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6. Develop a successful Internet site, while maintaining strong relationships with retailers.
7. Develop its own conservation program aimed at helping communities raise money to purchase
open space.
CORE COMPETENCIES
Blue Sky seeks to use its core competencies to achieve a sustainable competitive advantage, in which
competitors cannot provide the same value to consumers that Blue Sky does. Already, Blue Sky has
developed core competencies in (1) offering a high-quality, branded product whose image is
recognizable among consumers; (2) creating a sense of community among consumers who purchase
the products; and (3) developing a reputation among retailers as a reliable manufacturer, delivering the
requested number of products on schedule. The firm intends to build on these competencies through
marketing efforts that increase the number of products offered as well as distribution outlets.
By forming strong relationships with consumers, retailers, and suppliers of fabric and other goods and
services, Blue Sky believes it can create a sustainable competitive advantage over its rivals. No other
clothing company can say to its customers with as much conviction “Go Play Outside”!
SITUATION ANALYSIS
The marketing environment for Blue Sky represents overwhelming opportunities. It also contains some
challenges that the firm believes it can meet successfully. Table A illustrates a SWOT analysis of the
company conducted by marketers to highlight Blue Sky’s strengths, weaknesses, opportunities, and
threats.
The SWOT analysis presents a thumbnail sketch of the company’s position in the marketplace. In just
three years, Blue Sky has built some impressive strengths while looking forward to new opportunities.
Its dedicated founders, the growing number of brand-loyal customers, and sound financial management
place the company in a good position to grow. However, as Blue Sky considers expansion of its product
line and entrance into new markets, the firm will have to guard against marketing myopia (the failure to
recognize the scope of its business) and quality slippages. As the company finalizes plans for new
products and expanded Internet sales, its management will also have to guard against competitors who
attempt to
This section reminds
employees as well as
those outside the
company (such as
potential lenders) exactly
what Blue Sky does so
well and how it plans to
achieve a sustainable
competitive advantage
over rivals. Note that
here and throughout the
plan, Blue Sky focuses on
relationships.
The situation analysis
provides an outline of the
marketing environment.
A SWOT analysis helps
marketers and others
identify clearly a firm’s
strengths, weaknesses,
opportunities, and threats.
Again relationships are a
focus. Blue Sky has also
conducted research on the
outdoor clothing market,
competitors, and
consumers to determine
how best to attract and
keep customers.
