Bata faces challenges from local and international competitors and cheap Chinese imports. Its target market is the lower middle and middle class. To survive, Bata considered changing its strategy but its attempt to enter the premium market failed because its brand image was for affordable, functional products, not premium footwear. Bata should focus on its strengths by excelling at fulfilling the needs of the middle and upper middle class through customer understanding and innovation, rather than trying to compete in the premium market which does not fit with its brand image and strategy.