clients. Thus, the company must not try to change its positioning as it might end up losing its current market share in.


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