Introduction
Manner may be defined as a manner of life. adorning. etc. . which is popular today. but will shortly lose their popularity. It is something go throughing and impermanent. a simple fad of the minute to be looked down upon with disfavor. For illustration. tight bloomerss are the manner today. but merely a short piece ago wide loose bloomerss were the order of the twenty-four hours. If today a adult male appears in society have oning wide bloomerss. he would be held up to roast. but merely a few old ages ago they were the tallness of manner. symbols of good gustatory sensation and civilization. American Eagle Outfitters ( AEO ) and Abercrombie & A ; Fitch ( A & A ; F ) are two companies that play a major function in the vesture industry. The undermentioned treatment with comparison and contrast the competitory advantages of the supply concatenation of the two companies.
Company HISTORY
AEO
American Eagle Outfitters. Inc. . a billion dollar corporation. is ranked as one of the largest retail ironss in America. With their cardinal corporate central office in Pittsburg. Pennsylvania. and two other corporate installations located in New York City and Tokyo. Japan. American Eagle. Inc. operates legion mainline shops. mill shops. franchised shops. and distribution centres across the state and the Earth.
In 1977. brothers. Jerry and Mark Silverman. who owned and operated Silverman’s Menswear. a Retail Ventures. Inc. company. founded American Eagle Outfitters. Opening their first shop in Novi. Michigan at Twelve Oaks Mall. the Silverman brothers were trusting to diversify their menswear line ( AEO Management Co. . 2013 ) . Several shops were opened up and a catalog was created. American Eagle Outfitters continued to turn into 1990. when Jacob Price took over which led to the debut of insouciant. private-label ware for work forces and adult females. In 1994. American Eagle Outfitters became portion of the NASDAQ stock exchange. which enabled the gap of 90 shops the undermentioned twelvemonth ( AEO Management Co. . 2013 ) . In 1996. new executives joined AEO and decided to modify the mark demographics of the mark market and make more adult females. every bit good as focal point on those who were between the ages of 18 and 32.
Shortly after. American Eagle expanded to e-commerce with ae. com. By 2000. American Eagle operated 500 shops and grosss for the company quintupled to $ 1 billion. The Canadian market was penetrated in 2001 and in 2003 American Eagle expanded to Hawaii. Aerie. a trade name extension of American Eagle. concentrating on confidants for adult females. was launched in 2006. Another line extension. 77kids. which offered vesture for babes to pre-teen misss and male childs. was established online in 2008 and the first 77kids shop was opened in 2010. Today. American Eagle Outfitters. Inc. operates over 1. 000 shops. including 911 American Eagle Outfitters shops. 158 Aerie shops. and 21 77Kids shops. 21 of which are franchised around the Earth. Additionally. ae. com. which includes links to Aerie and 77kids. ranges 77 states.
American Eagle Outfitters offers dress. places. and accoutrements for both work forces and adult females. Clothing ware is comprised of jeans. jumpers. in writing T’s. fleece and sweatshirts. overclothes. tops and shirts. frocks. and skirts. Shoe ware includes gym shoes. boots. flats. sandals. slippers. getas. heals. idlers and socks. Accessories ware consists of jewellery. chapeaus. dark glassess. scarves. bags. aroma and Cologne. bags. and billfolds. Aerie offers ware for college misss that include dorm wear. such as workout suits and pyjama. exercising dress. bandeaus. underwear. accoutrements. and some personal attention points. 77kids offers apparel for babies. kids. and preadolescent misss and male childs ( AEO Management Co. . 2013 ) .
A & A ; F
Abercrombie & A ; Fitch originated in 1891 as a retail sporting goods shop based in New York City. It was known for its broad assortment of expensive and frequently alien featuring equipment and garb. runing from tennis places to elephant guns. For more than half a century. the store’s dress. guns. tackle. and other ware were the image of wealth and prestigiousness.
When it expanded. the house confined its new subdivision shops to downtown countries of big metropoliss and to fall back countries. In the early 1970s. Abercrombie & A ; Fitch attempted to widen its client base by adding less-expensive points to its usual stock and by traveling into the suburbs. where other shops had been constructing for some clip. Although these stairss did pull new clients. they came excessively late ; Abercrombie & A ; Fitch was in fiscal problem and filed for bankruptcy in 1976 after 85 old ages in concern ( Encyclopedia Britannica Online. 2013 ) . Oshman’s Sporting Goods. Inc. bought the house in1978. In 1988 Abercrombie & A ; Fitch was bought by The Limited. Inc ( Encyclopedia Britannica Online. 2013 ) . Repositioned as the trademarked “casual luxury” trade name. it became parent to the subordinate trade names Abercrombie childs. a children’s line launched in 1998 and marketed as Abercrombie ; Hollister Co. . a line for younger teens launched in 2000 ; RUEHL No. 925. a line aiming post-graduates launched in 2004 ; and Gilly Hicks. a women’s line launched in 2008. Following Abercrombie & A ; Fitch’s inspection and repair. the company received important unfavorable judgment for its advertisement and its vesture. which were perceived by many as promoting its mark audience to follow a sexually promiscuous life style ( Encyclopedia Britannica Online. 2013 ) .
MISSION STATEMENT
AEO
American Eagle has a clearly defined set of “corporate values” which guides the actions of employees at all degrees of the AE organisation: Peoples
The verve of our company resides in our people. We collaborate. we engage. we achieve ( About. com. 2013 ) . Integrity
We hold ourselves accountable to the highest criterions. In the face of troubles and challenges. we don’t via media ( About. com. 2013 ) . Passion
Our passion infuses our actions and intent. It transforms shops into topographic points of energy and client delectation ( About. com. 2013 ) . Invention
We operate in a dynamic and competitory industry. We continually refine the alone processes that drive our concern. and we use insightful research and analysis to equilibrate our inherent aptitude and to steer our determinations. Our associates embody entrepreneurial spirit. develop originative solutions. and initiate alteration ( About. com. 2013 ) . Teamwork
We work together – listening to one another. making consensus and back uping group determinations. We celebrate accomplishments. Because we respect and trust one another and commit ourselves to our company ends. our teamwork succeeds ( About. com. 2013 ) .
Additionally American Eagle has a service end that guides employees in their mundane retailing undertakings: “We respond to the demands of our client and bask the satisfaction of a occupation good done ( About. com. 2013 ) . ” A & A ; F
“Abercrombie and Fitch focuses upon high-quality ware that compliments the insouciant authoritative American life style ( About. com. 2013 ) . ” But beyond that simple mission statement. Abercrombie & A ; Fitch emphasizes its trade name vision. trade name properties. and the value of the Abercrombie & A ; Fitch trade name. which has been of ultimate importance since CEO Mike Jeffries took on the leading function. Abercrombie & A ; Fitch has said this about its trade name to its stakeholders:
“The A & A ; F trade name is more reliable and relevant than of all time. The trade name is our life style. our focus—it ensures growing and promises stableness. A great trade name is a centre of growing and revenue—it represents a relationship with clients. It’s non a faddy bit to be cashed in on unforesightful additions. The value of holding a great trade name is far-reaching and can non be overstated—it’s a snowball consequence. The A & A ; F label gives us the ability to germinate. making eternal growing chances. It helps us pull the brightest. most gifted immature people from around the state. It attracts 1000000s to our web site. It allows for greater net income borders. It lessens the hazard of traveling on new concern constructs. It promotes invention. It ensures long-run profitableness. It adds constitutional value to everything we produce. It accelerates growing. It stabilizes. It gives focal point and way. It produces an emotional response in consumers ( About. com. 2013 ) . ”
Comparing these two mission statements. it is clear that American Eagle Outfitters is focused more on merely their ware. unlike Abercrombie & A ; Fitch. AEO has a passion non merely for their trade name and employees but their consumers as good. While A & A ; F. is merely focused on their trade name non on the operational executing of its employees. or the experience of its clients.
This holds true of A & A ; F because late their Chief executive officer. Mike Jeffries. came under fire for reportedly stating they merely target to “thin and beautiful people” which is why they do non sell or do any size over 10 or big for adult females. Mike Jeffries has said. “That’s why we hire fine-looking people because fine-looking people attract other fine-looking people. and we want to market to chill. fine-looking people. We don’t market to anyone other than that ( Walker. 2013 ) . ” On A & A ; F’s website. they claim to encompass diverseness throughout the full organisation but what Mike Jeffries has been quoted stating. is contradictory of what the company claims they are about.
“We are committed to encompassing the diverseness of our associates and direction throughout our organisation. On the surface. our dedication to keeping a diverse working and shopping environment can be easy seen by walking through one of our shops. domestically and internationally. More notably. Abercrombie & A ; Fitch’s committedness can be seen through our exceeding diverseness plans. whether they are internal or external. and the consequences they yield. Diversity reflects the multidimensional penetrations we portion jointly. Simply put. it is imperative to our growing that we staff our concern with diverse endowment and run our concern with an inclusive mentality ( Abercrombie & A ; Fitch. 2013 ) . ”
Supply CHAIN
AEO
American Eagle Outfitters scheme to better dress mill working conditions starts with mill reviews based on their Vendor Code of Conduct. They so focus on rectifying the issues they find during those reviews. which frequently includes extra mill preparation and capacity edifice plans ( AEO Management Co. . 2013 ) .
They spouse with other trade names and retail merchants. multi-stakeholder organisations. civil society groups. trade brotherhoods. authoritiess. and others to better understand and reference what is go oning in the mills and states where their apparels are made. By working together. they strive to jointly develop more sustainable solutions to the jobs they find ( AEO Management Co. . 2013 ) .
Finally. they are committed to being obvious about how they are making. By describing publically on their attempts. this is one of the many ways they guarantee that they remain focussed on their ends. disciplined in their attempts. and answerability for their public presentation ( AEO Management Co. . 2013 ) .
A & A ; F
Abercrombie & A ; Fitch has really tight control over the design and fabrication of their vesture. To assist the company maintain control. have higher borders and protect the trade name. they design their ain scopes which are manufactured entirely for A & A ; F.
The caput office for A & A ; F is located in Ohio and is called “The Campus” . At this location. there is a halfway known as the “Innovative Design Center” . Here. a dedicated squad uses over 100 wash. quality confidence. lab and in writing machines ( Webb. 2009 ) . They are responsible for ware design and development. “Design packages” were created by the company to cut down the clip and cost of merchandise development ( Webb. 2009 ) . These design bundles are so given to the sellers.
By maintaining rigorous control over design. fabrication and merchandise development. the company is able to protect the trade name from being copied and holding the image damaged. By holding greater control. it allows A & A ; F to present on their promise to the client and consumer. This in bend creates a relationship based on trust and gives them a competitory advantage.
Again. with Abercrombie & A ; Fitch. they are more focussed on maintaining control of their trade name and image. while American Eagle Outfitters are seeking to better mill conditions for their workers. This one time once more proves that A & A ; F does non care about their people.
Decision
In drumhead. Abercrombie & A ; Fitch and American Eagle Outfitters play a important function in the vesture industry. While A & A ; F’s patterns are some what contradictory and bizarre. AEO remains the antonym. A & A ; F needs to take a cue from AEO and concentrate more on their consumers than merely their trade name. There is no inquiry why it is that AEO is ranked at 649 on the Fortune 1000 List and A & A ; F is draging behind them at 651 ( Salesforce. 2013 ) .
Plants Cited
Abercrombie & A ; Fitch. ( 2013 ) . Diversity Commitment. Retrieved from A & A ; F Cares: hypertext transfer protocol: //www. anfcares. org/diversity/commitment. jsp About. com. ( 2013 ) . Abercrombie & A ; Fitch Mission Statement. Retrieved from About. com: hypertext transfer protocol: //retailindustry. about. com/od/retailbestpractices/ig/Company-Mission-Statements/Abercrombie—Fitch-Mission-Statement. htm About. com. ( 2013 ) . American Eagle Company Mission Statement. Retrieved from About. com: hypertext transfer protocol: //retailindustry. about. com/od/retailbestpractices/ig/Company-Mission-Statements/American-Eagle-Mission-Values. htm AEO Management Co. ( 2013 ) . AEO History. Retrieved from American Eagle Outfitters: hypertext transfer protocol: //phx. corporate-ir. net/phoenix. zhtml? c=81256 & A ; p=irol-history AEO Management Co. ( 2013 ) . AEO Supply Chain. Retrieved from American Eagle Outfitters: hypertext transfer protocol: //www. ae. com/web/corpResp/supply_chain/our_strategy. jsp Encyclopedia Britannica Online. ( 2013 ) . Abercrombie & A ; Fitch. Retrieved from Encyclopedia Britannica Online: hypertext transfer protocol: //www. britannica. com/EBchecked/topic/1121/Abercrombie-Fitch Salesforce. ( 2013 ) . Luck 1000 Company List. Retrieved from Data. com Connect: hypertext transfer protocol: //connect. informations. com/directory/company/fortune/1000 Walker. T. ( 2013. May 08 ) . Not available in XL. Retrieved from The Indepedent: hypertext transfer protocol: //www. independent. co. uk/news/uk/home-news/not-available-in-xl-abercrombie–fitch-ceo-mike-jeffries-accused-of-only-wanting-thin-and-beautiful-people-8608022. hypertext markup language Webb. B. ( 2009 ) . Pull offing the Fashion Brand Case Study Assignment.
