Over the next 10 years, Mr Price seeks to achieve the highest market value of any retailer
Question:
Over the next 10 years, Mr Price seeks to achieve the highest market value of any retailer in Africa. Mr Price is known for dominating the value for money market, but this overreliance on value fashion made the company vulnerable to foreign competition.
The company has therefore entered markets in other price ranges, with the acquisition of Power Fashion on the lower price end, in the deep value market, and Yuppiechef on the upper end, appealing to aspirational, higher-income customers.
Analyse Mr Price’s new retail market strategy in terms of the selection of target market segment and retail format. Using your analysis, create a matrix of these two central retail market strategy concepts for Mr Price, Power Fashion and Yuppiechef.
Six (6) marks will be awarded for correctly analysing the target markets for Mr Price, Power Fashion and Yuppiechef. Six (6) marks will be awarded for correctly identifying and justifying the choice of retail format for Mr Price, Power Fashion and Yuppiechef. Three (3) marks will be awarded for creating a matrix of target market and retail format for Mr Price, Power Fashion and Yuppiechef.
Cornerstones of Cost Management
ISBN: 978-1285751788
3rd edition
Authors: Don R. Hansen, Maryanne M. Mowen