¶ … Running Room Case Study
Question 1 Do a SWOT on the Running Room.
The Running Room's strengths include the fact that the Running Room offers personalized service and quality shoes expressly designed for running and for the unique sports needs of runners. Also, the relatively low cost of opening up and maintaining the store means that it is easy to enter the market on a store-by-store basis. The Running Room's weaknesses are that the store has a relatively small niche market, that of serious runners and/or health conscious, older consumers. While serious runners do not generally patronize stores like Foot Locker, more generalized athletic shoe stores such have a wider market base and can sell more varieties of cheaper shoes at volume.
The threats to the Running Room include the store's primary competitors in the form of small independent outlets that exhibit local market strength based on longstanding customer loyalties. Opportunities for the Running Room include redefining the store in the United States to take advantage of the current concern about fitness, the increasingly 'fashion focused' attitude of chains like Foot Locker and The Athlete's Foot in the United States that act as a 'turn off' for serious runners.
Question 2 Present Situation: Considering the geography of the U.S. And criteria for location that Staton seems to prefer, briefly describe three alternative strategies that RR might use to enter that market. Be specific.
Although Stanton has a preference for locating stores in smaller markets, one potential option would be to locate in a larger, more urban area such as New York City and Boston, both cities with large and affluent segment markets that enjoy running and might desire the more personal attention the store provides. Although Canadian expansion was achieved with...
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