I. Option Evaluation
At first, Dragonfly appears to be a feasible home based business. Thompson's proposition meets a pair of the key aspects of a successful enterprise: a market want of an upscale store serving Seattle's teen segment, and low competition in the local area. However , these ingredients do not present Dragonfly with all the competitive edge required to efficiently dominate industry. Its products (teenage clothes and accessories) will not differentiate from its few opponents. Further, the clothes and accessories had been sold at fairly high price details. The Thompson failed to produce a new value curve that provides product superiority and value to their buyers. At this time, Dragonfly does not offer a value idea or profit that will make the market section to spend the cost to get switching to Dragonfly. Until the Thompson implement a new value creativity marketing strategy offering benefits such quality, better prices, and convenience, Dragonfly will not be capable of gain the industry share instructed to increase sales and competitive advantage. II. Business & Marketing Strategy
The company goal of Dragonfly should be to become a thriving chain of retail stores concentrating on the upscale teenage industry, initially in Seattle. Because of vigorous research, Dragonfly is convinced that it is very well positioned in the underserved young market, however strategy is weak. With the very beginning of the Dragonfly venture, the Thompson's elected to lease an area in the Crossroads Mall, which can be described as a mature mall that is being refurbished; the fact that they did that demonstrates they were not cognizant of the extremely important aspect of retail: the location. The risks listed below are large. It is because of a lot of factors including (a) Dragonfly is very overdue on the rent at all their initial site, (b) inventory has increased year-over-year since Dragonfly's inception, (c) gross sales happen to be down from the prior 12 months, even with a...