Abercrombie And Fitch Case Analysis

Abercrombie And Fitch Case Analysis
Introduction
According to Keyton, organizational culture is "the set of artifacts, values, and assumptions that emerges from the interactions of organizational
members" (Keyton, 2014, p. 550). Over the past few years, past and potential employees of the clothing brand Abercrombie & Fitch (A&F) have taken
to the media to explain the negative organizational culture that exists within the company. The management values and company policies that create
this "image–obsessed culture" have led to multiple human rights lawsuits, which has damaged the reputation of Abercrombie & Fitch globally (Benson,
2013).
Statement of the Problem
Abercrombie & Fitch's corporate leaders have designed policies to mandate personal appearance, manifesting into a ... Show more content on
Helpwriting.net ...
Jefferies was successful in his pursuit and as a result, his exclusionary sentiment permeated the workplace culture of the organization at every level;
from the sprawling 300–acre headquarters in the woods of Ohio to each individual retail outlet. At the heart of this culture was the "Looks Policy",
an unforgiving guide to how employees should present themselves at work. This policy governed every aspect of an employee's appearance from the
number of times they rolled the cuffs of their jeans to the tone of their skin, which was preferably 'sun kissed'. Not only did this policy contribute to a
negative work environment where employees felt they were constantly being evaluated on the basis of their physical attributes alone, but it also led to
human rights violations wherein job applicants were denied employment on the basis of their race and/or religion. In a 2004 class action lawsuit filed
against the retail giant, several thousands of former A&F employees alleged the company discriminated against African–Americans, Latinos, and Asian
Americans in its hiring practices as well as its advertisements. The claimants also purported that non–white employees were frequently relegated to the
back–of–store tasks where they would not be visible to store patrons. A&F settled the lawsuit out of
... Get more on HelpWriting.net ...

Financial Analysis : Abercrombie & Fitch
Despite Abercrombie & Fitch's efforts to win back loyal consumers with their new rebranding initiative, the company continues to experience a decline
in annual revenue and dismal growth coupled with a poor return on investment, making it a risky investment option for potential shareholders.
According to the company's annual report, Abercrombie & Fitch saw a decline in revenue from $4,116.90 billion in February 2014 to $3,744.03 billion
in 2015 with fourth–quarter revenues falling nearly 14% to $1.12 billion (Abercrombie & Fitch 41). The company contributed its dismal report to a
decrease in the number of operational stores at the end of Q4 fiscal 2014, weak consumer demand for both Hollister and Abercrombie & Fitch, slowing
growth in ... Show more content on Helpwriting.net ...
The retailer announced their decision to continue a plethora of store closings after suffering a $63 million loss for Q1 of 2015, worsened by the fact
that their losses exceeded the expectations of market analysts (Investopedia). Following the absence of CEO Mike Jeffries as of June 2015,
Abercrombie's stock dipped to its nearly annual low of $19 per share. The company continues to increase promotional efforts while offering
uncharacteristic discounts in an effort to lure consumers back into their stores despite weakening profit margins. Abercrombie & Fitch has also
furthered its efforts to expand and improve its e–commerce site to develop a more user–friendly shopping experience in the wake of over 200 required
store closings nationally. While Abercrombie's Executive Chairman, Arthur Martinez, attributes the company's losses to a transitional phase that will
likely take several quarters to reflect results of their strategic efforts, analysts continue to suggest that its unlikely consumers will return to the brand
despite its new incentives (Forbes Contributor). Currently, Abercrombie's dismal annual report and small scale efforts to rebrand itself makes it a risky
investment option, albeit has potential to improve in the future given their focus on improving their online presence and providing a better return for
investors.
Despite Abercrombie executives'

Case Study : Abercrombie And Fitch
Abercrombie & Fitch has become a well–known clothing store in many household homes in the last decade whether it's from their various scandals or
their over–sex ads, everyone is familiar with this clothing brand. However, Abercrombie was not always the teen clothing store, when it first opened in
June of 1892, it targeted hunters and fishermen by selling hunting and fishing equipment and was originally called David T. AbercrombieCo. By 1904,
the company officially got its name of Abercrombie & Fitch when a portion was bought by the high profile lawyer, Ezra Fitch. This company was
once the "greatest sporting goods store in the world," (source) bringing in customers such as Teddy Roosevelt. Despite its success, the company filed for
... Show more content on Helpwriting.net ...
It is important to note that although A&F owns separate other companies including Hollister and RUEHL, this research will only pertain to the
effects this incident had on Abercrombie & Fitch. However, the question arises as to whether A&F's decline in the past years can be traced back
to a single event, the controversial statement, or whether it has been more of a continual process in which the demand for their product naturally
decreased due to changing fashion trends. Although Abercrombie & Fitch had it's peak years in the late 90s after the release of a hit song,
Summer girls, which featured their brand, 2007 will be the starting year to reference to during the change and years after the change. In order to
determine the equilibrium quantity and price of Abercrombie & Fitch during 2007, I used data covered in the annual report for A&F. In 2007,
Abercrombie & Fitch had a net sale of about $1,638,929,000. The average unit of retail sold for $34.43 and from there I was able to calculate the
quantity sold to be 47,601,771. This means that if in 2007 the company had supplied only this number of products for a $34.43 price, the market
would be at equilibrium. This had seen a 0% increase in the net sales from 2006. It is important to note that after 2007 began a recession from about
2008–2009. Therefore, I chose 2007 despite it being more than 5 years before 2013 since 2008 would not have accurately show the decrease in sales
due to the

Essay on Business Analysis: Abercrombie and Fitch
Being an upscale industry, Abercrombie and Fitch would appear to be a successful corporation. Although the company was once successful for a
number of years, it's apparent that there has been a significant decline in its overall appeal and how much revenue the company acquires each year.
With just over 1,000 retail stores in the U.S., Canada, and Europe, Abercrombie and Fitch has thrived to be one of the most avid corporate extensions.
While the company may be seeing the start to its decline, past years are proof that Abercrombie and Fitch have made a good name for themselves.
How does the industry operate one might ask? There are many sides to the coin when it comes to determining how this company functions, but let's
start with its... Show more content on Helpwriting.net ...
There are four divisions under Abercrombie and Fitch: AbercrombieKids (for younger kids), Hollister (for teenagers), Gilly Hicks (loungewear for
women) and RUEHL. These are considered "divisions" because unlike subsidiaries they do not operate on their own, but just act as branches under the
demand of the main industry. Although the industry operates all year round, Abercrombie and Fitch has two main seasons in which they bring in the
highest percentage of sales; fall and spring. One of the industries main weaknesses is the fact that they have a low industry ratio. Furthermore, one of
their issues in past years was being geographically impotent in their retail locations, but as mentioned before, this issue is declining due to the fact that
more locations are being opened worldwide. In effort to bring in consumers, Abercrombie and Fitch uses indirect strategies to attract and persuade its
customers. Large wall photos, uplifting techno songs, and dimmed lighting make for a relaxing ambiance to draw in its buyers. Apart from its in–store
attractions, Abercrombie and Fitch use commercial advertising, e–posts, and online music to bring in its consumers. With all of these unique strategies,
the Abercrombie and Fitch industry has been proven successful for over 100 years. The outlook for growth is risky considering this company is very
volatile, but if corrections are made to better the industry (i.e. expand

Comparison Of Abercrombie And Fitch
Analysis of competitive position, opportunities, and threats
Brand image– Abercrombie & Fitch brand image is not as strong as their top three competitors. I believe that the company decision not to adjust their
prices along with their marketing complain provided their competitors with an opportunity to capitalizes in promoting their brands throughout the retail
industry. Barbara Farfan (2016) stated that the company's decision not to adjust their prices during the recession", hindered Abercrombie and Fitch
Brand image while, other retail business such as American Eagle, took the opportunity to employ successful discount strategies that attracted customer
to their business.
Global Expansion– the Global Expansion of Abercrombie & Fitch has ... Show more content on Helpwriting.net ...
Moreover, I believe that the company should consider filtrating more international markets around the world. Furthermore, I also believe that their
opportunity to expand their online retail outlet would provide substantial benefits to the financial reports overall. The expansion of their E–commerce
initiatives will allow the company to target populations without having to establish physical locations in those areas. Forbes Magazine (2015)
"Abercrombie international store is about 85% more productive than a domestic store (in terms of revenue per square feet), which clearly indicates that
stores in lucrative international markets are good option for the company."
One of the biggest threats to Abercrombie & Fitch is the price disparity between their products and those of their competitors. Additionally, those
company such as Wal–Mart, Target, Amazon.com and other larger retailers are now selling products that are similar in design and material, at a much
cheaper cost to the consumer. Additionally, the threat of counterfeit products that are produced in countries such as China has also reduced the market
share of the company.
Additionally, the economic conditions where the company operates is another threat that must be evaluated by the company. Moreover, the decrease in
income generated will have a major

Abercrombie and Fitch Case Study
Abercrombie and Fitch Case Analysis
MGT625
April 11, 2012
Elizabeth Payne
Abstract Abercrombie and Fitch (A&F) is a typical mall front store. They have been in the business for a century and are not going anywhere.
A&F sees their fair share of mock items and lawsuits. However, through it all, A&F has made it to be successful, overcome threats, and open
similar chains to target a wider range age market.
Introduction Abercrombie & Fitch was founded in 1892 as a unique clothing store. Over the century in business they have made a distinct target
for young adults. The fashion giant specializes in apparel for ages 18 through 22. "The 118–year–old retailer has been acknowledged for operating a
top–notch internal ... Show more content on Helpwriting.net ...
16). That is no small feat for any company. A&F has also branched out into branding sub–chain stores such as Hollister and Abercrombie. These
stores reach the younger audience while still maintaining an image that is more suitable for that audience. Those stores have also flourished in their
own environment to gain consumer recognition and loyalty. A&F is able to create successful sub–brand operations that tap into other target
markets.
Greatest Weaknesses The greatest weaknesses that A&F has is that the economic downturn has forced consumers to tone down their spending
habits and give up non–necessary items like brand name clothing. This has been especially hard on online sales for A&F. The company's sales for
online items have been down and the profit margin is non–existent. This makes it hard to keep the online service available when it does not offer the
company with any profit. The lawsuits A&F face are not only because of suggestive advertising but because some view them as discriminatory
against minorities. Often A&F ads have a picture of white young adults. This is seen as that is A&F only target; white young adults. In 2005,
Abercrombie paid $40 million to a class of African–Americans, Asian Americans, Latinos and women to settle another workplace discrimination
lawsuit," (Casabona, 2010, para. 7). The company has been ridiculed and mocked for their practice, although that does not

Uniform Lawsuit: The Case Of Abercrombie And Fitch
3.1. Company Overview
Abercrombie & Fitch was founded in 1893. It operates as a specialist retailer of casual apparel. The company sells products ranging from knit and
woven shirts to jeans for men and women. Kidswear can also be bought at Abercrombie kids. The company targets different consumers from 7 to 22
years old. The company is operated worldwide. As of March 2, 2016, it operates in 754 stores in the United States; and 178 stores in Canada, Europe,
Asia and the Middle East.
3.2. Case Discussion:
During an interview conducted in Apr 2013, Mike Jeffery, from the Chief Executive Office of the renowned clothing brand was asked a question
regarding the fact that A&F (shortened version of Abercrombie & Fitch) refuses to sell products over a women's size 10. He answered:(Sozzi, 2014)
"In every school, there are the cool and popular kids, ... Show more content on Helpwriting.net ...
It is unethical for Mike to make an such a comment, that is on his standards but it is very inappropriate for social standard. The reason so, they did not
want their products to be worn by the homeless as Jeffries commented that A&F only go after "the cool kids".
3.2.1. Uniform Lawsuit
In 2002, several A&F employees filed a lawsuit against A&F in regards to the company forcing employees to purchase and wear the company's
clothing at work. In a settlement; A&F agreed to pay $2.2M to 11,000 workers employed from Jan 1999 to Feb 2002. The settlement stays until today.
Now, Employees at A&F are required to wear clothing that reflects the look of the company.
3.2.2. Asian Boycott
Early 2002, A&F presented printed t–shirt, which many Asian Americans claimed to be racist. Particularly, the shirt had a cartoon drawing of two
Asian men with a statement of "Wong Brothers Laundry Service. Two Wongs Can Make It White". It led to many Asian Americans refusal to purchase
A&F

Abercrombie And Fitch Mission Statement
Situational Analysis
Internal Analysis Abercrombie & Fitch is a popular retail clothing store whose headquarters is based out of New Albany, Ohio. It has become the
essence of privilege and casual luxury, made to fit the all American lifestyle. It is a specialty retailer that operates stores and direct–to–consumer
operations (New York Times 2014). In 1891David T. Abercrombiefounded Abercrombie & Fitch. It originally started as an expensive sporting good
shop selling various guns, tackle, clothes and shoes as well as many other sporting equipment. After years of expending to other large cities,
Abercrombie decided that it was time to tap into a different market, one that would include less expensive items and cater to more suburban households
(Britannica, 2014). ... Show more content on Helpwriting.net ...
This company now operates over 300 stores nationwide and sales everything from casual sportswear, jeans, outerwear, sleepwear, and accessories for
women, men and kids (New York Times, 2014). Per Abercrombie's mission statement " It is our mission to continue ore efforts to support human rights,
stand for and achieve diversity and inclusion, invest in our associates, give back to our communities, commit to environmental sustainability efforts and
make responsible business decision. We believe in advancing corporate responsibility within our company and our industry. We are passionate about
creating a stronger and more positive environment for everyone to enjoy" (Fitch,

Promoting Brand Loyalty at Abercrombie & Fitch
Promoting Brand Loyalty at Abercrombie & Fitch ch.6
Abercrombie and Fitch is an American retailer that focuses on casual wear for consumers aged 18 to 22. It has over 300 locations in the United States,
and is expanding internationally. The company also operates three offshoot brands: Abercrombie, Hollister Co., andGilly Hicks. The company operated
a post–collegiate brand, Ruehl No.925, that closed in early 2010.
The company operates 1,073 stores across all four brands. The A&F brand has 316 locations in the United States, four in Canada, one in London,
one in Milan, one in Tokyo, one in Copenhagen, one in Madrid, one in Paris, one in Brussels, one in Dublin, and one in Hong Kong. A&F stores
range from 6,000 to ... Show more content on Helpwriting.net ...
Net income from continuing operations was $79.0 million and net income per diluted share from continuing operations was $0.89 in Fiscal 2009,
compared to net income from continuing operations of $308.2 million and net income per diluted share from continuing operations of $3.45 in Fiscal
2008. Net income per diluted share from continuing operations included non–cash, store–related asset impairment charges of $0.23 and $0.06 for
Fiscal 2009 and Fiscal 2008, respectively. Net cash provided by operating activities, the Company's primary source of liquidity, was $402.2 million for
Fiscal 2009. This source of cash was primarily driven by results from operations adjusted for non–cash items including depreciation and amortization
and impairment charges. The Company used $175.5 million of cash for capital expenditures and had proceeds from the sale of marketable securities of
$77.5 million during Fiscal 2009.
The Company's Market Share may be Adversely Impacted at any Time by a Significant Number of Competitors. The sale of apparel and personal care
products is a highly competitive business with numerous participants, including individual and chain fashion specialty stores, as well as regional and
national department stores. The Company faces a variety of competitive challenges, including maintaining favorable brand recognition and effectively
marketing its products to consumers in several diverse demographic markets. And sourcing merchandise

Abercrombie And Fitch 's High Quality Merchandise
Abercrombie & Fitch
ANF
Abercrombie & Fitch is an American company founded in 1892 and is known for its high quality merchandise. Abercrombie & Fitch (ANF) has
developed from a sporting goods store that sold guns, fishing rods, and other outdoor activity goods to a top performer in the retail industry. ANF
continues to assess their financial situation and their marketing position as the firm continues to struggle to expand its brand with a high price margin.
The company is a successful retail brand in America; however, it faces challenges to expand its growth domestically and internationally, and issues with
brand expansion.
The company portfolio consists of four chains that generate revenue from clothing and fragrance sales through ... Show more content on Helpwriting.net
...
With a strong economy, clothing firms expect an increase in demand, as there are no substitutes. However, in a downfall economy and a price
increase by one firm, will driver consumers to a cheaper firm. ANF has a market share of 3.3% in the retail apparel market and thus, isn't a major
player. Typically in this market, if a firm wants to grow, it must take away market share from its competitors, therefore, branding is a major driver for
revenue.
Due to high level of competition and a steady trend in growth, the specialty apparel industry experiences same sales growth due to the shift in
consumer preference if a firm increases prices. The Abercrombie & Fitch has few strengths compared to competitors. ANF has a strong brand
recognition, which gives it advantage in barriers to entry against new rivals trying to create an image for themselves. Its international growth, over
1000 stores globally, have helped increase revenue for the firm. However, the competitive market leaves little room for increasing price margins.
For example, it is understandable for a customer to leave an ANF store and walk into a competitor store and buy apparel at a cheaper price. As
competition grows, companies must spend more money in marketing to expand market share. ANF has seen tremendous growth, especially in 2005.
The industry has seen a growth of 26% in 2005, however, a 2% increase the following year. The strong performance in 2005 has given

Abercrombie And Fitch Vs. Fitch
Abercrombie and Fitch is widely known for placing their stores in high traffic shopping channels such as popular malls and plazas. A typical
consumer would most likely find one of the brand's main stores, Abercrombie & Fitch or Hollister Co., located in their local malls. Locating the store
and products are not issues for the average consumer, but it is when they step foot into an establishment, just pass by it, would be where the problems
arise. With the brand's peak in the early 2000's, stores were designed for the trendy target market of the time. Creating a "cool," environment with dim
lighting, extravagant dГ©cor and store fronts, upbeat music, and wall displays that would draw in "worthy," customers. While this may have worked
well for luring consumers before the recession, things have quickly led to a downward spiral after controversies continued to pile against this once
mighty brand. Through the ZMET research method, the consistent negative responses to provocative models on wall displays and advertisement. Many
questioned if Abercrombie & Fitch was trying to promote their merchandise or solely on who and what is acceptable to the brand. What used to
bring crowds into these stores have backfired due to society becoming more socially conscious and sensitive. This led to participants informing us that
they felt only people who looked a certain way are allowed to enter and were intimidated instead of feeling welcomed. The environment of all of the
stores under the brand

Abercrombie and Fitch
Abercrombie and Fitch: International expansion external and internal analysis Name Here Business Mgmt Name Here Date Here Executive Summary
This case study was identified to examine why international sales volume of Abercrombie and Fitch have increased over the past three years and to
recommend further international expansion to increase sales volume. The research draws attention to the fact that in 2009, the US stores generated
81.2% of Abercrombie and Fitch's net sales. The shares of international stores and direct–to–consumer net sales were very small in comparison. Over
the next two years the US stores decreased net sales percentages while net sales increased. Further investigation reveal that the US market shrinkage...
Show more content on Helpwriting.net ...
The company is headquartered in New Albany, Ohio with over 1000 stores in North America, European union and Asia and $4.1 Billion in net sales.
The organization has approximately 85,000 associates including part–time. In 2006 Abercrombie and Fitch launched the initial international expansion
with the opening of the London, England store. From that initial launch the company has successfully launched other international locations in Milan,
Italy and Tokyo, Japan as well as other locations in European union and Asia. In addition to these brick and mortar operations, Abercrombie and Fitch
have expanded its international reach with its online store capability. External Environment – General Political Any organization expanding its
operations internationally faces a number of political factors including: Government and tax guidelines, employment regulations, environmental
regulations, trade and tariff regulations and limitations, as well as other factors. Organizations that operate internationally need to review and ensure
that free trade agreements are in place for easier transfer of materials for the purpose of manufacturing as well as the distribution of the final inventory
for end sales. The majority of clothing manufacturing resides within Asia, Central America and South America. In these regions there are risks
associated with

Case Statement: Case Development: Abercrombie And Fitch
Case Development
Abercrombie & Fitch
Abercrombie & Fitch (F&A) is an American specialty retailer of upscale casual apparel. It was founded by David T. Abercrombie and Ezra H. Fitch
in New York City in year 1892. In year 2002, it moves to the new headquarters in New Albany, Ohio. (Advameg Inc., 2017) It holds three unique
lifestyle brands which are Abercrombie & Fitch, Abercrombie Kids, and Hollister Co. It engages in the retailing of casual sportswear apparel, graphic
t–shirts, jeans and woven pants, shorts, sweaters and outerwear, personal care products, and accessories ("Abercrombie & Fitch Co, ANF: NYQ
profile – FT.com," 2016)Youth market is targeted, but men and women of all ages like it due to its portrayal of youth. (Bhasin, 2016)In order... Show
more content on Helpwriting.net ...
Abercrombie & Fitch filed by nine young adults of color who accused that Abercrombie discriminates against African–American, Latino and Asian
American applicants and employees. They alleged Abercrombie refused to hire qualified minority applicants to work on the sales floor while
discouraging applications from minority candidates. The minority applicants only had given the chance to get low–visibility, back–of–the–store jobs,
stocking and cleaning up. The purpose of suit is asked the court order Abercrombie & Fitch to stop its discriminatory policies and practices, award the
plaintiffs and class members back pay and monetary damages. (NAACP Legal Defense and Educational Fund, Inc., 2003)The result of this suit is that
A&F had to pay $40 million for rejected applicants and employees who had sued the company for racial discrimination. Furthermore, the settlement
requires Abercrombie to increase diversity in hiring and promotions, as well as advertisements and catalogs, stop specializing in predominantly white
fraternities and sororities in its recruitment. (Greenhouse,

Abercrombie And Fitch : Swot Analysis
INTRODUCTION
Abercrombie and Fitch is a well known retailer of casual clothing with over 300 stores in America and 170 stores worldwide. It was founded in 1982
by David T Abercrombie and Ezra H Fitch. After being owned by the fashion firm 'The Limited' in 1999, the brand went public on the New York Stock
exchange.
Currently, Abercrombie and Fitch sells jeans, graphic t shirts, shorts, knit and woven shirts, outerwear etc under thebrand names of Abercrombie and
Fitch, Abercrombie kids and Hollister. The main competitors of the brand include 'Aeropostale', 'American Eagle outfitters 77 kids 'and The Gap Inc.
According to a survey by the 'Teenage Research Unlimited', Abercrombie and Fitch was regarded as the 6th coolest brand by the American kids
(Perman/Reynoldsburg, 2000).
Following are the SWOT and PEST analysis of Abercrombie and Fitch.
SWOT ANALYSIS
Strengths:
A great digital experience makes of breaks the firm as reflected by the Forrester Research (Sparrow, 2014). Thus a great strength of Abercrombie and
Fitch is being a direct to customer business, operating through 22 websites in 10 different languages, shipping to 120 different countries. In 2014, the
direct to customer operations represented 22% of the total net revenue (ANF annual report, 2014).
At the end of 2014, the company operated through 969 retail stores worldwide (Appendix A), increasing global recognition and future growth prospects
(ANF annual report, 2014).
Abercrombie and Fitch products

Abercrombie & Fitch, The Upscale Clothing Retailer Essay
Abercrombie & Fitch, the upscale clothing retailer known for its attractive sales assistant's and models used for stores and advertisements has a long
history of racism and sexism. Starting back in 2002, the company sold shirts that were racially insensitive to Asians, marketed thongs with sexual
phrases on them to pre–teens, and made men shirts that read "Female students needed for sexual research." These products were soon removed after
they caused controversy among parents and young women. The company then faced charges that its branding and hiring practices are discriminatory.
Their stores allow white people to work in the front while Asians, and African Americans work in the back. The company has been sued numerous
times for for religious discrimination and discrimination against handicapped customers. Abercrombie & Fitch also doesnt stock womens pants above
size 10, limiting their market to only slim and petite women.
The legal issue in this case is that Abercrombie & Fitch refused to hire potential employees based on appearances. The ethical issues in this case are
that Abercrombie & Fitch has a specific "look" that it wants its customers and employees to have and if they don 't have that "look" then they are
"excluded". While it is legal for companies to have a dress code, they cannot discriminate against others based upon looks. Abercrombie & Fitch "look
policy" went as far as dictating fingernail length, and hair color. Attorneys Bill Lee and Tom Saenz coordinated

Abercrombie & Fitch
Abercrombie & Fitch Co. ("A&F") a specialty retailer operates stores and direct –to–consumer operations through its subsidiaries. Incorporated in
Delaware in 1996, Abercrombie & Fitch Co. under the Abercrombie & Fitch, Abercrombie kids, and Hollister brands sells: casual sportswear apparel,
including knit and woven shirts, graphic t–shirts, fleece, jeans and woven pants, shorts, sweaters, and outerwear; personal care products; and
accessories for men, women and kids. The Company also operates stores and direct–to–consumer operations offering bras, underwear, personal care
products, sleepwear, and at–home products for women under the Gilly Hicks brand. A&F operates over thousand stores in North America, Europe and
Japan.... Show more content on Helpwriting.net ...
Company's return on assets (ROA) indicates what earnings were generated from invested capital (assets). Abercrombie & Fitch's ROA, Return on
Average Stockholders ' Equity, Comparable Store Sales increased respectively in 2010 from 0% to 5%, 0% to 8% and–23% to 7% compared to the
previous year. The current ratio on the other hand decreased from 2.73 to 2.5. Despite the decrease of its current ratio, Abercrombie & Fitch presents a
high current ratio which is a good indicator of its ability to meet its short–term obligation. Gross profit during Fiscal 2010 was $2.212 billion compared
to $1.884 billion during Fiscal 2009. The company's ROA shows that the business utilizing efficiently its assets. Abercrombie & Fitch presents
gross profit margin of 64% and 63.8% for respectively 2009 and 2010 which indicates that the company has a gross income of $0.64 and $0.63 for
each dollar of sales. A&F high profit margin indicates that they are a more profitable company that has better control over its costs compared to its
competitors where the average gross profit margin is 48.46% in 2009 according to Butler Consultants. The retail clothing industry had an average
gross profit margin of 48.46 percent in 2009 according to Butler Consultants. The decrease in the gross profit rate for Fiscal 2010 was primarily driven
by a 9% decrease in average unit retail, which was partially offset by a

What Is The Difference Between Abercrombie And Fitch?
Background:
David Abercrombie founded the company in 1892 in Manhattan as a hunting and fishing equipment store called Abercrombie Co.
Years later, Ezra Fitch a lawyer and wealthy customer purchased a significant share of the company. The name of the company officially changed in
1906 to Abercrombie & Fitch as a result of such transaction.
Owners disagreed on what they wanted to do in the company and a year later Abercrombie sold his shares. Fitch pivoted the focus of the company a
little. Abercrombie and Fitch besides selling sporting goods, also offered other general retail apparel including women's clothing starting from 1910.
The Great Depression of the 30's strike considerably the economic situation of the company. However, it thrived again soon after.
By 1960, the company opened new stores in other cities throughout the nation.
After the CEO of the time rejected the idea of lowering their prices, the company filed bankruptcy in 1977 and was then bought by Oshman's Sporting
Goods.
In 1988, Limited Brands acquired the company making apparel the focal point of its business.
Michael Jeffries named CEO of the company in 1992, here's when the issue began.
Case Facts:
1.During an interview, Jeffries, the CEO of the firm quoted: "We hire good–looking people in our stores. Because good–looking people attract other
good–looking people, and we want to market to cool, good–looking people. We don 't market to anyone other than that." During the same interview, he

Abercromie & Fitch
Abercrombie and Fitch Co. (В« A&F В») is an international fashion retailer selling apparel, fragance and luxury products to young customers.
The brand describes itself as В« casual luxury В».
They developed a strong brand image based on provocative communication and specific in–store experience that fits with the cool lifestyle it promotes.
However, sales have been dropping for years and do not seem to be going in the future. In 2013, the firm closed about 220 mall stores and entering
December 2014, profits were expected about $106 milions, less than half of what they had been in 2012.
Fitch's performance is declining fastly, and it can be explained through internal and external factors. Some of these factors ... Show more content on
Helpwriting.net ...
Today A&F still do not have a permanent CEO.
While the lack of competitive advantage and some public relations blunders serve as internal reasons for poor performance, A&F's competitors,
economic context and consumer's changing behavior constitue external elements that can also explained the firm's decline. Eco context :The economic
condition can also affect the firm's performance. The apparel industry is a very cyclical industry that is highly correlated to the economic context.
Indeed, consumers are more likely to refrain from purchasing non–necessary goods in a period of recession. Moreover, with the ongoing economic
situation, existing international stores are touched and this can affect productivity and future opening projects. Furthemore, this openess is limited to
some factors such as exchange rate or local government policies. A&F's international subsidaries often operate with currencies other than US
dollar. Thus, the risk of currency variation is higher when international expansion rises.
Competition :During slow economic time, competitors have been quick to lower their prices, however A&F has continually refused, thinking that
it would have tanish their brand.In the retail industry, how a brand is perceived by its potential consumers is a crucial part to the success or failure of
that company because there is not a lot of difference in product features or quality.

Bad Cases: The Case Of Abercrombie And Fitch
Abercrombie & Fitch shouldn't discriminate against anyone regardless of whoever they are. Over the years, the popular clothing brand has faced many
lawsuits over their "look policy" discriminating against anyone who does not fit the "part". Former twenty–two year old employee Riam Dean sued the
company in 2009 for forcing her to work in stock since she was born without a left forearm so she wasn't shown by customers.The company has also
faced racial discrimination as well, by forcing their black employees to leave early whenever the then CEO was scheduled for an appearance and
rejecting black models for not looking the "part".The CEO once again proved to be very controversial when he infamously said "It`s almost
everything. That`s why we hire good–looking people in our stores. ... Show more content on Helpwriting.net ...
We don't market to anyone other than that". This statement has made the Abercrombie and Fitch brand deemed, even more, insensitive and
judgemental to their buyers as well as non buyers. On December 9, 2014, Mike Jeffries retired from being CEO of Abercrombie and Fitch, a position
he held since 1992. After his leaving, the brand is starting to introduce some major changes, for instance, Abercrombie plans to relax its "Look Policy
Guidelines" by allowing their workers to have more freedom over what they wear.Also changing their sales staff titles to "Brand" Representatives
instead of Models. This change is coming from plummeting sales over the recent years –– Fitch saw a fourteen percent drop during its holiday quarter,
and being non favorable towards their young

Abercrombie And Fitch Case Summary
When Samantha Elauf went in for her job interview with Abercrombie & Fitch, she wore the headscarf traditional for a practicing Muslim. During
the interview, her headscarf was not mentioned or discussed, but the store did take note of its presence and decided not to offer Elauf a job at the
store after considering that she had most likely worn the headscarf for religious reasons and that it would be in violation of the store's "Look Policy."
The "Look Policy" at Abercrombie & Fitch violates the wearing of "caps" stating that this look is too informal for the image the company desires to
project. In response, the EEOC sued Abercrombie & Fitch on Elauf's behalf.
The EEOC received a summary judgment from the district court based on its claim

Case Study For Abercrombie And Fitch
1.3 7–S model for Abercrombie and Fitch.
This model was developed by Tom Peters, Robert Waterman and Julien Philips with a help from Richard Pascale and Anthony G. Athos in 80s and
even now haven't lost its relevance as management planning tool. Model presents 7 key elements of the company such as: Structure, Strategy, Skills,
Staff, Style, Systems, and Shared Values. The main point of the model is that all the seven areas are interconnected and a change in one area requires
change in the rest of a firm for it to function effectively.
As we may see above all elements are connected in the particular way: Strategy, Systems and Structure together are called "Hard Ss" the rest – "Soft
Ss".
The model can be applied to many situations but, mostly such framework is used in order to:
To facilitate organizational change.
To help implement new strategy.
To identify how each area may change in a future.
To facilitate the merger of organizations.
We used this approach in order to determine previous position of the company and evaluate that kind of changes have already been implemented by
new board of directors. ... Show more content on Helpwriting.net ...
The point is that A&F is under the pressure and hard critic from older generation (parents) because the main target market of A&F is t–agers or college
kids, it is providing or promoting sex and sexuality of models who works there rather than promoting the clothes and brand. Nevertheless, know A&F
is in the right way. Now Abercrombie & Fitch will end by July its "sexualized marketing," after years of blanketing its web sites, store windows and
shopping bags with photos of half–naked men, according to the Washington Post

Abercrombie And Fitch : An American Retailer Essay
Abercrombie & Fitch (A&F), an American retailer that concentrates on upscale casual wear for young consumers, which was founded in Manhattan,
New York City in June 4, 1892 by two young minds of David T. Abercrombie and Ezra Fitch. Beginning with a rough journey of selling sporting
outfits and excursion goods such as fishing and hunting equipment, A&F had to file bankruptcy in 1977. Soon thereafter, the company was revived
after Jake Oshman, owner of Oshman Sporting Goods, bought A&F in 1978. A&F was relaunched as a mail–retailer company specializing in hunting
wear and novelty items, but was bought by The Limited ten years after its revival. The gradual shift to focusing on apparels for young consumers
began when A&F was a subsidiary of Limited Brands, and since then, A&F has grown to become one of the largest apparel firms in the United States.
In 1998, A&F launched Abercrombie Kids, targeting consumers from age 7–14, which further increases its revenue. In 1999 to early 2000s, A&F's
sales skyrocketed as it hit its zenith, by portraying A&F clothing as the "coolest thing" through billboard–winning song that compliments A&F in the
lyrics, as well as other advertisements. Furthermore, A&F launched a subsidiary called Hollister to tackle similar age group of target audience but with
lower income. This expansion to dominate the market of teenagers through consideration of other demographic factor, namely income, was exceptional
for A&F's revenue. Presently, A&F focused on

Abercrombie and Fitch Brand Marketing Essay
Whether or not it is morally acceptable for Abercrombie and Fitch to use nudity and sexuality in its advertising is not the real question; rather, it is
whether or not it is ethical for Abercrombie to use classical conditioning to program society in a manner that forces consumers to associate uncontrolled
desires with a basic brand of clothing. This company has successfully associated two things which are the antithesis of one another: clothing and nudity.
Abercrombie and Fitch maintains its outstanding competitive advantage with its unparalleled marketing tactics. No firm in history has applied the use
of sexuality and physical beauty in marketing better than Abercrombie and Fitch. They have successfully forced consumers to make ... Show more
content on Helpwriting.net ...
It has asked, or perhaps forced, customers to think not with their head, but with their hormones: morally unacceptable.
Abercrombie and Fitch uses classical conditioning in a variety of different ways. The campaigns, which always contain photographs like the ones
provided, have successfully conditioned consumers to elicit a response from their sexual desires from an extremely basic line of clothing.
Abercrombie's clothing is basic and almost never scandalous. Their clothing lines provide good and decent cover for customers. So what is the
problem? The issue lies in the fact that this very basic, however very unique form of clothing has been used as a tool to elicit sexual feelings on the
part of those who see the clothing, the name or the style.
First, they have elicited the responses based on feeling of beauty. The provided marketing catalogue rarely shows models actually wearing large
amounts of clothing. The consumer is not able to evaluate any of the products characteristics when faced with an ad. Showing bodies that nearly all
consumers will find attractive is a clear attempt to tie physical beauty with the product. Beauty, however, is a tactic that many firms use and may be
less harmful than the following strategies.
Second, the whole purpose

Abercrombie And Fitch Essay
Since ten years, Abercrombie & Fitch has become one of the most popular brands in the world and solicited especially among adolescent, became a
phenomenon, the brand is a symbol of success in the field of ready–to wear for his competitors. 100% of teens say they know this brand primarily
targeting young people 15 to 25 years.
David Abercrombie and Ezra Fitch become associates for founded in 1892 the brand. The company has evolved from the sale of outdoor sports
equipment to sale clothing for young people "fashionable". In 60–70 years, the company has many financial problems. The group was bought in 1988
by The Limited but keeps the name Abercrombie & Fitch.
Abercrombie & Fitch sells casual clothes, but of a superior quality at fairly high ... Show more content on Helpwriting.net ...
Strategy of Abercrombie & Fitch is to sold his close at a premium price, the sweater costing an average of 100 euro. For over ten years, the
company has also kept the same layout or his logo but also it 's colors, black and white. Surprisingly, despite that prices be raised, many customers are
young at A & F 's. The direct competitor of Abercrombie & Fitch are brands such as Forever 21, GAP, Aeropostale, American Eagle. The competitor
uses affordable prices to attract teenagers to buy. These marks often resume the same style as Abercrombie and Fitch and his sales's concept
(music,smell...).
Abercrombie and Fitch is a brand known in the worldwide and has a very recognizable style. The company has been popularized by many celebrities
and many students in the world, but also by a strong smell of cologne in the store and on clothing. But more recently by the presence of model place to
the enter naked torso.
Abercrombie and Fitch has 500 stores in the worldwide, mostly in the United States but also in Canada, Europe, Asia and Africa. The Company
manages 80,000 employees around the world and made USD 4.11 billion of revenue in 2013.
Explanation of PEST:
PEST analysis is used to evaluate how the long term performance of a business can be affected by four key external factors (Political, Economic,
Social and Technological)
Political factors may include tax policies, fiscal

Essay on Abercrombie and Fitch, Strategic Managment
Table of Contents
INTRODUCTION3
ABERCROMBIE AND FITCH4
Pest Analysis of A&F4
1.Political Factors4
2.Economic Factors5
3.Sociological Factors5
4.Technological Factors6
Michael Porter's Five Force Framework6
1.Threat of New Entrants6
2.Substitutes7
3.Threat of Bargain Power of Supplier7
4.Bargain Power of Buyers7
5.Rivalry8
SWOT Analysis A&F8
CONCLUSION9
REFERENCES10
INTRODUCTION
Every business in the world has to look for different strategies that will help it to improve and raise more profits. This has become in the ultimate goal
in any organisation and it only becomes a reality if the best technique and methods are used. For this, there are some analyses that at the same time
need to be ... Show more content on Helpwriting.net ...
In here, it is fundamental to see what is happening in the social part of the market in which the firm is operating, or when it is a new business or a new
project, the market in which it is desired to enter. Moreover, there are such things like the cultural norms, expectations and behaviours, population, age,
etc (CIPD, 2010). Abercrombie and Fitch has always pronounce that one of the most important things in its marketing is diversity. They try to include

every type of people in their teams for example. In its webpage (Abercrombie and Fitch, 2010) people can find this data:
In–store workforce, as a whole is 50.22% people of colour
In–store models are 48.44% people of colour
In–store managers–in–training are 41.04% people of colour
Technological Factors
This is one of the clues to gain competitive advantage in any industry (Porter, 1998). According to this, any change in technology that can have an
impact in the way things are done, can be a significant improvement. This will lead to better products and services (CIPD, 2010). Abercrombie and
Fitch has taken advantage of the internet to offer different services to its customers. All catalogues can be found there, and all the locations of their
stores as well. For its staff, recently was created a webpage for them to

Abercrombie And Fitch And The Great Depression
Nevertheless, the Great Depression was not all bad. In 1938 Abercrombie and Fitch founded golf and shooting school in the store. In 1939,
Abercrombie and Fitch was calling itself "The Greatest Sporting Goods Store in the World." It bragged the world's biggest and most profitable
accumulation of guns and the vastest combination of angling flies reachable anyplace (15,000 on the whole) to go with its variety of bars, reels, and
other fishing supplies tackle. Riders, canine fanciers, skiers, and bowmen all discovered each possible sort of rigging. Firearms and outdoors and
angling gear represented 30 percent of the New York store's business volume in 1938. Offers of garments, shoes, and decorations represented 45
percent. Stock close by was esteemed

The Myth Of Abercrombie And Fitch
In the following I explore how myth has been used to position Abercrombie and Fitch clothing in the market.
Abercrombie & Fitch is a popular teen brand. It uses the same brand experience in every store across the western world. Each store, no matter where
has the same style, the same sound and the same smell. The myth about the lean, white, and rich ideal coming from the American society is distributed
in the same way in every country. Hence, I am not only focusing on the myth that has been used to position the brand in Germany, but how myth has
been used to position A&F in every market they sell their products in.
A&F has a clearly defined target customer: the good–looking, classic and cool teenagers. The image they produce with the brand ... Show more content
on Helpwriting.net ...
Beside the shirtless men at the entrance of every store, the faded black/white images of almost naked teens developed to a trademark for Abercrombie
and Fitch. Although the text is nearly blocked and covered, consumers would undoubtedly be able to identify this image as one of A&Fs.
Even though it is difficult to see a relationship among the images, there is a clear relationship between the product and sexuality.
Abercrombie is a clothing brand and in its adverts and their brand communication the models are essentially naked but trying to sell clothes. However,
A&F sells much more than clothes, it is trying to sell its image and a lifestyle. Using their brand communication they want a sexual image to be
connected with their name.
A&Fs in–store experience is the crucial way of advertising for the company. Through the store layout and decoration A&F capitalized on their target
market's value of exclusivity and youthful spirit. Personifying the lifestyle of the company and reinforcing it through action and dress is the core driver
of the in–store experience. Salespersons were employed based on their ability to embody the brand. Their selling ability is

An Report On The Retail Company, Abercrombie & Fitch Essay
This report is on the retail company, Abercrombie & Fitch. I will discuss what they are known for and how they provide a safe working place for their
employees, vendors, and customers. I will discuss their hiring practices and minimum requirements. I provided a SWOT Analysis of their employee–
employer relationships. I will discuss the controversial issues they have faced regarding ethical behavior with their employees. Finally, I will discuss
what I have learned from this company and what I would change or continue doing within their business.
Abercrombie & Fitch (A&F) was founded in 1982 by David Abercrombie and Ezra Fitch in New York City (1). Mike Jeffries was the CEO for 22
years, until he resigned in 2014 following eleven consecutive quarters of sales declining; thus, A&F is being overseen by Arthur Martinez, Jonathon
Ramsden, and Fran Horowitz (2). Abercrombie & Fitch currently has 62,150 employees (1). A&F is a retail store T–shirts, shorts, denim jeans, shoes
and accessories. Their style was more of a basic and casual look. They have a store called Abercrombie kids, which sells exclusively to boys and
girls. They also have another store called Abercrombie & Fitch, which sells to women and men. They market towards young children to young adults,
but are now targeting more towards the 18–22 age group (1).
Abercrombie & Fitch is best known for their basic T–shirts with their logo placed across the chest and the denim jeans. They are also known for their
marketing

Analysis Report
Abercrombie & Fitch
ANALYSIS REPORT
Fundamentals Of Retail Design
Group 03
Erik, Herr | I–Chu, Liao | Karan, Shah
Kuan–Ling, Tseng | Chen–Hua, Wang
ABSTRACT
This report intends to analyze the unique brand values, the distinct marketing strategies and the compelling competitive dynamics of Abercrombie &
Fitch (A&F), the noted American retailer of casual luxury wear. The purpose of this analysis being to understand the context and motives that drive
brand A&F; to draw insights from it's past and current strategies and use these to launch a, new sneaker offer' within it's existing product ensemble.
For doing this, we've researched the story of the brand; it's original and potential target market, it's financial ... Show more content on Helpwriting.net ...
– 11.79),
A&F's P/E ratio is staggeringly higher. This is a strong sign that A&F is well positioned to thrive in the current environment. TARGET MARKET
There are some major variables that might be used in segmenting consumer markets. Here, we look at the major geographic, demographic,
psychographic, and behavioral variables. Below, you can see the target market of A&F.
Geographic: U.S.A, Canada, England, Spain,
Denmark, Italy, Germany, France, Hong Kong,
Singapore, Japan
Demographic: Age 15–28
Psychographic:
Personality – Extrovert, Stylish
Social class – Upper middles, Lower uppers,
Upper uppers
Behavioral:
Benefits – Show–off, being popular, being sexier

Attitude toward product – Positive, sexual attractive,
American lifestyle
Not many companies use mass marketing these days.
Instead, they practice target marketing by identifying market segments, selecting one or more of them, and developing products and marketing mixes
tailored for each. A&F is a successful brand that targets the
A&F, Analysis Report
young generation market precisely.
Based on our survey, A&F has achieved phenomenal success by portraying a brand image that comprises a series of very attractive imagery. Teenagers
see a lot of this imagery through advertisements; however, what influences them most is their peers (Goodman &
Dretzin, 1999). They are also known to buy into advertising/brand promises of what products may

Judging Abercombie & Fitch for Their Hiring Practices Essay
Looks and first impressions are key points for many things in our lifes. Now a days people are deep into fashion and everything is about looking
presentable and well. This has made clothing companies compete even more day by day and do everything in their power to attract more people.
To bring more people to the bussiness and sell as much as they can they have been using a method of prioritizing and aiming to certain group of
poeple to sell to. This has lead companies such as Abercombie & Fitch to be seen as a store with a high profile of racism and discrimination. Aiming to
a natural classic amarican style and to hiring only certain type of people has caused them to be sued multiple times. Abercombie & Fitch is a private
company and there ... Show more content on Helpwriting.net ...
According to the constitution the company discriminates and excludes a group of people but at the same time this is a private company and it
should be their choice who they hire or not. In my personal opinion Abercombie & Fitch should not be judged or sued. Companies across the
world do exactly the same thing. I mean, I live in Los Angeles where montly the population is mexican. Some mexicans like dressing up with boots
and big belts, they have a certain look which now people call "Paisa Look". When I go to the mall there are many "paisa" stores where the people
who work there obviously look mexican and dress up with the look they sell. When I say mexican looking, I mean dark skined, mustache, the boots,
the belts, the Ed Hardy things, the hats and of course their music. This exact same thing happens in Abercombie & Fitch. The only difference is that
caucasians are not the minority in this country. I find very hypocritical the fact that people judge Abercombie, Hollister, Express and other stores in
that range for who they hire. This is a duble standard and very unfair way of looking at things. In the article "Going for the look, but risking
discrimination" by Steven Greenhouse; Tom Lenox, Abercombie's communicatons director said: "Brand representatives are embassadors to the brand.
We want to hire brand representatives that will represent the abercombie & Fitch

Abercrombie And Fitch
2. Facts– Abercrombie and Fitch is a national clothing retail chain that is designed to come across as preppy and modern to appeal to their relatively
youthful market. Their stores require that employee's meet a certain standard of appearance, and requires that it's employees follow a "look policy",
in which mentions the banning of black clothing items and "caps", though no specific definition for caps is stated in said looks policy. In a potential
employee's interview for a job placement within Abercrombie and Fitch stores, if any mention of the "Looks" policy is mentioned, the interviewer is
required to notify someone in their Human Resources Department, who determines if an accommodation can be made and if so, how much of one as
well. In

Abercrombie And Fitch Paper
Advertising can also go wrong in the fashion industry. As noted by Aerens (2005), the Abercrombie and Fitch fashion brand became the most
controversial advertiser when it combined a father and son relationship in their advertising imagery in the early 1990s. Sadly, this was socially
misinterpreted by the public as a portrayal of homosexuality. There was an era (i.e. in the 1980s) when advertisers thought that camp (gay, homosexual)
images in advertising were damaging to male fashion; in that males could not relate to each other in such a manner and they were threatened by
homosexual imagery – something more conservative would have been more successful (Mort, 1996, pp. 72, 73; Elliott and Elliott, 2005, p. 5). The
same type of social study of fashion advertising of feminised males and the reposes of male (i.e. heterosexual) consumers was undertaken in the late
1990s by Kimmel and Tissier–Desbordes (1999) and the conclusion was similar. ... Show more content on Helpwriting.net ...
However, after the short period (i.e. a decade) of a fall from grace and accusations of promoting soft–core pornography, the Abercrombie and Fitch
brand turned this controversy around by toning down nudity by utilising artistic images of models wearing Abercrombie and Fitch clothing. Hence,
controversy in advertising placed fashion brands in the public eye (for better or for worse; whether it promotes or harms the brands). But, since that
period, advertising has become more well behaved (Lockwood, Martens and McCarthy,

Abercrombie And Fitch : An American Clothing Retailer
Abercrombie & Fitch is an American clothing retailer that targets the teenage and collegial demographic. Abercrombie and Fitch has sister stores such
as Hollister Co., a southern California inspired lifestyle brand that markets to consumers aged 14–18 and Abercrombie Kids that caters to children 10
and younger. With over 800 stores internationally, they are able to segment their business in 3 ways. They have U.S. retail stores and operations,
international stores and direct–to–consumer relations which include online operations in the U.S. and internationally. Abercrombie provides consumers
with a range of different products like trendy clothing, personal care products and accessories. Their main focus is to provide a "casual luxury" for
those who want to be chic and fashionable.
From mid–2000s and onwards, it becomes apparent what led this company to its current state; struggling to stay in business, relevant and popular.
Abercrombie and Fitch was unable to retain its customers as they found other cheaper alternatives and phased out from displaying brand names on their
clothing. The company was unable to cater to the marketplace and focus on the changing needs of its consumers. Abercrombie was incapable of
realizing that their current marketing strategy would only be successful for so long until consumer needs change. The Abercrombie image was created
by their CEO, Mike Jeffries, who stated that Abercrombie "...wants to market to cool, good–looking people. We don't market to

Abercrombie And Fitch Company Financial Analysis
Brandon Gooden Abercrombie & Fitch Company Financial Analysis Finance 504 Professor Kramer August 30, 2017 Investments to Support the
Business Unit Strategy or Strategies Abercrombie and Fitch and subsidiary brands: Abercrombie Kids, Hollister, and Gilly Hicks, have mastered the
basics of image priority and sex appeal in the retail industry. In earlier years, and still perceived by consumers, ANF has been known for its
controversial print advertisements and attractive logo, which ANF used as a sells pitch. ANF and subsidiary brands are known to cater to fit and
attractive consumers that leaves opportunity for growth. ANF logo is attractive to consumers, in turn has increased sales, but with fashion–forward
retailer... Show more content on Helpwriting.net ...
ANF price earnings ratio is currently 51.45%. For the next 3 year the sales forecast for COGS is predicted to increase by 10%. Future Profitability
and Competitive Performance Evaluating ANF historical trends influences investor interest in the company. ANF shares increased 43.22% over the
previous month equaling a per share value of 14.06%. The stock rose to 11.86% over the past quarter, while increasing 20.7% over the past six
months. The company's volatility monthly is 4.04%. Abercrombie and Fitch is looking to generate more than $818.66 million for the current quarter
with already experience earning $843.13 same time last year. Growth ANF's historical data displays a –4.4% annual rate of revenues over the past 5
years. In the recent quarter ANF has generated an unattractive attribute by decreasing –3.6% in revenues. Compare Profitability ANF's net profit margin
–0.44% for 12–month period. Compared to peers 38% and sectors 12.4% averages. ANF is in a weak position to its peers and sector. Although
stock prices hit a low in April 2017 to $10.50, a 38% increase has occurred in stock price. Even though ANF has increased their stock price the
company is not in a strong position. Shares are still does to the 52–week high ($23.29) by –47.53%. Competitive Strategy In the future ANF is looking
to consolidate it locations in the United States, due to the weak economic environment in Europe, ANF is focusing on controlling its

Abercrombie & Fitch
Abercrombie & Fitch Sadarya McArthur Strayer University I. Identify and describe the greatest environmental threats that have immediate
implications for A&F. A. Lack of Variety A&F was known for its lack of variety. They were known for hiring males and females with a certain kind
of style. You had to look a certain way to be an employee and most of all you had to be attractive. Females had to wear makeup to enhance their
features and males had to be clean shaven with no mustache or any facial hairs. They were sent to only white fraternities and sororities to recruit them
for work. They only displayed posters of attractive white models. This was a threat to the companies reputation. B.... Show more content on
Helpwriting.net ...
. B. Store Format A&F was able to successfully implement an exciting store format. According to marketing expert, Pam Danziger, "Shoppers are
rejecting the old concept of 'hunting and gathering' shopping in favor of a more involved, interesting, dynamic retail experience." Each A&E
store was designed according to one of several specific models created at company headquarters. Hollister stores were designed to look like beach
houses with faux porches and house style layouts. Surfboards leaned against the store walls. Fans blew to mimic the breeze as if you were really
on the beach. Shoppers could sit in chairs and read different kinds of magazines. Ruehl stores imitated the architecture of Greenwich Village with
red brick facades, iron fences, flowerboxes, and small windows. They looked like brownstones. Customers really enjoyed this new look of all A&F
stores. People would just stop by to see the new look in the stores which in turn boost sales because they spent money once they were in the store. C.
Target Market A&F had an enviable target market. It catered to teenagers, whose population in the United States was expanding. In 2003, 32 million
teens lived in the United Stated. This number was expected to rise to 35 million by 2010. Teens spent approximately $170 billion on goods and
services in 2002, with one–third going to apparel. Teen retailing was

As the current face of preppy America, widely known for its obsession with beautiful people, Abercrombie and Fitch is a long way from its roots as
an elite retailer of sporting and excursion goods, aimed at adult shoppers at the time of it's founding in 1892. Abercrombie and Fitch has experienced
significant growth through sell of premium priced apparel and accessories to the 30 and under demographic through its independent brands. An
assessment of the company's strategies, key opportunities and threats as well as industry strategies and competitive dynamics shows a company that is
poised to be a long–term leader both in the US and international retailing. Abercrombie and Fitch, headquartered in New Albany, Ohio, operates... Show
more content on Helpwriting.net ...
International growth is however very costly and the company might be unable to successfully open and operate all its new stores. Other issues that
could affect international growth include fluctuation in exchange rates and reliance of international suppliers. Until recently, Abercrombie and Fitch's
business model was not focused on customer satisfaction, but on exclusivity, a sultry attitude and a cooler than thou ambiance giving it a very strong
brand presence (Kang, 2005). Abercrombie and Fitch employs a focus differentiation strategy with a very specific target demographic. Their products
very highly priced in comparison to their competitors. Abercrombie and Fitch walks the casual and luxury line enabling it to charge high prices. The
target demographic is attracted to strong brands, fashion and value. With the recent improvement in customer satisfaction, the brand should continue to
realize greater revenue than its direct competitors. Trying to stand out in the apparel industry can be very difficult but Abercrombie, famous for bare
chested models and racy marketing photography, has managed to differentiate itself from its competitors through its marketing campaign (Marketing at
Abercrombie and Fitch, 2012). They have a minimalist approach to marketing with a less is more strategy as can be seen through the way their
models dress and also lack to a TV presence. Because

Abercrombie and Fitch and the Moral Degradation of...
Abercrombie and Fitch and the Moral Degradation of America
This past month I made my last visit to the popular teenage/college student retail store Abercrombie and Fitch. Finishing up some back to school
shopping, I was on a quest for jeans, and I knew the place to get them. My last two favorite pairs were from Abercrombie and Fitch, and I was planning
on buying the same kind once again. Happy and relieved that I would not spend the afternoon ransacking the mall for one pair of jeans, I entered the
store to the pulsating beat of techno dance music. In front of me was the teenage Mecca of what is truly hip –– the first thing I noticed were the life–size
pictured that covered the walls –– half–clad muscular and glistening young ... Show more content on Helpwriting.net ...
Overwhelmed by the stimuli, I set out to find the jeans I wanted as quickly as possible. Searching through pile and rack, I found "Wide leg tomboy",
"Tomboy flare", and "Bootcut tomboy", but none of the plain "Tomboy" I has previously owned. Disappointed and a little disgusted, I left the store
empty handed. It was not so much that I had failed to find my jeans that upset me, but rather the realization that this store had somehow reached a
point where it was controlling the minds of my fellow young shoppers. The store I had just left seemed to be advertising more than "Tomboy flares"
and wool V–neck sweaters –– the music, the pictures on the wall, the salespeople –– they all set the level of what is cool just a little bit higher, while
the customers mindlessly followed.
Then next week I was reading the Star Tribune newspaper when I came across and editorial written about Abercrombie and Fitch. The author was
disgusted with the store because of its blatant promotion of college–age drinking. The issue came up in one of A&F's quarterly "magazines". Instead of
sending out free catalogs of their merchandise to customers, A&F sells a retail "magazine" which they distribute four times a year for the small fee
of five dollars per issue. The magazine is filled with pictures similar to the life–size ones which cover the store walls –– tan, beautiful and

Essay on Abercrombie & Fitch Case Study
Abercrombie & Fitch Case Study
Abercrombie & Fitch is one of the leading clothing companies in the world. They manufacture
and sell apparel that target the 18–24 year old demographic who represent the "All–American
Look." Many people argue about the definition of what is "All–American," since the United
States continues to evolve and include many different cultures and races. Abercrombie & Fitch
has been successful for over 100 years, but recently has come under constant scrutiny about its
hiring practices.
Company Overview
Abercrombie & Co. was founded by David Abercrombie on June 4, 1892. In 1900, Ezra Fitch
joined the company and it then became known as Abercrombie & Fitch. Since the very ... Show more content on Helpwriting.net ...
What did the company do to change its policies? Did they change
their definition of "All–American?" Do they still enforce the new diversity policies in their stores
today? Abercrombie & Fitch continues to operate and successfully sell their apparel in the
United States and around the world.

Situation Overview
In June 2003, Eduardo Gonzalez, along with several other African American, Hispanic, and
Asian former Abercrombie & Fitch employees, filed a class action lawsuit against the company
for racial discrimination. The former "brand representatives" felt that the company assigned
them specific tasks and areas to work in based on their ethnicity.
The lawsuit, Gonzalez v. Abercrombie & Fitch was originally filed in U.S. District Court in San
Francisco in June 2003 by the Mexican American Legal Defense and Educational Fund
(MALDEF), the NAACP Legal Defense and Educational Fund, Asian Pacific American Legal
Center and the law firm of Lieff, Cabraser, Heimann, & Bernstein, LLP. The suit was
consolidated with other cases charging employment discrimination against women and
minorities filed by the Equal Employment Opportunity Commission (EEOC), the law firm of
Minami, Lew, & Tamaki, LLP., and the law firm of Kohn, Swift & Graf, P.C.
Even with overwhelming evidence being present and several employees coming forward to attest
to

Abercrombie And Fitch Is Wrong
Tony Blair, a former prime minister of the United Kingdom, once said, "Those who wish to cause religious conflict are small in number but often
manage to dominate the headline." What he is trying to say is that there are not many people who want to cause a religious conflict; however, those
are the people that usually affect other people. The company Abercrombie and Fitch has been caught discriminating people who are different from
the majority of people. In June of 2015, a girl named Samantha Elauf was discriminated against for wearing a hijab, also known as a headscarf, to an
interview to work for Abercrombie Kids. She soon discovered that she did not get the job due to her beliefs. Elauf should have been allowed to work
at Abercrombie because... Show more content on Helpwriting.net ...
The company's look policy clearly states that employees cannot wear: "no hats, no black clothing, no facial hair. Women's hair should long, and
nail polish is discouraged" (Smith). This look policy discourages people from applying for a job at these stores because some people would want to
wear hats, have short hair, etc. Elauf was not discouraged, but she was denied of a job at this company because she wore a black head scarf to her
interview at Abercrombie Kids. Now, Abercrombie is starting to change its policy to allowing religious clothing/accessories and removing shirtless men
at store entrances. A justice of the E.E.O.C v.Abercrombie & Fitch Stores court case, Justice Samuel A. Alito, asked, "'Do you think that those
people have to say, 'We just want to tell you, we're dressed this way for a religious reason?We're not just trying to make a fashion statement''"
(Smith). Samantha Elauf should not have had to tell the interviewer that she was wearing the scarf for religious reasons. She would have gotten the
job if she had not worn the hijab to the interview, so she should have gotten the job even with the scarf. The look policy that was established by this
company discriminates people of many races and of

Abercrombie And Fitch Case Analysis

Recommended

Recommended

More Related Content

More from Jen Wilson

More from Jen Wilson (20)

Recently uploaded

Recently uploaded (20)

Abercrombie And Fitch Case Analysis