Describe the population from the case study

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
icon
Related questions
icon
Concept explainers
Topic Video
Question

Describe the population from the case study.

It's the last Christmas for some Forever 21 stores. Here's why the retailer went bankrupt
Forever 21 has long been a staple in America's shopping malls. But after this holiday season, more of its stores will go dark.
The fast-fashion retailer's rapid expansion internationally took a toll on the company and contributed to Forever 21's decision to file for Chapter 11
bankruptcy protection in September. At the time, it had more than 800 stores worldwide.
Its focus on expansion made it unable to invest in its supply chain, and so Forever 21 took more time to get fresh styles of clothes to market at a time
when fast fashion was really picking up and shoppers were hungry for newness. Its sales tumbled as Forever 21 was pitted against heightened
competition from rivals such as H&M and Zara.
Forever 21 also was burdened by its massive stores that can be as large as a department store, or more than 100,000 square feet. The company's
founders, the Changs, wanted to open more locations quickly, and so they ended up buying bigger shops from now-bankrupt retailers such as Sears,
Mervyn's and Borders.
Analysts also say Forever 21 failed to understand some of the markets outside of America as it opened more shops in places such as China and London.
During its bankruptcy proceedings, Forever 21 said it plans to exit most of its businesses overseas, in Asia and Europe. It plans to continue operating in
its stronger regions of Mexico and Latin America. And it doesn't plan to exit any major markets in the U.S., though it will shut dozens of stores there.
The total number of stores that will be shuttered, however, remains unknown, as the company continues to negotiate with landlords.
At its peak, Forever 21 was bringing in more than $4 billion in sales annually.
Looking to the future, Forever 21 has said it wants to focus on the U.S. and making sure the quality of its clothes is up to par, which could win back
shoppers.
Transcribed Image Text:It's the last Christmas for some Forever 21 stores. Here's why the retailer went bankrupt Forever 21 has long been a staple in America's shopping malls. But after this holiday season, more of its stores will go dark. The fast-fashion retailer's rapid expansion internationally took a toll on the company and contributed to Forever 21's decision to file for Chapter 11 bankruptcy protection in September. At the time, it had more than 800 stores worldwide. Its focus on expansion made it unable to invest in its supply chain, and so Forever 21 took more time to get fresh styles of clothes to market at a time when fast fashion was really picking up and shoppers were hungry for newness. Its sales tumbled as Forever 21 was pitted against heightened competition from rivals such as H&M and Zara. Forever 21 also was burdened by its massive stores that can be as large as a department store, or more than 100,000 square feet. The company's founders, the Changs, wanted to open more locations quickly, and so they ended up buying bigger shops from now-bankrupt retailers such as Sears, Mervyn's and Borders. Analysts also say Forever 21 failed to understand some of the markets outside of America as it opened more shops in places such as China and London. During its bankruptcy proceedings, Forever 21 said it plans to exit most of its businesses overseas, in Asia and Europe. It plans to continue operating in its stronger regions of Mexico and Latin America. And it doesn't plan to exit any major markets in the U.S., though it will shut dozens of stores there. The total number of stores that will be shuttered, however, remains unknown, as the company continues to negotiate with landlords. At its peak, Forever 21 was bringing in more than $4 billion in sales annually. Looking to the future, Forever 21 has said it wants to focus on the U.S. and making sure the quality of its clothes is up to par, which could win back shoppers.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Inventory management
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, marketing and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles Of Marketing
Principles Of Marketing
Marketing
ISBN:
9780134492513
Author:
Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:
Pearson Higher Education,
Marketing
Marketing
Marketing
ISBN:
9781259924040
Author:
Roger A. Kerin, Steven W. Hartley
Publisher:
McGraw-Hill Education
Foundations of Business (MindTap Course List)
Foundations of Business (MindTap Course List)
Marketing
ISBN:
9781337386920
Author:
William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:
Cengage Learning
Marketing: An Introduction (13th Edition)
Marketing: An Introduction (13th Edition)
Marketing
ISBN:
9780134149530
Author:
Gary Armstrong, Philip Kotler
Publisher:
PEARSON
MKTG 12:STUDENT ED.-TEXT
MKTG 12:STUDENT ED.-TEXT
Marketing
ISBN:
9781337407595
Author:
Lamb
Publisher:
Cengage
Contemporary Marketing
Contemporary Marketing
Marketing
ISBN:
9780357033777
Author:
Louis E. Boone, David L. Kurtz
Publisher:
Cengage Learning