Gucci and Old Navy Value Chain

Topic: Marketing
Words: 290 Pages: 1

Gucci and Old Navy have emphasized the advantages and points of differentiation to convince buyers that a product is superior to rivals. They must invest in their marketing and sales efforts before their high-quality products with reasonable prices and distinctive features can be said to have added value. This research report analyzes three items: technology integration into production, distribution, marketing, and human resources used by Gucci and Old Navy fashion companies to promote their services to customers.

Technology development can be divided into two categories: product development and process development. Automation software, customer service with the use of technology, research into product design, and data analytics are used by Gucci Old Nay to ensure efficient success. A Look into Gucci’s Value Chain Possible sources of competitive advantage can be found throughout the planning process. The corporation or business is a collection of interconnected endeavors. According to the Value Chain model, businesses might treat these actions as economic rents. Due to these actions, competitors may have higher costs or greater difficulty breaking into the market.

Croom asserts that The supply chain for Old Navy is more responsive than the one for Gucci. The standard methodology for the clothing industry involves looking eight months into the future to predict what will be fashionable, placing orders in low-cost countries, and then shipping the finished product to the customer. Old Navy can move quickly because its short production cycle allows it to quickly get clothing into stores before moving on to the next set of updates. It encompasses both production and service activities. Gucci needs to analyze its operational activities to increase output, optimize efficiency, and maintain a competitive edge. In order to have long-term customers, many efforts should be diverted toward high-quality products.

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