case 7 Case Assignment Questions lululemon athletica, Inc., in 2020: Is the Recent Growth in Retail Stores, Revenues, and Profitability Sustainable? ASSIGNMENT QUESTIONS 1. How strong are the competitive forces confronting lululemon in the market for performance- based yoga and fitness apparel? Do a five-forces analysis to support your answer. 2. What does your strategic group map of the performance sports apparel industry look like? Is lululemon well positioned? Why or why not? 3. What do you see as the key success factors in the market for performance-based yoga and fitness apparel? 4. What does a SWOT analysis reveal about the overall attractiveness of lululemon's situation? 5. What are the primary components of lululemon's value chain? 6. What are the key elements of lululemon's strategy? [If you have previously covered the Under Armour case, which features of lululemon's strategy stand out as being different from the strategy at Under Armour?] 7. Which one of the five generic competitive strategies discussed in Chapter 5 most closely approximates the competitive approach that lululemon is employing? 8. What do the data in case Exhibit 1 reveal about lululemon's financial and operating performance? You should use the financial ratios in Table 4.1 of Chapter 4 (pages 66-68) in performing calculations to determine which aspects of lululemon's financial performance might be characterized as impressive and those aspects you believe are in need of improvement. In addition to the ratios in Table 4.1, you should definitely calculate compound average growth rates (CAGR) for certain financial measures. The formula for calculating CAGR (in percentage terms) is as follows: CAGR %=[ending value + beginning value] *-* x 100 (where n = the number of year-to-year or period-to-period changes) 9. What 3-4 top priority issues do CEO Calvin McDonald and lululemon management need to address? 10. What recommendations would you make to lululemon CEO Calvin McDonald? At a minimum, your recommendations should cover what to do about each of the top priority issues identified in question 9.