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Case Study, 2 pages (500 words)

Levi strauss canada holdings an ember: the gwg brand case study

The jeans market in Canada is extremely competitive. Since the late 1980s, GWG jeans have fallen out of favor with younger target markets, and as a result, market share has dropped considerably. For all intents and purposes, GWG is barely even on the radar screen.

Both Levi’s and GWG brands have been affected by the popularity of designer label jeans, private label jeans, and new trendier brands such as Wrangler and Rustler, which is made by VF Corp. The question in had is “ What should Klee do?”  Should she take the approach of taking back the brand from Jack Spratt Manufacturing Inc. or not? In my opinion Klee should take the brand back. The purpose of this summary is to explain why Klee should take the brand back and the recommendation for the next steps to be taken to build the brand back up. Why should Klee take the brand back? GWG has always been an integral part of the Canadian heritage.

The Great Western Garment Company opened in 1911, becoming the first jeans wear company in Canada. This is a great point for GWG jeans to capitalize on. The brand was built on quality—they were durable jeans reasonably priced. GWG was the first brand to use pumice to stonewash jeans. The baby boomers are familiar with GWG jeans as it was introduced when they were teenagers and GWG has the opportunity of coming back to the market by changing the target market to the baby boomers.

Secondly, the image of GWG is more positive and “ workman-like” than its competitors. GWG jeans are worn mainly by men in construction, trucking, farming and similar occupations. The brand appeals to the comfort and durability needs of its customers, who are generally over the age of 35. Durability factor has given a competitive edge to the GWG jeans, which they should capitalize on. RecommendationsUsing the information provided if you create a perceptual map one of the conclusions I can come up with is to “ serve the unnerved markets”. What I mean by that is, with GWG jeans being considered durable in the market place, target the “ workman like people” for the GWG jeans sale.

If the target market is “ workman like people” they should start selling their jeans in discount department stores such as Wal-Mart and Zellers, along with a host of smaller, regional chains stores and independent retailers. A sales promotion incentive needs to be activated in order to secure these distribution channels. The price range should remain $29. 99 to $34.

99. Secondly, invest money on R ; D to come up with new styles, to understand the Socio cultural elements such as trends, taste, styles to fit the bodies of the current generation. Also, GWG should concentrate on positioning a brand for the females. Thirdly, as the GWG jeans were popular with the baby boomers, GWG will need some form of marketing communications support to reacquaint and reconnect baby boomers with the brand.

Lastly GWG will need to connect with the needs of the people and will have to create an aggressive marketing plan.

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