Situation Analysis

SITUATION ANALYSIS

2.0 Situation Analysis

2.1 Market Summary

2.1.1 Target Market

The target market for EmEn© products is mainly for the students and the campus community. However, anybody affected by the budget cuts would be the larger market. The majority of students do not always have the financial means to spend money for clothing wear. EmEn© will sell their products for a reasonable price. The flip flops will be positioned as something that can be worn all throughout the year. Wearing EmEn© products signifies one’s participation in the movement that disapproves budget cuts in education. EmEn© products will aim to advertise and sell their products at a discounted price for student population. By adding on the college’s logo to the shirt, the style presents a unique look to their campus that will also promote a small competition between various colleges.

2.1.2 Market Demographics

Age: 16-35
Gender: Male, Female
Family Size: 1-2

Family life cycle: Young, single or married, with or without children
Income: $10,000-$30,000
Occupation: K-12 school teachers, college professors, and students
Education: High school and above
Race: Asian, Hispanic, African-American, Caucasian

Generation: Generation X, Millenials

2.1.3 Market Needs

Expresses style and individuality

2.1.4 Market Trends

Casual shoes (this includes flip-flops) account for 52% of the shoe market. The global branded footwear market will rise through 2011. A prediction of about 3.7%.

Customers around the world are heavily influenced by the image that a brand portrays and, as a result, leading companies are carrying out a number of wide-ranging initiatives to strengthen and re-position their brands. These initiatives range from launching new products and new advertising campaigns to selective sponsorship and brand placement. Consumer retention remains a vital factor for footwear companies' continued success, and a market position can be improved or lost depending on customer numbers. Brand equity of products is becoming - and will continue to be - one of the most important factors affecting consumer purchasing decisions.

2.1.5 Market Forecast

As the economy is rock bottom right now, demand for high quality footwear produced in Europe and other parts of the world are expected to slow down. This means that people will look for medium to low priced shoes. EmEn© flip flops would fall into the lower priced category. This is a good sign for EmEn©. EmEn© will be able to produce low cost flip flops for a low price.

2.2 SWOT Analysis

2.2.1 Strengths: One of the strengths of Team C’s EmEn product line is it provides a positive situational factor. It is for a good and noteworthy cause. EmEn is non-profit. The proceeds will be given to support a cause; it will support the students of NSC. The public may be more open and receptive to buying the products. The prospect of being involved in a protest for a cause related to them (the students and public) may present an encouraging factor to participate.

2.2.2 Weaknesses: Some students and faculty were raised in a household or culture where school was an event to dress nice for. Such students and faculty may feel that the flip-flops and t-shirts are too casual for them. They may choose not to participate based on this factor. To counter this, the team should develop some less casual items.

2.2.3 Opportunities: Students are always in need of book-bags, writing utensils, etc. for school. This presents an opportunity for the team to create other items to support this theme. Also, as mentioned in the evaluation of the weaknesses of Emen, the team could delve into the less casual market. Another opportunity exists in the geographic climate conditions. Since it is getting close to being summer, it will be getting a lot warmer. Baseball caps to block the sun may present an opportunity. Other products to consider include tank-tops, sunglasses, and water bottles. These are all based on factors in the external environment.
Food should be available at the event, as should refreshments. The executive summary mentions wristbands to support causes. This presents another opportunity to reach more of the target market. When purchased in bulk, the wristbands are generally inexpensive to order and customize. Thus, they can be resold at a low price. Students on a budget may be more open to this smaller purchase.

2.2.4 Threats: Students are typically on a budget. Getting students to spend money may pose a problem. Also, the team will be competing against other businesses, such as fast-food restaurants, for a share of the students’ budget.
Regarding the event that is to take place, the team needs to make sure no other events in the community will be competing for attendance. Also, as is mentioned in the analysis of opportunities, food and refreshments should be offered at the event. If food and refreshments are not made available, students will have to leave for such items and may choose not to return to the event.

2.3 Product/Service Offerings

2.4 Keys to Success

2.5 Critical Issues