The Corporate Information Management System for L.L.Bean Essay

1684 Words Jul 15th, 2012 7 Pages
L.L.Bean is the industry leader in providing to its customers, outdoor equipment and apparel. With growing competition and a stagnant economy, the company must continually work to maintain sales, profits, and customer loyalty. L.L.Bean does this by focusing on the competitive forces prevailing throughout the business environment. These forces include new market entreats, the power of the buyer and the supplier, the growing threat of substitute products, and their competition.
L.L.Bean’s Competitive Forces
L.L.Bean works hard to reduce the threat of new entrants to the marketplace by erecting barriers to entry. L.L.Bean accomplishes this by offering products or services that are difficult to displace in the eyes of customers. L.L.Bean
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The L.L.Bean marketing philosophy is in close harmony with its mission statement. Everything the marketing department does must reinforce and make real the abstract concept of "consumer satisfaction". The price-product-quality relationship must be fair and must advertise in media that reflects high quality (Burnett et al., 2008).
L.L. Bean’s Strategic Positioning LL Bean still being considered a mail order company has recorded its revenue to be up in 1998 over it’s 1995 revenue of 970 million by .07 billion. This gives them quite a market share of the rest of the world and in particularly over their example of Japan, whose outdoor ware market is approximately 405 million. This being said L.L.Bean also enjoys their market of retail stores that have proved to be a success. Taking product that has slightly imperfections or discontinued products and gaining a return of ninety cents of the dollar from what would have otherwise been lost on the production floor. This position has proved to work out quite well as it has increased catalog sales in areas where outlet stores have been placed. However in the European market it did not fare so well losing ground because of misunderstandings and failed cultural differences based on the fact that it’s pricing was in dollars and not pounds.

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