They are interested in selling brands such as Converse, Vans, Ugg, Timberland etc and this will mean competing
with the UK fashion footwear retailer ?Office? and other retail outlets. Your client is going to promote itself
as ?an environmentally friendly and ethical company? to differentiate itself in the market.
Your report should be based on your selection and analysis of relevant reliable facts and figures that are
referenced so that the reader can see where the information has come from. It is likely that market reports such
as Mintel, Keynote, Frost and Sullivan, Government department reports and statistics will be referenced. The
majority of marks are for your reasoned and logical analysis of information. It is not acceptable simply to state
facts and figures, leaving for your reader to work out their relevance.
The report should be structured using the main headings indicated below.
Porter’s 5 Forces Analysis
Use Porter’s Five Forces model to analyse the UK fashion footwear retail business sector. Address the following
key issues:
Substitutes to retail shops: What are the main substitutes for traditional footwear retail shops?
Supplier power: What power do footwear manufacturers have in relation to each of these UK footwear retailers?
Buyer power: What power do individual shoppers for footwear in the UK have over the retailer?
Rivalry intensity: How fierce is competition between the various retailers of UK footwear?
New entrant barriers: How easy would it be for a new fashion footwear retailer to enter the UK market?
Business risk analysis
From the previous analysis and using appropriate model(s), identify three separate business risks that the new
company Light Feet Ltd will face in the UK market. For each risk identified, explain a way of minimising the risk
for Light Feet Ltd.
Charitable activity stakeholder analysis
As part of their ethical and environmental activities, Light Feet Ltd, believe that they can encourage their
customers to donate their worn and used shoes to a charity that transports shoes to people in developing
countries. Explain the key stakeholders that Light Feet Ltd will need to engage with to develop this aspect of the business.
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