The American Eagle Outfitters is another important competitor of the Gap. This company focuses on online selling, but has also decided to increase the number of traditional stores it owns.
Competition from potential new entrants to the industry
The threat of new entrants is quite reduced in the U.S. clothing industry. This is because success in this industry depends on several important factors. In this case, it is important to be able to provide a large number of similar stores in the proximity of the buyer because this is an important factor that affects customers' purchasing decision. The location of the retail stores is also very important. Some people consider that online clothing retailers are in the position of threatening the big players in this industry. However, this is not exactly the case. This is because most customers prefers to study the clothes they want to purchase. Another important market entry barrier is represented by the financial resources that these companies require in order to build brand loyalty.
Competition from producers of substitute products
In this case, competition is represented by department stores, big-box stores, men's clothing stores, women's clothing stores, children's clothing stores, and others. Important department stores that the Gap must take into consideration are represented by the Federated Group, Sears, and JC Penney. Target and Walmart are important big-box stores that produce competition in this industry. In addition...
Whirlpool Whirl Pool Supply Chain Management Supply Chain Management Critical appraisal of Whirlpool's Supply Chain Management Company Overview Products and Services Critical review of Operations Contribution to business performance System Changes Changes in Internal Forecasting Process Business Performance Results Criteria for trade Partner Fit Competitive advantage Critical Evaluation of System Customer Centric-Supply Chain Management System Collaborative Supply Chain Whirlpool's production Current System Changes Planning and sourcing decisions Planning Sourcing Drawbacks of Whirlpool delivery system Inventory Delivery Factors for taking supply chain management decision Figure: Supply Chain Performance factors Gap Analysis Strategic partnership Integration Reduced Cost and Inventory Future trends
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