Introduction Gap Inc. is a leading international specialty retailer, which offers clothing, personal care products, and accessories for any and everyone. Currently Gap Inc. operates in 4100+ stores worldwide. Customers can shop at Gap stores in six different countries. The purpose of this report is to discuss some strategies as to how the declining chain clothing store Gap. Can rebound and re-attain a position similar to that of the 90's.
History/Company Highlights In San Francisco, California with a single store with no more then 5 employees, Donald and Doris Fisher founded Gap in 1969. In 1990 Baby Gap is born as well Gap Inc. opens its first Canadian Store located in Vancouver, British Columbia. In 1994 Gap Inc.'s newest brand Old Navy makes its debut in the retail world. In the same year Gap introduces Gap Scents an authentic fragrance, which was sold in Gap Stores.
The rise of Gap Inc.
to retail superstar status in the past years came courtesy of a number of initiatives. CEO Mickey Drexler launched and expanded the firm's Old Navy discount chain while adjusting Banana Republic for the upper end of the apparel market. These Moves enabled Gap Inc. to focus each unit's merchandise and revamp inventory management to offer a deep selection of core products thus boosting sales and improving customer satisfaction.
The Gap would not have became what it is today in the retail industry without clever advertising. Massive amounts of hip and trendy ads have managed to turn Gap's commodity products into branded items that made people feel good and kept them spending. Spending on advertisements increased from $96 million in 1996 to $419 in 1998. (Fortune Mag. Aug. 98) During Gap Inc. reign at the top of the Khaki and casual wear market the question was asked, "Could Gap keep...