Lululemon is valued at $75 per share based on a discounted cash flow analysis. This represents a nearly 4% premium over the current market price. Key drivers of Lululemon's value include strong growth in the athleisure market, its unique in-store experience and focus on fashion and quality, and historical financial performance. While competitors encroach on its niche, Lululemon has opportunities through expanding in Asia and growing its e-commerce segment. The valuation assumes continued revenue growth of around 10% annually through 2022.
Lululemon is a yoga apparel company that has experienced rapid growth but also growing pains as it has expanded. It needs to reevaluate its vision and strategies. The document proposes updating Lululemon's vision to becoming the number one women's athletic apparel brand. It also recommends key strategic initiatives around sales growth, operational improvement, cost containment and product innovation. Key result and performance indicators are proposed to measure progress in these areas and ensure overall alignment with the mission.
Lululemon is an athletic apparel company known for its yoga pants and workout gear. It targets educated, health-conscious women. The document discusses Lululemon's core competencies, competitive advantages, sustainability initiatives, and industry analysis. It finds that Lululemon has higher profit margins and revenue growth than competitors due to strong branding, innovative fabrics, and an emphasis on meeting customer needs.
Lululemon is a designer and retailer of athletic apparel that has expanded to over 200 stores internationally. It has experienced strong revenue and profit growth in recent years. The document provides an overview of Lululemon's current state, strategy, mission, vision, objectives, corporate governance, external environment, customers, competitors, resources, and strategic alternatives. Financial analysis and projections are also included.
This is a 5 minute slide presentation that my group members and I have put together. The project was on a brand audit and strategies on Lululemon. For more information (30 page brand report), visit my blog at www.josephshouts.com.
Lululemon is a yoga-inspired athletic apparel company known for technical fabrics like Luon and Luxtreme. It was founded by Chip Wilson and focuses on creating clothing to support an active lifestyle. Lululemon has over 200 stores internationally and is popular among celebrities, with key fabrics designed to wick away sweat and prevent odor during workouts.
Lululemon is a retailer known for high quality yoga and athletic wear. Founded in 1998, Lululemon aims to inspire healthy living through clothing and community programs. The company has experienced strong financial growth, with revenue increasing to over $450 million in 2010. Lululemon focuses on sustainability and social responsibility through environmentally-friendly practices, community donations, and public health programs. As the athletic clothing market grows, Lululemon competes through a tailored education of its products and online support tools to help customers meet their fitness goals.
Lululemon is an athletic apparel company that focuses on yoga clothing. The document proposes introducing Lululemon to the Japanese market by establishing brand ambassadors in local yoga studios to promote the brand through word-of-mouth. Print advertisements would run in fitness magazines targeting wealthy, educated women interested in health and wellness. Celebrities would endorse the brand to appeal to Japanese consumers, and the company website would be translated into Japanese to communicate the brand's values online. These tactics aim to raise awareness of Lululemon's sustainable practices and drive growth in Japan by December 2009 while respecting cultural preferences.
Lululemon is a yoga apparel company that has experienced rapid growth but also growing pains as it has expanded. It needs to reevaluate its vision and strategies. The document proposes updating Lululemon's vision to becoming the number one women's athletic apparel brand. It also recommends key strategic initiatives around sales growth, operational improvement, cost containment and product innovation. Key result and performance indicators are proposed to measure progress in these areas and ensure overall alignment with the mission.
Lululemon is an athletic apparel company known for its yoga pants and workout gear. It targets educated, health-conscious women. The document discusses Lululemon's core competencies, competitive advantages, sustainability initiatives, and industry analysis. It finds that Lululemon has higher profit margins and revenue growth than competitors due to strong branding, innovative fabrics, and an emphasis on meeting customer needs.
Lululemon is a designer and retailer of athletic apparel that has expanded to over 200 stores internationally. It has experienced strong revenue and profit growth in recent years. The document provides an overview of Lululemon's current state, strategy, mission, vision, objectives, corporate governance, external environment, customers, competitors, resources, and strategic alternatives. Financial analysis and projections are also included.
This is a 5 minute slide presentation that my group members and I have put together. The project was on a brand audit and strategies on Lululemon. For more information (30 page brand report), visit my blog at www.josephshouts.com.
Lululemon is a yoga-inspired athletic apparel company known for technical fabrics like Luon and Luxtreme. It was founded by Chip Wilson and focuses on creating clothing to support an active lifestyle. Lululemon has over 200 stores internationally and is popular among celebrities, with key fabrics designed to wick away sweat and prevent odor during workouts.
Lululemon is a retailer known for high quality yoga and athletic wear. Founded in 1998, Lululemon aims to inspire healthy living through clothing and community programs. The company has experienced strong financial growth, with revenue increasing to over $450 million in 2010. Lululemon focuses on sustainability and social responsibility through environmentally-friendly practices, community donations, and public health programs. As the athletic clothing market grows, Lululemon competes through a tailored education of its products and online support tools to help customers meet their fitness goals.
Lululemon is an athletic apparel company that focuses on yoga clothing. The document proposes introducing Lululemon to the Japanese market by establishing brand ambassadors in local yoga studios to promote the brand through word-of-mouth. Print advertisements would run in fitness magazines targeting wealthy, educated women interested in health and wellness. Celebrities would endorse the brand to appeal to Japanese consumers, and the company website would be translated into Japanese to communicate the brand's values online. These tactics aim to raise awareness of Lululemon's sustainable practices and drive growth in Japan by December 2009 while respecting cultural preferences.
Lululemon is a brand known for high-quality yoga apparel. It differentiates itself by focusing on women and cultivating a sense of community in its stores. The brand has expanded beyond yoga to include other athletic apparel but could better segment its brand architecture. Lululemon uses high-performance fabrics and emphasizes function, style, and customer service. It positions itself as a luxury activewear brand and communicates its brand through elements like its logo and reusable shopping bags promoting wellness messages. The brand relies more on interactive marketing like in-store classes than traditional advertising.
This document summarizes research conducted on grocery store preferences of college students. A survey found that 46.7% of respondents were male and 53.3% were female. Perceptual mapping showed that Walmart is currently not in the prime position but could improve on attributes like clean, friendly, and prestigious. Conjoint analysis identified the optimal product as affordable, fresh, friendly, clean, 24 hours, with hot food and private labels. It showed Walmart could gain market share by improving its quality from processed to fresh. Recommendations included focusing on affordability over cheapness and improving cleanliness and friendliness.
Levis: A study on organizational behaviourShivesh Ranjan
Levi Strauss & Co. is a global apparel company headquartered in the US that designs and markets jeans and other casual apparel. It has a transnational organizational structure with centralized design and decentralized production and marketing through foreign partners. The company emphasizes values, diversity, ethics and social responsibility in its organizational culture. It has undertaken changes to adapt to the changing retail environment and shift production overseas while encouraging innovation.
Lululemon is a company that sells athletic apparel focused on yoga. It was founded in 1998 in Vancouver after the founder realized the growing popularity of yoga. Lululemon has expanded its product line beyond yoga wear to include other athletic clothing and accessories. The company focuses on high quality, technical fabrics and flattering fits. Lululemon's target market is women ages 25-35 who are educated professionals interested in health and wellness. The company relies on grassroots marketing through yoga instructors rather than traditional advertising.
Marketing plan for a cosmetic company specializing in organic products. It includes the Market Description, Distribution Network, Product Analysis, Competitor Analysis, Macro Environmental Analysis, Financial Analysis, Strengths, Weaknesses, Opportunities and Threat Analysis.
lululemon case study: holiday marketing campaigneuniqely
Slide deck presentation for a social media case competition.
The challenge: Create a creative holiday campaign to boost brand awareness and gain new following.
The document summarizes a strategic plan for athletic apparel brand Lululemon. It outlines the company's strengths in quality, innovation, brand recognition and community focus. It then discusses strategic imperatives to expand into related categories like outerwear and accessories, leverage the brand across the customer lifecycle, and expand into niche markets through partnerships. The plan aims to achieve 30% annual growth over 10 years through these initiatives and maintaining a customer-centric approach.
Nike is perceived as a high-quality brand that focuses on design, innovation, and technical performance for sports and everyday wear. Its iconic "Swoosh" logo represents status, fashion, and victory. Nike builds loyalty through inspiration campaigns like "Just Do It" that motivate customers and endorsement deals with top athletes that demonstrate the brand's quality.
This document provides an overview of the history and operations of Nike, Inc. It discusses how Nike originated as Blue Ribbon Sports, which was founded in 1964 by Phil Knight and Bill Bowerman to import Japanese-made running shoes. The company grew significantly over the decades as it shifted manufacturing overseas and developed innovative shoe designs. By the 1980s, Nike had attained 50% of the US athletic shoe market and went public. The document also briefly outlines Nike's portfolio of brands, organizational structure, products, and external factors influencing the company.
This document summarizes information about lululemon athletica, a designer and retailer of high-end yoga inspired athletic wear. It discusses that lululemon was founded in 1998 in Vancouver, British Columbia by Chip Wilson as a yoga studio and has since expanded to locations across North America and Australia. The typical lululemon customer is described as a wealthy, educated, fit, healthy, active woman who is interested in yoga. Competitive forces, SWOT analysis, value chain, and other strategic aspects of lululemon's business are also summarized.
Red Bull is considering extending its brand into caffeinated energy bars. It would leverage Red Bull's brand image of high energy and excitement. The implementation strategy includes placing bars in convenience stores with eye-catching packaging and a premium price of $3.99. Red Bull projects the total energy bar market size at $1.2 billion, and estimates it could capture a 5% initial market share.
This document outlines a digital marketing strategy for Zara clothing to increase brand awareness among young adults and teenagers. The strategy focuses on social media platforms like Facebook, Twitter, Instagram and Pinterest to promote new arrivals, styles and contests. It also discusses search engine optimization, Google Adwords and analytics to drive traffic to Zara's website and mobile app. The total budget allocated for the one-year digital marketing plan is $9 million, with the largest portions going towards social media and mobile strategies.
This document contains a market segmentation report submitted by several students to their professor. It segments the Nike market demographically, psychographically, behaviorally, and geographically. The demographic segmentation looks at variables like age, gender, and occupation. The psychographic segmentation examines Nike's mission statement and lifestyle trends. Behavioral segmentation analyzes athletic attributes and style preferences. Geographic segmentation focuses on nations, cities, and population density. The report then discusses targeting high income youth and urban sports enthusiasts. It outlines Nike's positioning as a ubiquitous brand for athletes of all kinds and its shift to an attitude focus. Competitors, points of difference, parity, and brand mantra are also summarized. Lastly, the document proposes expanding
I made this PowerPoint presentation for my Consumer Behavior class in 2006. It was the for a project in which we examined Under Armour's integrated marketing communications, and made recommendations at the end.
Lululemon vs under armour business strategy analysisSophie Michelot
This document provides an analysis of Under Armour and lululemon athletica, two companies in the performance apparel industry. It discusses the industry information, key issues, trends, companies' goals, challenges, performance, business strategies, differences in business models, and competitive advantages. Recommendations are made for each company, including intensifying geographic expansion for lululemon and boosting sales/gaining market share through innovative products for Under Armour. Financial data and exhibits are provided in the appendices.
The document discusses the personal care industry in India, focusing on fairness creams. It notes that fairness creams account for approximately Rs. 1,800 crores of the Rs. 2,000 crores skin lightening product market. It also discusses trends like the growth of herbal and natural products, sun care products led by HUL, and men's grooming. Key segments like fairness creams, which are led by HUL's Fair & Lovely, and direct selling companies making inroads, are summarized.
This marketing plan summary outlines Lululemon's situation, target markets, and marketing strategies. Lululemon aims to remedy its damaged brand image through PR initiatives and by validating its pricing and quality. Its target markets are affluent men and women ages 18+ who engage in active lifestyles. The plan proposes expanding product lines to include maternity, plus sizes, and youth apparel. Marketing strategies include sponsoring events, loyalty programs, store expansion, and growing e-commerce. Implementation will occur over 5 years through new product launches, advertising, partnerships, and performance measurement.
Nike 2007 Financial Statement Comparision with Statementdahalpuskar
NIKE is one of the world's largest athletic shoe and apparel companies. It was founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and began importing Japanese running shoes. By the 1970s, Nike had grown significantly in sales and changed its name. Today Nike captures over 20% of the US athletic shoe market and has expanded into various other sports equipment, apparel, and accessories. It sells products through retailers, owned stores, licensees, and its website. Nike has several subsidiaries and announced a quarterly dividend in 2008 while also putting its hockey equipment business Bauer up for sale.
This document provides an equity analysis and valuation report for Nike. It includes an overview of Nike, analysis of the footwear and apparel industries, competitor comparisons for Nike, financial analyses including ratios and regressions, forecasts of sales and financial statements, valuation of Nike using DCF and other models, and appendices with supporting calculations and data. Key findings are that Nike significantly outperforms industry averages on margins and profitability, has lower risk than the market, and is expected to have continued strong growth and performance based on financial analyses and forecasts, supporting a fair value estimate of $130.37 per share for Nike stock.
Lululemon is a brand known for high-quality yoga apparel. It differentiates itself by focusing on women and cultivating a sense of community in its stores. The brand has expanded beyond yoga to include other athletic apparel but could better segment its brand architecture. Lululemon uses high-performance fabrics and emphasizes function, style, and customer service. It positions itself as a luxury activewear brand and communicates its brand through elements like its logo and reusable shopping bags promoting wellness messages. The brand relies more on interactive marketing like in-store classes than traditional advertising.
This document summarizes research conducted on grocery store preferences of college students. A survey found that 46.7% of respondents were male and 53.3% were female. Perceptual mapping showed that Walmart is currently not in the prime position but could improve on attributes like clean, friendly, and prestigious. Conjoint analysis identified the optimal product as affordable, fresh, friendly, clean, 24 hours, with hot food and private labels. It showed Walmart could gain market share by improving its quality from processed to fresh. Recommendations included focusing on affordability over cheapness and improving cleanliness and friendliness.
Levis: A study on organizational behaviourShivesh Ranjan
Levi Strauss & Co. is a global apparel company headquartered in the US that designs and markets jeans and other casual apparel. It has a transnational organizational structure with centralized design and decentralized production and marketing through foreign partners. The company emphasizes values, diversity, ethics and social responsibility in its organizational culture. It has undertaken changes to adapt to the changing retail environment and shift production overseas while encouraging innovation.
Lululemon is a company that sells athletic apparel focused on yoga. It was founded in 1998 in Vancouver after the founder realized the growing popularity of yoga. Lululemon has expanded its product line beyond yoga wear to include other athletic clothing and accessories. The company focuses on high quality, technical fabrics and flattering fits. Lululemon's target market is women ages 25-35 who are educated professionals interested in health and wellness. The company relies on grassroots marketing through yoga instructors rather than traditional advertising.
Marketing plan for a cosmetic company specializing in organic products. It includes the Market Description, Distribution Network, Product Analysis, Competitor Analysis, Macro Environmental Analysis, Financial Analysis, Strengths, Weaknesses, Opportunities and Threat Analysis.
lululemon case study: holiday marketing campaigneuniqely
Slide deck presentation for a social media case competition.
The challenge: Create a creative holiday campaign to boost brand awareness and gain new following.
The document summarizes a strategic plan for athletic apparel brand Lululemon. It outlines the company's strengths in quality, innovation, brand recognition and community focus. It then discusses strategic imperatives to expand into related categories like outerwear and accessories, leverage the brand across the customer lifecycle, and expand into niche markets through partnerships. The plan aims to achieve 30% annual growth over 10 years through these initiatives and maintaining a customer-centric approach.
Nike is perceived as a high-quality brand that focuses on design, innovation, and technical performance for sports and everyday wear. Its iconic "Swoosh" logo represents status, fashion, and victory. Nike builds loyalty through inspiration campaigns like "Just Do It" that motivate customers and endorsement deals with top athletes that demonstrate the brand's quality.
This document provides an overview of the history and operations of Nike, Inc. It discusses how Nike originated as Blue Ribbon Sports, which was founded in 1964 by Phil Knight and Bill Bowerman to import Japanese-made running shoes. The company grew significantly over the decades as it shifted manufacturing overseas and developed innovative shoe designs. By the 1980s, Nike had attained 50% of the US athletic shoe market and went public. The document also briefly outlines Nike's portfolio of brands, organizational structure, products, and external factors influencing the company.
This document summarizes information about lululemon athletica, a designer and retailer of high-end yoga inspired athletic wear. It discusses that lululemon was founded in 1998 in Vancouver, British Columbia by Chip Wilson as a yoga studio and has since expanded to locations across North America and Australia. The typical lululemon customer is described as a wealthy, educated, fit, healthy, active woman who is interested in yoga. Competitive forces, SWOT analysis, value chain, and other strategic aspects of lululemon's business are also summarized.
Red Bull is considering extending its brand into caffeinated energy bars. It would leverage Red Bull's brand image of high energy and excitement. The implementation strategy includes placing bars in convenience stores with eye-catching packaging and a premium price of $3.99. Red Bull projects the total energy bar market size at $1.2 billion, and estimates it could capture a 5% initial market share.
This document outlines a digital marketing strategy for Zara clothing to increase brand awareness among young adults and teenagers. The strategy focuses on social media platforms like Facebook, Twitter, Instagram and Pinterest to promote new arrivals, styles and contests. It also discusses search engine optimization, Google Adwords and analytics to drive traffic to Zara's website and mobile app. The total budget allocated for the one-year digital marketing plan is $9 million, with the largest portions going towards social media and mobile strategies.
This document contains a market segmentation report submitted by several students to their professor. It segments the Nike market demographically, psychographically, behaviorally, and geographically. The demographic segmentation looks at variables like age, gender, and occupation. The psychographic segmentation examines Nike's mission statement and lifestyle trends. Behavioral segmentation analyzes athletic attributes and style preferences. Geographic segmentation focuses on nations, cities, and population density. The report then discusses targeting high income youth and urban sports enthusiasts. It outlines Nike's positioning as a ubiquitous brand for athletes of all kinds and its shift to an attitude focus. Competitors, points of difference, parity, and brand mantra are also summarized. Lastly, the document proposes expanding
I made this PowerPoint presentation for my Consumer Behavior class in 2006. It was the for a project in which we examined Under Armour's integrated marketing communications, and made recommendations at the end.
Lululemon vs under armour business strategy analysisSophie Michelot
This document provides an analysis of Under Armour and lululemon athletica, two companies in the performance apparel industry. It discusses the industry information, key issues, trends, companies' goals, challenges, performance, business strategies, differences in business models, and competitive advantages. Recommendations are made for each company, including intensifying geographic expansion for lululemon and boosting sales/gaining market share through innovative products for Under Armour. Financial data and exhibits are provided in the appendices.
The document discusses the personal care industry in India, focusing on fairness creams. It notes that fairness creams account for approximately Rs. 1,800 crores of the Rs. 2,000 crores skin lightening product market. It also discusses trends like the growth of herbal and natural products, sun care products led by HUL, and men's grooming. Key segments like fairness creams, which are led by HUL's Fair & Lovely, and direct selling companies making inroads, are summarized.
This marketing plan summary outlines Lululemon's situation, target markets, and marketing strategies. Lululemon aims to remedy its damaged brand image through PR initiatives and by validating its pricing and quality. Its target markets are affluent men and women ages 18+ who engage in active lifestyles. The plan proposes expanding product lines to include maternity, plus sizes, and youth apparel. Marketing strategies include sponsoring events, loyalty programs, store expansion, and growing e-commerce. Implementation will occur over 5 years through new product launches, advertising, partnerships, and performance measurement.
Nike 2007 Financial Statement Comparision with Statementdahalpuskar
NIKE is one of the world's largest athletic shoe and apparel companies. It was founded in 1964 as Blue Ribbon Sports by Phil Knight and Bill Bowerman and began importing Japanese running shoes. By the 1970s, Nike had grown significantly in sales and changed its name. Today Nike captures over 20% of the US athletic shoe market and has expanded into various other sports equipment, apparel, and accessories. It sells products through retailers, owned stores, licensees, and its website. Nike has several subsidiaries and announced a quarterly dividend in 2008 while also putting its hockey equipment business Bauer up for sale.
This document provides an equity analysis and valuation report for Nike. It includes an overview of Nike, analysis of the footwear and apparel industries, competitor comparisons for Nike, financial analyses including ratios and regressions, forecasts of sales and financial statements, valuation of Nike using DCF and other models, and appendices with supporting calculations and data. Key findings are that Nike significantly outperforms industry averages on margins and profitability, has lower risk than the market, and is expected to have continued strong growth and performance based on financial analyses and forecasts, supporting a fair value estimate of $130.37 per share for Nike stock.
I recommend an underweight rating for Nike with a target price of $85. While Nike has a strong brand and innovative products that have driven growth, the stock is overvalued based on discounted cash flow and relative valuation models. Nike faces risks from increased competition and relies on continued innovation and expansion in direct-to-consumer and emerging markets to justify its premium valuation.
The recent economic growth coupled with uncertainties has resulted in the stakeholder's curiosity and interest in Valuations of their respective investee Companies and also the estimated Valuations of the Targets available for Sale which has led to a greater demand for Business Valuation services.
Since as of now there are no Regulated standards for Valuation in India, numerous conceptual controversies still remain, even among the most prominent practitioners. With a view to give an overview of the Valuation concepts in general and the practical issues in particular, www.corporatevaluations.in, an online venture of Corporate Professionals Capital, SEBI Registered Merchant Banker has prepared this report on "Insight of Valuation". Hope you find it useful. Suggestions for improvement are invited @ info@corporatevaluations.in
The document summarizes corporate governance and social responsibility initiatives of four Brazilian companies - BR Malls, Energisa, Eternit, and Gerdau. It provides an overview of each company's board structure, shareholder rights, and examples of citizenship programs. Key highlights include BR Malls' environmental initiatives through its malls, Energisa's investments in renewable energy and distance learning programs, Eternit's attention to managing its image around asbestos use, and Gerdau's recycling and employee volunteering efforts.
DCF Valuation : Business Valuation Article by Corporate Valuation TeamCorporate Professionals
Discounted Cash Flow (DCF) Method of Valuation expresses the present value of the business attributable to its stakeholders as a function of its future cash earnings capacity.
Chander Sawhney (FCA, CS, Certified Valuer (ICAI), Vice President, Corporate Professionals, SEBI REGISTERED (CAT -I) MERCHANT BANKER in
“CKF Master class on Recent Developments in Foreign Exchange Management Law” – 17 th Aug,2012
This valuation report estimates the fair market value of NIKE Inc. as of December 31, 2015. NIKE is the largest seller of athletic footwear and apparel worldwide. The report provides an overview of NIKE's business operations, the athletic industry, reconstructed financial statements, and valuation using asset-based, market-based, and income-based approaches. The report concludes with a determination of NIKE's business value based on a synthesis of the different valuation methods.
Our team conducted research and analysis to calculate the intrinsic enterprise value of Nike, Inc. This was done using a variety of methods, including: dividend discount model, discounted cash flow model, industry comparables, and basic economic research.
This business valuation report values Starbucks Corporation as of November 29, 2016 using two methods. The discounted cash flow method values Starbucks at $56.15 billion. The relative valuation method values Starbucks between $67.15-$80.86 billion based on comparable company multiples. By weighting the DCF 50% and relative values 25% each, the final fair market value is estimated to be $65.07 billion. The report also examines Starbucks' financials, industry, and capital structure to support the valuation.
The document analyzes four companies using DCF and relative valuation methods. For Hypermarcas, the DCF valuation estimates a value per share of R$10.88, below the current price of R$15.62, indicating it is overvalued. Relative valuations provide mixed signals, with the multiple near the median but regressions implying lower values. Overall, the analyses suggest Hypermarcas is overpriced.
A project report on financial statement analysisProjects Kart
The document discusses AU Financiers (India) Private Limited, a non-banking finance company registered with the Reserve Bank of India. It provides an overview of the company's history, operations, products and services, financial performance, targets, and departments. Key information includes growth in customers, assets, and net worth over time as well as details on vehicle financing, small business loans, and insurance products offered.
Lululemon is a leading retailer of athletic apparel that has experienced sustained success through international expansion, growth of e-commerce sales, and plans to enter new markets like men's and teen apparel. The company is currently valued at $64.50 per share but is undervalued according to the analyst's valuation of $68.80 based on growth opportunities in store locations, online sales, and new product categories that could yield an 11.4% annual revenue CAGR through 2019.
Performed a team-based valuation analysis of Lululemon Athletica, which includes financial and strategic assessments, a DCF analysis, and a final presentation to industry executives and faculty. Valuation as of February 1, 2017.
Nike is the world's largest sports apparel company. It has strong brand recognition and focuses on producing high-quality athletic products. While Nike faces competition from companies like Adidas, it maintains a leading position through marketing, innovation, and expanding into new markets globally. The analysis identifies opportunities for Nike to further penetrate growing markets and develop new product lines, while also addressing threats from competitors and shifting consumer preferences.
Retail Environment: US Retail Revolution
1. Retail Revolution Is Happening: Store Openings and Closures
2. All-Channel Universe Will Require Adaptation
Top 8 Global Retail Trends
1. Corporate Innovation Is the New R&D
2. Store as a Platform
3. Wellness as the New Luxury
4. Consumers Want to Be Part of a Community
5. Personalization and Customization
6. Resale Is Thriving While Retail Is Struggling
7. Demographics Suggest Opportunity in Plus-Size Apparel
8. Silver Economy: Aging Population Will Impact Retail
Lululemon is a leading athletic apparel company known for its strong brand image. It has potential for expansion through new product lines like menswear and ivivva, as well as geographic growth. However, it faces key risks such as competition infringing on its strategies and instability in executive management. A discounted cash flow valuation estimates Lululemon's fair value at $66 per share, its current market price.
My group created an Integrated marketing strategy plan for Nike athletic shoes, based on the data collected from Nike 10K report, Statista, IBISWorld, and etc. in 2018. This slides include but not limited to industry analysis, market analysis, competition analysis, business analysis, recommendations for 2019.
The document proposes that Under Armour acquire Columbia Sportswear to quickly expand its product offerings and strategically position itself in growing international markets. It analyzes the athletic apparel industry, identifying opportunities for growth. The document concludes that acquiring Columbia would allow Under Armour to penetrate new markets, diversify its geographic footprint, and leverage Columbia's distribution channels for international expansion.
The document proposes that Under Armour acquire Columbia Sportswear to quickly expand its product offerings and strategically position itself in growing international markets. It analyzes the athletic apparel industry, identifying opportunities for growth. The document recommends that Under Armour acquire Columbia to preserve its brand equity while allowing for expansion into new product segments and geographic markets. It asserts that the acquisition would meet Under Armour's goals of organic growth and international expansion.
The document provides a market research report on the children's wear market in Vietnam. It finds that the market size was 5 trillion VND in 2012 and is growing at 10% annually. Baby and toddler wear is the fastest growing segment. While the number of children is decreasing, revenue continues to rise due to price increases and consumers spending more. The market remains highly fragmented with no single brand having over 0.5% market share. The report segments the market and provides analysis of purchasing behaviors and preferences across income levels and priorities of quality, design and price. It forecasts continued growth in the children's wear market in Vietnam.
Asia Investment & Banking Conference 2018 – HSBC M&A Competition Champions (A...Amir Hisham
AIBC 2018 HSBC M&A Competition
Our team in the Investment Banking Division has been selected to present a pitch book - to be termed as a ‘Strategic Review’ - to the Board of Directors of our client, Michael Kors Holdings Limited (KORS), regarding a potential acquisition target in the fashion industry in line with their growth strategy.
1. By optimizing shelf space and delisting underperforming SKUs, the analyzed dairy company could double category sales within 1-2 years. Key growth opportunities exist in expanding the curd and kefir segments.
2. Consumer preferences indicate a need to strengthen the brand's safety and availability attributes to better compete with the market leader. A balanced focus on taste, health, and natural products is recommended.
3. Implementing initiatives like category management, assortment optimization, and sales promotions could increase sales per shop by 24% annually and help the company achieve its targets.
Challenge Footwear Business Simulation Game megcrowley
This document provides an overview of Challenge Footwear's strategy for expanding into the UK market. It discusses targeting the large urban populations in the UK with shoes for everyday use and sport. The strategy involves a mix of traditional marketing like commercials, billboards, and celebrity endorsements, as well as modern outlets like social media, blogs, and videos. The goal is to create a culturally relevant campaign around overcoming challenges in sports or otherwise.
This report is all about FMCG industry ITC company and Wills Lifestyle product, where i have tried to cover all aspect- About
Industry Company Finance Marketing and Human resource portion
Starbucks is recommended as a buy with a target price of $63.25 per share. The recommendation is based on Starbucks' strong financial position and dividend growth, optimistic outlook in the China-Asia Pacific region, and sensitivity analysis. Starbucks enjoys stable revenue growth in the short term and substantial growth in the mid-term. It has a strong financial flexibility to respond to challenges. Risks include market risk, economic risk, and operational risk.
This document provides information about the retail sector and Pantaloons, an Indian clothing retail chain. It discusses key details about the Indian retail market size and growth. For Pantaloons, it outlines the company's history and operations, performs SWOT and competitive analyses, describes their product portfolio and marketing strategies, and analyzes their financial performance and organizational structure.
Coffee capsule refers to coffee that is packed in a plastic or aluminum package instead of a paper filter. It is usually designed to be used for a single brand or system and is not interchangeable with other systems.
Target aims to improve Susan's in-store experience and spending. They analyze social trends like increased smartphone use and word-of-mouth influence. Their recommendations include implementing digital platforms like QR codes and iPads in stores, and exciting guests with exclusive partnerships and private label promotions. This is expected to increase trip frequency, sales, and basket size, generating an estimated $2.9 billion in additional apparel and accessories sales.
Target aims to improve Susan's in-store experience and spending. They analyze social trends like increased smartphone use and word-of-mouth influence. Their recommendations include implementing digital platforms like QR codes and iPads in stores, and exciting guests with exclusive partnerships and private label promotions. This is expected to increase trip frequency, sales, and basket size, generating an estimated $2.9 billion in additional apparel and accessories sales.
LVMH is a global leader in the luxury goods industry formed through the merger of Louis Vuitton and Moet Hennessy in 1987. It has experienced strong growth through strategic acquisitions and expanding into new markets like China. In China, LVMH faces high competition but also opportunities for growth as disposable incomes rise. LVMH can focus on cost efficiency, organic growth through innovation, expanding distribution networks, and managing its portfolio of brands including star brands like Christian Dior and new brands. The future prospects in China include further tapping the growing middle class and exploring new opportunities in rural areas through advanced marketing strategies and long-term commitment to the China market.
Nike is the largest seller of athletic footwear and apparel, founded in 1972. It has a diverse product portfolio including shoes, apparel and equipment for various sports sold in over 160 countries. Nike pursues a strategy of acquisitions of complementary brands and diversification to protect its premium brands and revive struggling brands. It focuses on innovation through R&D, celebrity endorsements, and targeting specific consumer groups through localized marketing. Issues around working conditions at some supplier factories have led to increased monitoring and transparency efforts.
2. Unique Value
Proposition
• Underlying growth in key drivers (healthy
lifestyle & fashion trends)
• Untapped potential in the Asian-Pacific markets
• Lululemon provides a unique in-store experience
• Strongly positioned with focus on fashion appeal
and high athletic performance quality
• Strong historical financial performance
• Expansion into global market can boost finances
• Revenue segment momentum supports revenue
growth
Financial Growth
Strong Market
Potential
We value Lululemon Athletica inc. at $75 per
share, nearly 4% above market price
2
4. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 4
Lululemon has the least market share in the
athletic apparel industry
55% 34% 7%
4%
Source: Company 10-K Reports
Market
Share
5. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Healthy living and casualization of apparel are the
drivers of growth in the athleisure market
Healthy living
5
Growth in
Athleisure
Market
Casualiza3on of apparel
6. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Athletic apparel has become more “casualized”
and worn for uses other than exercising
Use of
Apparel
Casual
38%
Running/Walking
37%
Gym Exercise
25%
6
Source: The Mintel Report
7. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
5
8
9
11
12
15
17
21
24
23
25
26
27
29
30
32
-
5
10
15
20
25
30
35
2014 2015 2016F 2017F 2018F 2019F 2020F 2021F
Population Practicing Yoga in the United States (2012-2021F)
Millions of People
CAGR
(2012-21F)
Male
Female
Frequency
of Yoga
(50+/year)
5.3%
8.9%
18.3%
Population practicing yoga growing at 12%
7
Source: Sport Business Research Network
9. High
Athletic Performance
Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Athletic Apparel Market Mapping (2016)
Athletic Performance and fashion appeal
High
Athletic Performance
High
Fashion
Appeal
Lululemon has set itself apart from competitors by
way of unique fashion appeal
Low
Fashion
Appeal
Low
Athletic Performance
9
10. High
Athletic Performance
Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Athletic Apparel Market Mapping (2016)
Athletic Performance and fashion appeal
High
Athletic Performance
High
Fashion
Appeal
Competitors encroaching Lululemon’s niche
market space
Low
Fashion
Appeal
Low
Athletic Performance
10
12. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 12
Despite its high quality standards, Lululemon
manages to keep costs low
52%
54%
52%
64%
30% 32%
38%
0%
82%
86%
90%
Lululemon Nike Under Armour Gap
COGS % of Sales SG&A % of Sales Total
Source: Morningstar
13. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 13
Lululemon is able to charge higher prices than
competitors
$98 $80 $75
14. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Help me help myself
Ambassadors Community Manifesto
Lifestyle management is a key aspect that sets
Lululemon apart from competitors
14
16. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 16
Lululemon’s current financial position
Revenue $ 2060.5 M
Gross Margin 48.4 %
Operating Income $ 369.1 M
Operating Margin 17.9 %
Net Income $ 266 M
LULU (as of January 2016)
17. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 17
Lululemon’s operating margin currently
outperforms competitors
17.9
14.0
9.9
8.7
0
5
10
15
20
Lululemon Nike Under Armour GAP
Lululemon’s Operating Margin Compared to Main Competitors (2016)
Operating Margin, %
Source: Morningstar
18. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Established profitability provides a strong
foundation for growth
18
Product
Innovation
Full North
American
Potential
Digital Culture
Global Footprint
• Look to ambassadors as a source of inspiration
• Men: pioneered with ABC pants and Sweat category
• Women: Swift technology gaining momentum, more color
options for tops
• Optimizing existing store square footage
• Expanding brand presence through different formats
• New website: more interactive customer experience
• Mobile App
• Promote brand awareness in Asian countries
• Focused on winning in London
• Opening new stores in Europe, Middle East and Asia
19. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 19
4.3% growth in sales of sportswear in China
presents an untapped opportunity
Sale of Sportswear in China
Billions of U.S. Dollars
Source: Euromonitor International
139.2 134.7
148.3
165.0
172.2
179.6
187.4
195.6
204.1
212.9
222.1
0
50
100
150
200
250
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
20. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Expansion into the Asian market is not risk-free
20
Fluctuating foreign
exchange rate
Intellectual
property
Cost of raw
materials
Maintaining value
and reputation
Supply chain
problems
Barriers in the
global market
21. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation! 21
Lululemon’s investment in e-commerce segment
leads to forecasted growth
74%
59%
19%
32%
7% 9%
2015 2016F 2017F 2018F 2019F 2020F 2021F 2022F
Percent Revenue by Segment (2015-2022F)
Other
Direct to
Consumers
Company-
operated
Stores
22. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Lululemon Financial Performance (2015 – 2022F)
Millions of U.S. Dollars
22
Despite decrease in revenue growth over time, still
expected CAGR of ~10%
-
0.05
0.10
0.15
-
1,000
2,000
3,000
4,000
2015 2016F 2017F 2018F 2019F 2020F 2021F 2022F
Growth Rate Revenue
Growth Rate
25. Market Growth Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Lululemon’s equity value is $9.54B, suggesting an
appropriate price per share of ~$75
• Risk free rate: 2.75%
• Beta: 0.67
• WACC: 6.10%
• Terminal growth rate: 3%
• Terminal forecast year: 2022
• Tax rate: 30%
$4.0B
2022 revenue
Financial Assumptions Key Results
$0.79B
2022 EBIT
$9.54B
Equity Value
$75
Price per share
25
26. Unique Value
Proposition
• Underlying growth in key drivers (healthy
lifestyle & fashion trends)
• Untapped potential in the Asian-Pacific markets
• Lululemon provides a unique in-store experience
• Strongly positioned with focus on fashion appeal
and high athletic performance quality
• Strong historical financial performance
• Expansion into global market can boost finances
• Revenue segment momentum supports revenue
growth
Financial Growth
Strong Market
Potential
We value Lululemon Athletica inc. at $75 per
share, nearly 4% above market price
26
27. Appendix! 27
Appendix: Index
(28) SWOT Analysis – Strength and Weakness
(29) SWOT Analysis – Opportunities and Threats
(30) Marketing Strategy
(31) Marketing Strategy
(32) Marketing Strategy
(33) WACC Comparables
(34) Discounted Cash Flow Analysis
(35) Historical Stock Prices
(36) Growth in Asian markets
(37) Store Locations (worldwide)
28. Appendix! 28
SWOT ANALYSIS
Strengths and Weaknesses
• Unique brand positioning and fashionable
product offering
• Multi-channel approach
• Strong revenue growth
• Dependence on third-party suppliers and
manufacturers
• High price
• Unable to properly predict demand for products
29. Appendix! 29
SWOT ANALYSIS
Opportunities and Threats
• Compelling long term growth opportunity
• Men’s sales growth, ivivva store roll-outs, and
larger store formats
• Rising popularity of e-commerce
• Increasing competition in athletic apparel sector
• FX volatility impacting sales and margins
31. Appendix!
Marketing Strategy: 4 P’s
Product Price
Place Promotion
• Athletic apparel
• Fashion for a healthy lifestyle
• Online and in store
• Originally in Canada
• Looking to expand to Pacific
markets
• Fairly expensive compared to
comparable brands
• Ambassadors
• Social Media
• Soul Cycle Partnership
31
32. Appendix!
Company
Competition
Customer
• Lululemon
• Uniquely fashionable athletic apparel
• Unique technology (luon and ABC type fabrics)
• Aspire to healthy living
• Manifesto
• Educated and sophisticated women
• Growing male and female youth market
• Generally upper class
• Those who understand the importance of an
active and healthy lifestyle
• Adidas
• Nike
• Athleta
• Lucy
• Under Armour
Marketing Strategy: 3 C’s
32
33. Appendix! 33
WACC comparables
Lululemon Nike
Under
Armour
Gap
Cost of
Equity Ke
6.10% 6.33% 8.33% 6.48%
Cost of
Debt Kd
0 3.40% 4.25% 5.95%
Debt/Total
Value
0 23M 38M 182M
Marginal
tax rate
30% 30% 30% 30%
WACC 6.10% 6.24% 8.13% 6.06%
34. Appendix! 34
Discounted Cash Flow Analysis (in thousands)
Sum of FCF 1,922,127
Sum of DCF 1,495,097
Terminal Value 11,417,959
PV (TV) 7,543,637
Enterprise Value 9,038,734
Cash & Marketable
Securities
501,482
Debt 0
Equity Value 9,540,216
Shares Outstanding 127,520
Price per Share 74.81
35. Appendix! 35
Historical Stock Prices
Sheer
Legging
Scandal
3rd Quarter
earnings did not
meet analyst
expectations
67% increase in
inventory value Downsized profit
and sales forecast
Forecasted a fall
in sales in the 4th
quarter
36. Market Potential Ÿ Unique Value Proposition Ÿ Financial Growth Ÿ Valuation!
Asia could be the biggest contributor to growth
of athletic-wear sales
14
16 16 16
17
-
5
10
15
20
2015 2016 2017 2018 2019
Forecasted Athletic-Wear Sales in Asia
Billions of Dollars
Source: Morgan Stanley Research Estimates
36