History and Overview
Lululemon Athletica is a yoga retail store; it is a textile apparel clothing company founded in 1998. Lululemon is located in the United States as well as Vancouver, British Columbia, Canada. Lululemon very first store opened in November of 2000, in Vancouver BC, a place called Kitsilano. Originally, Lululemon idea behind the store was for it to be a community where individual would be able to learn and talk about healthy leaving through and yoga and their diet. However, it was impossible to help every customer that way since the store was very busy. Instead, Lululemon shifted their focus on educating their staff so well that they would able to positively influence the customers, their family and people around them in their community. In the beginning, their goal was only to have one store, but in the long run that changed and now they have multiple locations all over the world. The name Lululemon came from a survey they conducted.
Lululemon mission statement is to create factors for individual to have a healthier life and to live longer. This company was created especially for women. Like every other business that exist, Lululemon Athletica has its ups and down. All of the Lululemon Athletica locations have a strong tie to their local communities because every store is a reflection of the local community they are a part of. They sometimes host events in the store offering self-defense and goal-setting workshops, also complimentary yoga classes which are led by their community ambassadors. Lululemon chose to value quality more than quantity; Lululemon Athletica also value building strong relationship with the community and their customers.
Lululemon’s Main competitors are minor businesses that conduct yoga clothing and retail stores that are located in fitness center such as Dick’s sporting goods. Under Armour is also one of the competitors of Lululemon Athletica due to the fact that the company produces superior clothing for exercise. They compete through popularity and trying to build relationship with yoga and fitness center.
The PEST Factor analysis for Lululemon Athletica is as follow:
For economic, the Lululemon customers are typically women with high incomes. The way that Lululemon creates larger profit margin is with a mixture of small stores and expensive product; also, by increasing the distinction among the companies functional cause and the overall revenue. For example, smaller stores which result in paying less for rent and the amount of staff needed.
For social, Lululemon does not rely on advertisement to promote their products; instead they rely on building strong community relationship.
For technology, even though, Lululemon does not rely on advertisement to promote their products, they still advertise through social networks such as Facebook, twitter, Pinterest, and YouTube. Also, the customers are able to contact the company either via live chat or via telephone. ...