BMA4000 - The Business Environment
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Table of Contents
Introduction
The case study refers to a fast fashion firm that seeks to create affordable, fashionable products while solving societal and environmental issues. Strategizing, operations and market positioning analysis constitute this reflective report on the company. In presenting the case, intending to adopt Gibb’s Reflection Model as the overall approach, the report analyses important elements of decision-making, group processes and the solution explored in the case study. The objective of the report is to discuss the learning experience, critically evaluate the outcomes of strategies used and recommend the emergence of adjustment where necessary in the process of meeting the business concerns within the fast fashion sector.
Description
The case study focuses on a fast fashion firm that operates for twenty-two months and specializes in offering cheap and quality wear to the general public (Morrison, 2023). It is also very saturated with cutthroat competition, where the major players churn out clothes at a very high rate and bring more styles to market. But there are reverses of this advantage and they are the following major challenges, especially of social and environmentally sensitive issues. Problems like more consumption of water with high percentage emission of greenhouse gases and unethical labour practices are some of the problems associated with this industry. The company is still expected to expand as it looks to minimize these various negative externalities.
Among the problems observed within the company’s business environment, the following can be identified. These are such as the ability to balance low production costs with provable sustainable business practices (Zineb elkhamlichi, 2023). However, some dilemmas result from the organization’s failure to meet new standards set by the new generation of consumers such as the millennials. The case develops these factors as strategic management issues.
In seminars, acquiescence with peers to analyses the solutions was applied as per Tuckman and Jensen's group stages forming, storming, and norming. In these meetings, the team was involved in generative processes where there were simultaneous discussions of the business conflicts and the generation of solutions to the business's internal and external problems. It helps that the group is an active one because this made me get a grasp of the issues related to fast fashion.
Feelings
When the fast fashion case was introduced, it was accompanied by feelings ranging from optimism as well as fear (Boykoff, et.al., 2021). It was curiosity about the constantly shifting composition of rival industry participants and the research of how to combine style, reasonable prices, and sustainability. However, the severity of the social and ecological consequences linked with it sparked the question about the ethicality of such a model for a business.
Confidence was variable when approaching the business problems presented in the case. It was recognized that, although the concepts of business were easy to understand at such a level, a tactical approach was necessary to practical issues of a company’s existence – where it is possible to achieve maximum profit and, at the same time, be ethical. This pursuit of two strategic goals generated an unclear outline of objectives in decision-making.
It also looked like there wasn't enough preparation (Bonelli, Caferra and Morone, 2024). People understood the basics of business, but not the problems that come with using safe methods and making affordable clothes. This showed that more study and education are needed to understand the complicated world of fast fashion. It also showed how important ongoing education is for fixing problems that happen all the time in business today.
Evaluation
It can be said that when working on the fast fashion case study there were pros and cons. On the positive side, the formation of the group led to cooperation that ensured the group members would be willing to give their different point of of view (Tulin Dzhengiz, Haukkala and Olli Sahimaa, 2023). This symbiosis appeared helpful in coming up with the best strategies to respond to challenges in project delivery. Members were able to optimize the usage of each other’s strengths and ensure that the analysis made as well as the recommendations given were balanced.
However, issues were realized during the analytical part of the operation. Possibly the most crucial challenge was the failure to establish a clear understanding of the size and context of the case problem within the group causing a mis achievement of the group’s goals. Such misunderstanding caused delays in the work and revealed the need for coordination and providing distinct roles and responsibilities (Brewer, 2021). Such challenges can be explained using Tuckman and Jensen’s group theory since the “storming” stage is typically characterised by conflicts and misunderstandings. Finally, in this phase of group development, members fail to agree on a group focus and goals, and, therefore, get frustrated.
The group entered the "norming" stage as the debates progressed, which led to better collaboration and the successful resolution of conflicts. Even though there were some problems at the start, this reflective method showed how important it is to work together and how important it is to have good communication techniques to help future business groups do their best.
Analysis
Several strategic choices were taken to address operational and commercial challenges for the fast fashion case study. They made a smart move by focusing on sustainability to set themselves apart in the market. They saw a need in the market for ethically produced clothing, so they framed the firm as an eco-friendly label. Porter's Differentiation Strategy, which says that the best way to set itself apart from others is to create value, led to this choice. To keep up with the latest market trends and attract eco-friendly customers, the team suggested reusing and using eco-friendly materials.
Several of the choices didn't work. For example, Instagram and TikTok were given more weight in the marketing plan than standard marketing platforms, which might have been aimed at older customers with a lot of money to spend. Because the business wasn't reaching enough people, it was clear that they needed combined marketing to get to more people. This activity showed how hard it can be to really understand the tastes and habits of the target market.
To save money, the plan to make production easier worked in theory, but it was hard to put into action. It was hard to find a good mix between quality and low cost in this fast-paced business. Mintzberg's theory of corporate structure says that the rigid structure of the company stops new ideas and changes from happening (Rathore, 2022). To be more specific, production delays and fears about quality control hurt the brand's image.
Because of talks between management, ethical providers were brought on board to make the supply chain clearer (Ostermann, et.al., 2021). It was a social problem that this move caused, but it also caused problems with logistics and money. Because of fair wage rules, operating costs went up, which put social duty and earnings at odds with each other.
Short-term environmental goals were backed by some long-term plans, but more study was needed to find the best balance between marketing variety and operating efficiency. Not only did the process of making decisions spark imagination, but it also showed that more in-depth business research was needed.
Conclusion
The case study shed light on how the fast fashion business can find a balance between being environmentally friendly and making money. Ethical-cost effectiveness and strategy uniqueness are two of the most important lessons. Critical thought, making decisions, and talking to each other in groups were all things that could be done better. It would be easier to deal with problems in the future if marketing efforts were organised and market study was better. Without controlled contact and clear work assignments, the process might not have gone as quickly or as well as it could have.
Action Plan
Step |
Action |
Details |
Objective |
1 |
Conduct Comprehensive Market Research |
It is important to keep an eye on market trends, customer tastes, and competition so that they can understand what customers want and what's new in the field (Atchison, et.al., 2021). |
To make sure that the goods and services meet the needs of the market better. |
2 |
Enhance Sustainability Practices |
Follow the rules about the environment and use materials and methods of production that are good for the environment and last a long time. |
The need for clothes that are both moral and good for the world. |
3 |
Diversify Marketing Strategy |
Make an all-encompassing marketing plan that includes both old-fashioned media like print and TV and newer ones like social media. |
Boost the size of th viewers across all age groups.
|
4 |
Strengthen Supply Chain Transparency |
Work with providers who are responsible, and maintain open lines of conversation about wage and environmental laws. |
To get people to trust the company more and improve its image. |
5 |
Team Collaboration improvement |
In contrast to public companies, limited liability companies can't raise money or sell shares. Scalability might be slowed down if the business needs to grow using its own money, loans, or money from outside sources. |
So that people can work together better and fight less. |
6 |
Monitor Operational Efficiency |
Review production methods and put in place quality control measures regularly to find a balance between low costs and high quality. |
To make sure operations run smoothly without falling short of expectations. |
7 |
Continuous Learning and Development |
To help employees make better strategy choices, they should learn about management, marketing, and ecology. |
So that the team is ready for any future business problems . |
References
Atchison, C., Bowman, L.R., Vrinten, C., Redd, R., Pristerà, P., Eaton, J. and Ward, H., (2021). Early perceptions and behavioural responses during the COVID-19 pandemic: a cross-sectional survey of UK adults. BMJ open, 11(1), p.e043577. https://bmjopen.bmj.com/content/bmjopen/11/1/e043577.full.pdf
Bonelli, F., Caferra, R. and Morone, P. (2024). In need of a sustainable and just fashion industry: identifying challenges and opportunities through a systematic literature review in a Global North/Global South perspective. Discover Sustainability, [online] 5(1). doi:https://doi.org/10.1007/s43621-024-00400-5.
Boykoff, M., Chandler, P., Church, P. and Osnes, B. (2021). Examining climate change and sustainable/fast fashion in the 21st century: ‘Trash the Runway’. [online] ResearchGate. Available at: https://www.researchgate.net/publication/351896155_Examining_climate_change_and_sustainablefast_fashion_in_the_21st_century_'Trash_the_Runway' [Accessed 2 Oct. 2024].
Brewer, M. (2021). Slow Fashion in a Fast Fashion World: Promoting Sustainability and Responsibility. [online] ResearchGate. Available at: https://www.researchgate.net/publication/348756344_Slow_Fashion_in_a_Fast_Fashion_World_Promoting_Sustainability_and_Responsibility [Accessed 2 Oct. 2024].
Morrison, J. (2023). The Global Business Environment. [online] Bloomsbury Publishing. Available at: https://www.bloomsbury.com/uk/global-business-environment-9781350321748/ [Accessed 1 Oct. 2024].
Ostermann, C.M., Nascimento, L.D.S., Steinbruch, F.K. and Callegaro-de-Menezes, D., (2021). Drivers to implement the circular economy in born-sustainable business models: a case study in the fashion industry. Revista de Gestão, 28(3), pp.223-240. https://www.emerald.com/insight/content/doi/10.1108/REGE-03-2020-0017/full/pdf
Rathore, B. (2022). Supply chain 4.0: Sustainable operations in fashion industry. International Journal of New Media Studies (IJNMS), 9(2), pp.8-13. https://www.researchgate.net/profile/Bharati-Rathore-2/publication/368303020_Supply_Chain_40_Sustainable_Operations_in_Fashion_Industry/links/63e15c39af870646abe4abcc/Supply-Chain-40-Sustainable-Operations-in-Fashion-Industry.pdf
Tulin Dzhengiz, Haukkala, T. and Olli Sahimaa (2023). (Un)Sustainable transitions towards fast and ultra-fast fashion. Fashion and Textiles, [online] 10(1). doi:https://doi.org/10.1186/s40691-023-00337-9.
?Zineb elkhamlichi (2023). The State of Sustainability in the Fashion Industry | Infomineo. [online] Infomineo. Available at: https://infomineo.com/sustainable-development/the-state-of-sustainability-in-the-fashion-industry/ [Accessed 2 Oct. 2024].
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