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Business Studies A2 Edexcel Unit 4 6BS04 Superdry

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Reply 40
Original post by Zulfa
but superdry is a successful brand and doesnt seem to have warehousing prblems.. or may be???? wat do we write in case of warehousing prblems?
i think we must consider the fact of financial crises?

and hey..can u tell me whats with da growth thing?
my teachers are telling me growth is da main criteria this session.. whats this supposed to mean???????
what do we learn for growth.? corporate objectives?
and according to porters generic strategic tool does superdry has a differentiation leadership? and not having a cost leadership..?
and is superdry an ethical leader?


Yeah they have had issues with warehouse systems. just because they are a successful brand don't mean they cant face crisis Growth they are trying to enter emerging markets and they have expanded through both organic - expanding their retail estate and inorganically through CNC. SD are differentiation focus in Porters Strategic matrix. What do you mean by ethical leader?
Reply 41
Original post by vansandeyeliner
The do have warehousing problems, i think its mentioned in the spec or this could be real life application. I their stores when they sell out of a popular product they don't seem to be able to gain stock fast enough to replace it. They are then left with demand that they cant supply causing consumers to go to competitors.
I hope that helps


Thanks for that! will try and add that in the exam :smile:
Reply 42
Original post by MinaaLaLa
Yeah they have had issues with warehouse systems. just because they are a successful brand don't mean they cant face crisis Growth they are trying to enter emerging markets and they have expanded through both organic - expanding their retail estate and inorganically through CNC. SD are differentiation focus in Porters Strategic matrix. What do you mean by ethical leader?

U know wattttt.. Ur jst genius :colondollar:.. :frown:
Reply 43
Original post by Zulfa
U know wattttt.. Ur jst genius :colondollar:.. :frown:


No trust me i am NOT! so unprepared for this exam and have a feeling its gonna be super hard :frown: !!
Reply 44
Done a plan to a Q. could anyone give me suggestions on what to add or take out etc...


Evaluate the likely impact of Super Dry’s Corporate culture on its past growth and future growth potential (20)

Knowledge- Define Corporate Culture Refers to the accepted codes of behaviour within a business. Based on Handy’s corporate culture would be seen as role as employees are delegated responsibility based on their position. Theo Karpathios was in charge of the wholesale and international diversion before he left

Application- Super group’s Super dry’s corporate culture is centred on continuous evolution of their brand designs. Customer concerns have been its becoming too mainstream. Susanne Given the new chief operating officer could suggest a change in culture

Analysis- Impact or no impact

Impact- 1 importance on designs 25 designers (in house) wider product range –core competence-customer loyalty-higher sales-higher profits –more market share 2 Employees & management wear and support the brand ‘no one wears a tie around here’ –CEO- attractive to potential employees better candidates –better efficiency higher drive towards sales- growth 3 Super dry corporate culture is presented in their working environment and communicated through Mission statement CSR initiatives in staff newspapers and training good reputation against competitors Abercrombie’s Hollister higher sales –increased market share

No impact- 1 Fashion industry-trends-popularity in the style of super dry with their unique designs not a lot of substitutes 0 may explain demand- sales and growth 2 Management- experience of holder (bench) and Dunkerton (cult clothing) able to deal with issues effectively and have a good eye for opportunities 3 Celebrity popularity which is influential marketing David Beckham, Justin Bieber, Kristen Stewart improves international potential for success

Evaluation- Corporate culture is important to super dry’s future as this is what drives the brand- fear of corporate culture being weakened by the quit from Theo and new management staff. As well as the takeover of CNC meaning Luc Clement joining super group’s management- cause resentment? Job uncertainty?- no shareholder support of re-election of Julian Dunkerton? Change of culture means change of brand which is was central to their growth and is important for future growth
In Evidence C, am I right in saying 'concessions' are franchised stores and 'stand-alone stores' are run by SuperGroup?
Reply 46
Original post by Mountain Man
In Evidence C, am I right in saying 'concessions' are franchised stores and 'stand-alone stores' are run by SuperGroup?


I'm not sure like i think someone explained concession as like contracts to other stores such as Debenhams and John Lewis to sell Superdry products and yeah stand alone are the official stores
Original post by MinaaLaLa
I'm not sure like i think someone explained concession as like contracts to other stores such as Debenhams and John Lewis to sell Superdry products and yeah stand alone are the official stores


Ooh okay thanks, that would make sense. So I guess franchises would be included in stand-alone stores, then.
Reply 48
Original post by Mountain Man
Ooh okay thanks, that would make sense. So I guess franchises would be included in stand-alone stores, then.


Not sure tbh need to look that up or ask my teacher.
Reply 49
Another Q.. anything different anyone would have added ? suggestions?

Evaluate the possible causes of Superdry’s fall in profits in 2011-2012 (30)

Knowledge- Profitability can be seen though ratio analysis- which is the examination of accounting data by relating one figures to another.

Application- Information from evidence - Shares in clothing firm Super group have fallen by a quarter

Analysis- Causes, Not Cause

Cause- 1 Branding- eBay and thrift shops selling items for less- lower profit margins...Burberry problem- Brand associated with the wrong people? 2 Expensive new IT systems at the company’s warehouses had already caused problems lower stock- increased costs, lower profits 3 big focus on CSR- SEDEX membership- opportunity cost against profit 4 1 million was spent on protecting intellectual rights- increased costs
Not Cause-1 problems were more to do with the increase in overheads rather than the sales therefore this issue may not that effected super dry all that much 2 this was only a short term issue that was handled effectively SuperGroup opened a new, three-storey flagship store on London’s Regent Street that is operating well with no issues 3 this however could improve brand loyalty and staff moral having positive effect on profitability 4 rare cost which has protected superdry against substitute products that could have affected their brand and profitability.

Evaluation- These falls in profits may only be short term as SuperGroup strategy has been to focus on growth expanding to emerging markets, increased retail estate- takeover - increases costs. So no harm to sales infact feb 2013 superdry saw a rise in sales
Reply 50
Original post by MinaaLaLa


Susanne Given the new chief operating officer could suggest a change in culture


freaking out, everyone is mentioning stuff ive never heard of! just to be sure, in our pre-released case study, does the evidence go from A to I? or am i missing some? :/

also, could anyone tell me the benefits and drawbacks of franchising? thanks! x
Reply 51
are we meant to know news/ facts about superdry outside the case study?? x
Reply 52
Do you guys think investment appraisal would come? It already came in jan 2013 so I am not much concentrating on it. Please tell me if you guys think that there are chances of it coming again?
Reply 53
Original post by mclovin1
freaking out, everyone is mentioning stuff ive never heard of! just to be sure, in our pre-released case study, does the evidence go from A to I? or am i missing some? :/

also, could anyone tell me the benefits and drawbacks of franchising? thanks! x

Lol i have this same question knocking my mind. Actually things out from the case study will not take into account or give bonus marks. Rather things would become more complicated since evidence doesnt seem to show stuffs they mentioned.(respecting their answers though)..
Reply 54
Guys .. Its a point to think . Those who doest know about superdry may not be able to extend answers with that are not written in the evidences edexcel provided so we must take case references provided by edexcel nt things we googled about superdry for better marks. busiess studies is all about case analysis and references to EVIDENCE PROVIDED. Sorry if i said anything wrong
Reply 55
Original post by Zulfa
Lol i have this same question knocking my mind. Actually things out from the case study will not take into account or give bonus marks. Rather things would become more complicated since evidence doesnt seem to show stuffs they mentioned.(respecting their answers though)..

Benefits- superdrys mission to expand may be fulfilled by this external growtg strategy easily and with no capital cost instead they will get a license fee from the franchisees and share of profits too.
2.franchising is a best way to get rid of market research cost as for superdry they doesnt meed to take out a mkt.research due to having a lack of knowledge about local demand so franchising solves such prblems.
3.by franchising superdrys brand reach would be greater (globally)

however,
1.franchising has some problems as well ..in a franchising growth strategy ,
superdry enforcing the franchisees to act ethically and engaging them with same crs activity may be avoided by franchisees. As they would want to cutcost
3. Resulting to a wrong reputation for superdry,so conflicts may likely arise and franchisees may not sincere to superdry also may not want to share profits much!
4.in addition superdry will incurr huge costs since they have to monitor regularly and adertise and train employees on behalf of te frachisees.
instead costing is greater.

but then again may enjoy tremendous sales and higher brand recognition and positive too if franchisees choose to stay loyal
i hope this helped. Im not that good sorry
Reply 56
Original post by Zulfa
Benefits- superdrys mission to expand may be fulfilled by this external growtg strategy easily and with no capital cost instead they will get a license fee from the franchisees and share of profits too.
2.franchising is a best way to get rid of market research cost as for superdry they doesnt meed to take out a mkt.research due to having a lack of knowledge about local demand so franchising solves such prblems.
3.by franchising superdrys brand reach would be greater (globally)

however,
1.franchising has some problems as well ..in a franchising growth strategy ,
superdry enforcing the franchisees to act ethically and engaging them with same crs activity may be avoided by franchisees. As they would want to cutcost
3. Resulting to a wrong reputation for superdry,so conflicts may likely arise and franchisees may not sincere to superdry also may not want to share profits much!
4.in addition superdry will incurr huge costs since they have to monitor regularly and adertise and train employees on behalf of te frachisees.
instead costing is greater.

but then again may enjoy tremendous sales and higher brand recognition and positive too if franchisees choose to stay loyal
i hope this helped. Im not that good sorry


good answer but for the however part you could also relate to the evidence by saying evidence A or B states something about 'exacting standards' and with franchises you dont have direct control of them so you dont know what they are doing
Reply 58
Original post by Zulfa
Guys .. Its a point to think . Those who doest know about superdry may not be able to extend answers with that are not written in the evidences edexcel provided so we must take case references provided by edexcel nt things we googled about superdry for better marks. busiess studies is all about case analysis and references to EVIDENCE PROVIDED. Sorry if i said anything wrong


It's very important to have researched Supergroup because that's the reason they have shown you the case study to be able to successfully apply what's in both the case study & research of Supergroup. It what makes it different from other units.


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Reply 59
Would a proper Q on franchising come up as it isn't in the specification ? I would have thought only as a definition maybe ? As it is in the case study


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