| ution and retail | | | | types of functional uses, target customer base). |
| Geox distributes its products worldwide through | | | | Similarly, we will then expand the discussion to the |
| two different channels: a wide international circuit | | | | other activities of Geox's configuration. |
| of about 8000 independent multi-brand shops and | | | | The "red" strategic position: where competitors |
| a network of single-brand Geox Stores. This | | | | crowd |
| second type of distribution allows Geox to | | | | Most of Geox's direct competitors 8 tend to have |
| leverage its brand and to keep a more direct | | | | a strategic position distinguished by two |
| relationship with customers, systematically | | | | characteristics: a) they tend to be specialists |
| monitoring their tastes and preferences. ( | | | | (produce within a narrow product range) and |
| Currently, Geox has some 250 stores, 80% of | | | | compete in one or few market segments (by |
| which are run under franchising agreements, while | | | | customer group -e.g. men's, women's, kids', or |
| 20% are directly run and owned flagship stores, | | | | product type - e.g. sport, casual, classic or dressy |
| strategically located in the heart of the most | | | | footwear, sandals, boots, sneakers, etc.); b) they |
| important cities in the world. Geox's commercial | | | | innovate the product in terms of design, style |
| strategy has been incremental and somewhat | | | | (fashion) and materials, mainly focusing on the |
| prudent. Firstly, it penetrated and saturated the | | | | upper of the shoe. These two choices are |
| domestic market. Then, it attacked the adjacent | | | | complementary. They reinforce each other |
| European markets, consolidating significant shares | | | | because they leverage knowledge of specific |
| in Germany, Spain, France and, lately, the UK and | | | | customers (the style of the upper varies greatly |
| Poland. | | | | depending on the segment; for example dressy |
| In each country, it has first gained a significant | | | | shoes for women versus men; sandals versus |
| market share through third party distribution and | | | | boots; brown shoes versus sneakers), and |
| then built its own retail network. Only when its | | | | because they allow focusing R&D investment on |
| market share was large enough, Geox dared | | | | new design and materials. ï¼ |
| attack the relevant market leader (e.g. Mephisto in | | | | Here players race (and invest) to design and |
| France). After consolidating its presence in Europe, | | | | produce the most fashionable shoes of a certain |
| Geox has recently turned its attention to the US | | | | kind, or, at least, those that, during a given |
| and China. As regards the US market, Geox has | | | | season, will likely meet the tastes of the target |
| signed a major distribution agreement with | | | | customer groups. Investment in style (brand |
| Nordstrom and, at the same time, opened flagship | | | | included) is also intended to strengthen the |
| stores in key locations, starting with Madison | | | | specificity and originality of the company product, |
| Avenue in New York. In China, Geox has opened | | | | increasing its differentiation in the chosen segment. |
| 10 stores in the Shanghai area, but also sells its | | | | Report this article |
| shoes through the Aokang retail network, which | | | | This article is free for republishing |
| consists of 2,000 outlets. | | | | Source: |
| To keep the application of the theoretical | | | | Republish this article |
| framework simple, we start by contrasting | | | | Ask a Question About this Article |
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