The paper "Strategic Management: Lululemon Athletica Inc" is a perfect example of a management assignment. The success of Lululemon Athletica Inc. lies both intangible resources and intangible resources. Lululemon’ s tangible resources include distribution facilities, intellectual property and globalized stores. Lululemon possesses huge distribution facilities which are situated in Melbourne, Sumner and Vancouver. The distribution facilities permit to undertake business efficiently as well as distribute its sporting products to its global stores. In regard to intellectual property, the company has numerous trademarks, entailing trademark, logo and apparel design, all of which enables the company to lessen the likelihood of other companies imitating its renowned brand.
In regard to globalized stores, the company has over two hundred stores situate across New Zealand Canada, Australia and the United States. These stores assist the firm in establishing and positioning itself as a key player within the technical sporty wear market. LuluLemon’ s intangible resources brand name, reputation and quality perception. Customers or guests, as they are commonly referred to by the company recognize the firm as a first-class brand offering superior quality sporty wear and accessories, particularly yoga items, which the company has been able to differentiate from those of the competitors such as Nike and Adidas.
The company posses a sturdy repute with the suppliers and design team has for a long time worked closely with suppliers in establishing dominance within the market. The company is strongly devoted towards quality and this has generated a strong acuity amid clients on its high-quality products. Clients are always guaranteed that the majority of Lululemon’ s products will last for a long time if they use them for the intended purpose. According to Hitt et al (2014), intangible resources are as significant to a firm as tangible resources.
The success of Lululemon reveals that the capability of the firm to manage systems and intellectual capabilities and the capability to change them into functional services and products that generate value reinforces that competitive position of the firm and generates excellent outcomes. Intangible possessions are an excellent source of core competencies and capabilities and unlike the majority of tangible possessions, a company can leverage them to generate additional service and product attributes that will attract customers.
Instance, the knowledge attained from clients through in-store visits may be shared in the entire firm to create valued product features as well as deepen the correlations of associates and customers. Additionally, intangible possessions are less noticeable and thus harder for competitors to imitate, understand and substitute for (Hitt et al 2014). Core competencies or capabilities, and eventually competitive advantage is derived from the intangible and tangible resources of the organization. Hitt et al (2014) note that when an organization devises and executes a value-generating strategy based upon its obtainable resources, it is able to achieve strategic competitiveness.
Strategic competitiveness at Lululemon comes from a vision as well as a focused differentiation or a niche product market approach that is fabricated on brand equity as well as the influence of the culture of the company. Almost all employees, guests and ambassadors of the company take part in running or running and the feedback that the company gets from these participants ensures the perpetuation of culture and brand.