168 Part 2 . Planning community projects. It is also going through the process of very best; and gets the best by hiring the brightest individuals interested in a retail career replacing plastic carrier bags with paper bags. Goal setting by employees is coupled with recognizing Following criticism in the early 2000s due to its use of strong organizational skills by management. Asian factories as the primary source of its products. Primark Primark's Management Trainee Program is aimed at grad decided to attain ethical trading status. In 2009. Primark set a uates, with key training related to buying because the company program in motion to improve labor standards across its sup- sources its products from around the world. ply chain in China. Goals included increasing wages, deliver- Interestingly. Primark is one of the few retailers that ing productivity benefits, and creating long-term and lasting do not have an online presence. The company believes that improvements. In order to meet these goals, Primark hired, it does not need an e-commerce site. Primark is owned by Progress has been encouraging, and realistic solutions to basic Associated British Foods and at a major management meeting problems have begun to yield major successes. in August 2011, it outlined the outlook for its various busi Primark's planning approach has clearly been working. ness divisions According to research 75 percent of a consumer's decisions Notable in the planning are made in three seconds at was the fact that it retained its the point of sale. Primark fo- commitment to the high street Primark ... Hitting the Mark' cuses on this and pays par- rather than the Internet. It also ticular attention to instantly planned to grow retail space by 10 percent within the next 12 hooking consumers with its shop fittings, layout, and visual months. merchandising In terms of planning and decision making, the decision Primark's planning for the future is well underway. not to set up an e-commerce site makes perfect sense. Given the fact that many of its fast fashion clothing products begin at Discussion Questions as low as USS4. it would take an enormous number of sales to offset the setup costs. 5-31 Discuss Primark's decision to bypass e-commerce? Associated British Foods, the parent company, has an 5-32 Differentiate Primark's marketing effort from other retailers? overall sales turnover of US$16.37 billion. It has 97,000 em 5-33 Provide examples of fast fashion chains in your country? How ployees working in 44 different countries. Primark itself em would they cope with competition from an expanding retailer ploys 34.000 across 226 stores, with 7.47 million square feet of like Primark? selling space. Primark is now the second-largest retailer in the 5-34 Why does Primark focus mcre on the look of its shops than United Kingdom. other marketing strategy? Primark also does not advertise. Instead it relies on public 5-35 What types of planning and goal setting are described in this relations, word of mouth, and the strategic positioning of key case? How would it help Primark's future operations, and stores. Clearly the business operates on tight margins. expansion? Primark's planning is focused on the ability to offer fast Sources: Associated British Foods Plc, www.abf.co.ukPrimark, www fashion products at the lowest possible price. At the same primerk.co.uk: "Primark Boldly Does Not Go Online." Marketing Week, time, it attempts to ensure that it operates within an ethical August 25, 2011, www.marketingweek.co.uk and: M. Sheridan, framework C Moore, and K. Noobs, "Fast Fashion Requires Fast Marketing The Primark has membership in the Ethical Trading Initiative, Role of Category Management in Fast Fashion Positioning." Journal of and it also supports local charitable organizations and Fashion Marketing and Management 10 (2006)