Apparel Stores: Industry Analysis through Urban Outfitters, Inc.

The apparel store industry within the USA is a highly competitive market, consisting of number of companies that are willing to fight for their share of the market. To remain afloat in this business, corporations must be highly innovative, price-conscious, knowing the trend, and with great responses to consumer needs. Each company within this industry must be aware of the competitors’ move, trying to match every trends and benefits offered by another, in order to steal the average consumers. Market-alertness is the key to survival; each company must balance marketing strategies and customer-service, responding to consumer demands within the shortest processing time
For a firm to compete within this industry, it must be highly innovative, making sure that every market fad is captured within its designs. Typically, new arrival clothing are expensive, but as the season goes on, these items are marked down, until they go to final clearance when the season is out and the stores are empting its inventories.

Growth Factors As this industry is comprised of various brick and mortar stores, one way to indicate growth is expansion. Expansion can be done in a number of ways and one of them is putting up more stores. There are plenty of markets within the 50 states in the US; expansion can be accomplished by putting up more branches within a big city like Los Angeles or simply putting up a new branch in a new city. Expansion can also be done internationally; for instance, Gap has just opened retail stores in China to cater to the fashion-conscious Chinese crowd. Another way to expand is by opening websites. Given this time of high-technology, many Americans are appreciating e-commerce and may just prefer to purchase over the internet than in-stores. Through the internet, entities can also cater to foreign markets, i.e. Victoria’s Secret. Another way is through catalog and/or phone shopping. The entities can also consign their products, to increase market awareness to department stores. For instance, Free People, one of the brands under Urban Outfitters are being sold by select department stores and specialty stops. These are all ways to