The marketing management and strategic issues that will be investigated and discussed.•Identifying China as their key growth driver for the futureWith the government’s aim to bolster domestic spending and the vast potential for consumer consumption in the retail apparel market, Bossini has identified China as a key growth driver in the medium and long term.
Bossini has devoted many resources to develop this market, making China a central part of their corporate strategy. What has Bossini done to penetrate the China market so far and why are they so confident about the China market to devote so much attention and resources to it? Where in China is the rapid expansion focused on?•Using Franchising as a pragmatic way to expand the distribution networkTo accelerate the expansion into the China market, Bossini has adjusted the balance between directly managed stores and franchised stores, increasing the percentage of franchised stores as a pragmatic way to expand the distribution network. How has Bossini used franchising to expand the distribution channel and in a way that has kept effective control of their brand? What are the kinds of franchise support given to their franchisees? What are the benefits of using franchising as a key growth strategy?•Identify the importance of a unique brand positioning in China.When Bossini first entered the market in China, it lacked a clear strategy to position its brand, enhance its brand value and lack clear market segmentation.
As a result, it has made substantial losses in China until they’ve revamped and repositioned its brand image. What has the marketing management done to its brand image that has caused such a successful turnaround? How does Bossini view its customers in China and how did they segment its market?•Optimizing internal operational efficiency and strengthening supply chain capabilitiesEven though marketing is important when implementing a growth strategy, there are other factors which will determine the success of an expansion. Bossini has managed to increase its operating margin while opening many new stores that have yet to achieve full operational efficiency. What has Bossini done during this expansion period to become so efficient and cost effective? What smart investment choices did it making during the period of economic downturn? How did it improve its supply chain management capabilities?•Dealing with ever-increasing competition in a new market.China has serious growth potential due to their immense population.
Every major fashion retailer & manufacturer, as well as small niche brands will look to get a piece of this enormous market. Bossini faces stiff competition from international conglomerates like H&M, Zara, Meters, Bonwe, Semir and Giordano. What can the marketing managers at Bossini do to gain a competitive advantage and create a market for itself when faced with such stiff competition?
