Research paper about lululemon Example | Topics and Well Written Essays - 500 words - 2

About lululemon - Research Paper Example The industry also has many established players such as Nike, Adidas, and GAP inc. among others. Economic factors such as increasing production costs and regulated prices across political jurisdictions are significant. Legal provisions such as intellectual property laws and political environments such as trade policies are also significant (Forgeon, et al. 38, 40). Delta Galil is one of the major suppliers. The supplier is established, with about 10000 workers and annual revenue of about one billion dollars. This suggests stability of the suppliers whose clients include Lululemon’s major competitors such as Nike. Eclat Textile company is another of the suppliers, has high revenue level and deals in Lululemon’s competitors. Workday INC is another major supplier. The suppliers are stable and deal with Lululemon’s competitors, a factor that suggests fair supplier powers, but Lululemon only commands a limited percentage of the suppliers’ revenues, and this limits its bargaining powers (Forgeon, et al. 25, 26). Lululemon’s distinct product design is one of its strengths ans allows it to develop brand image. The design also aims at establishing product quality and therefore develops a competitive advantage. The attained high quality also allows for price increase towards greater profit margins. Short lifecycle that ensures faster product inception is also strength and allows the company to respond to possible dynamic changes in the market. Research and development that focus on data from customers’ opinions is strength and allows for immediate response to customers’ changing needs (Forgeon, et al. 18, 19). The company has limited partnerships in distribution of products and this is its major weakness. Apart from its retail stores, Lululemon only deals with clubs and studios, while partnerships with other stores and franchises could facilitate more revenues. The company has significant growth opportunities in North America and