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Analysis and Strategy Recommendation for Gap Inc.

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Essay / Research Paper Abstract

This 22 page paper examines the US firm The Gap Inc., looking at the situation of the firm, assessing the internal and external influences, the financial performance and the competitive position. A TOWS analysis is then used to assess potential strategies that could be used, the different options are discussed and a recommendation is made. The bibliography cites 10 sources.

Page Count:

22 pages (~225 words per page)

File: TS14_TEgapstrat.rtf

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Unformatted sample text from the term paper:

OF ISSUES AND OPPORTUNITIES 16 5. STRATEGIC POSITIONING 17 6. STRATEGY MATCHING 18 6.1 TOWS ASSESSMENT 18 6.2 STRATEGY ASSESSMENT 19 7. STRATEGY SELECTION 20 8. STRATEGY SELECTION 22 9. STRATEGY JUSTIFICATION 23 9.1 FINANCIAL PROJECTIONS 23 10. STRATEGY IMPLEMENTATION 24 REFERENCES 25 FIGURE 1 EFE MATRIX 7 FIGURE 2 FINANCIAL ANALYSIS 10 FIGURE 3 CPM MATRIX 15 FIGURE 4 BCG MATRIX 17 FIGURE 5 TOWS MATRIX 18 FIGURE 6 REVENUE PROJECTIONS 23 FIGURE 7 BALANCE SHEET PROJECTIONS 24 1. Introduction The company known as The Gap Inc is a clothing company that supplies specialist clothes for men woman children and babies. The company achieves this with its own brand as well as some subsidiary businesses units; namely Banana Republic and Old Navy brand names. The Gap brand include; Gap, GapKids, babyGap, GapBody and Gap Outlet (Gap, 2009). The company also includes a number of other brands including Banana Republic, Old Navy, a and two dedicated online brands; Piperlime and Athleta (Gap, 2009). Today this American company that has head offices in San Francisco company now has more than 3,100 spread across six countries; The United States, United Kingdom, Canada, France, Ireland and Japan and employs 134,000 people (The Gap Inc, 2009). The company was founded by Donald and Doris Fisher in 1969 starting with a single store. The company went to the stock exchanges in 1976, issuing 1.2 million shares. The company philosophy is shown the following year when the company launches its charitable foundation; The Gap Foundation (The Gap Inc, 2009). From this time forward we see a very clear growth strategy with carefully targeted acquisitions as well as organic growth. The first acquisition was in 1983 and coincided with the hiring of Millard Drexler as president (The Gap Inc, 2009). This acquisition strategy enables the company to extend into another fashionable ascot of the market, the purchase of Banana Republic ...

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