Management of Organisation 2
The case is about Mondetta Everywear, a clothing company located in Winnipeg in
Canada. The company is owned by four individuals also brothers (Laughren, 2013). The case
therefore provides an in-depth analysis about the company that gives insights on the operation
and best growth strategy for the company. The company has sound financial resources that have
contributed to its expansion. Through licensing, the company has also managed to ensure that
they preserve their copyrights (Laughren, 2013). There is also a fit between personal and
corporate objectives since the four owners have resolved to work hard to ensure that the business
to whom they have shares succeeds.
SWOT analysis as well provides insights about the company. Internal issues of the
company are understood through the strengths and weaknesses. Strength includes, lean
management structure and stable finances (Laughren, 2013). Weakness includes stiff
competition. Opportunities include ready market in some of the foreign countries such as USA.
Threats includes, different trade dynamics in part of the markets, and changes in fashion trends
Segment 1 Segment 2 Segment 3
Who Young people Adults Young and adults
What Jeans Sweatshirts t-shirts, swimming
MANAGEMENT OF ORGANISATION 2 2
costumes
When Throughout the years Throughout the years Throughout the years
Where Canada USA Western Europe
Why Usually clothing
How Press exposure Word of mouth, trade
shows
Graphic appeal of
clothing, display on
transit shelters
Market size Small Larger Larger
Implications:
Segment 1 Segment 2 Segment 3
Product Variety of products to
get wider customer
base
Different designs
increased customer
base
Products came in
various designs and this
increased profitability
Price Prices were competitive
aimed to attract more
customers and increase
sales
Prices were competitive
aimed to attract more
customers and increase
sales
Prices were competitive
aimed to attract more
customers and increase
sales
Place The markets varied and
included Canada
market which was
potential
Extending in USA
increased sales but
was met with
competition
Widened market to
Europe and this
impacted on sales
volume
Promotion Media helped to expose
the company products
Use of word of mouth
as well increased
awareness
Use of graphics as well
as word of mouth
increased the level of
sensitivity increasing
MANAGEMENT OF ORGANISATION 2 3
sales volume
The products are distributed using independent stores and chain stores (Laughren,
2013). The company uses these distribution channels sparingly and decisively to ensure that the
customers get access to their products. For instance, chain stores are preferred in USA as
opposed to Canada markets hence, this ensures that more customers access to their products.
Competitors in the market are many such as Passport International that contributes to stiffer
competition in the market. They have reduced market share and as well leading to reduction in
prices of the products.
The company is as well affected by various external factors such as social, economic,
technological and politics. The environment of operation is stable hence, the company has
confident in the markets. The economic situation is also stable. The advancement of technology
requires the company to embrace innovation to remain competitive. Cultures vary and this
should be considered in the designs of their clothing.
Corporate capabilities as well affect the business. The company uses various marketing
strategies such as word of mouth which has enabled it to get more customers. This form of
advertisement however takes long period for many customers to know about the products.
Financial manages is good. The company employs competent employees that have enabled it to
succeed in their initiatives. The company has as well managed to maintain its fixed costs as well
as variable costs hence achieved a breakeven point.
MANAGEMENT OF ORGANISATION 2 4
I recommend the company to survey other potential markets that are yet to be explored
and take the opportunity. They should as well change their distribution strategy, consider using
technology to market, and sell its clothes to reach wider customer base.
Reference
Laughren, T. (2013). Management of Organizations COM 1007, Laurentian University; Ivey
Publishers.