Contents

Introduction to product or business:..............................................................................................2

Target market and customer:..........................................................................................................2
Planned Competitive advantage of Agile clothing:.......................................................................3
The existing competitive advantage of Agile clothing.................................................................3
What do you miss, and you need to start your company?.............................................................4
What will be your generic strategy? Why? How to avoid the mistake “Stuck in the..................4
middle”?..........................................................................................................................................4
Make a SWOT analysis of your situation to start.........................................................................4
Milestones:......................................................................................................................................5
First actions:....................................................................................................................................5
Short term and long-term risk associated with the business:........................................................6
My concept of success as a businessman and entrepreneur:.........................................................6
12. What would be your fed-up point?..........................................................................................6
13. How would you prepare yourself for an external crisis?........................................................7
14. How can you match with your long term carrier plans, to establish such a firm or..............7
participate in the renewing process of a firm?..............................................................................7
References:......................................................................................................................................8

1
Introduction to product or business:
The business that we have selected for this project is the famous clothing brand named “Agile
Clothing”. This brand inspiration that is Zara is considered one of the largest international
clothing brands that have outlets across the globe. The mission statement of this brand that is
stated on the website is the customer is at the heart of our unique business model, which
includes design, production, distribution, and sales through our extensive retail
network[ CITATION ZAR20 \l 1033 ]. Zara as the business has widespread around 2000
branches around the world. This business is popular as the prime distributor of apparel and
clothing. The product line of Agile clothing will consist of a range of products includes the
collection of women, children, and men. The wide product range of this brand includes
perfumes, cosmetics, and other household products.
The main idea of our new brand since its establishment is the development of luxury products
of premium quality and ensure that these products are accessible to everyone through its price
affordability. As our model brand is now an industry capable of offering trendy products at
affordable prices. On the other hand, it is a company that wants to be close to young people.  

Target market and customer:

The target market is the portion of the overall large market that businesses can target through
its products and services. The segmentation process is the base of the target market
identification and selection. Segmentation is the process of converting heterogeneous markets
into a homogenous market based on common characteristics also called a variable (Kotler,
2012). Following is the segmentation of our target market as a business:
Geographic segmentation:
It is the type of segmentation in which the target market got divided based on geography like
country, city, area, etc. Following is the geographic segmentation for Agile clothing:
 Country: Hungary.
 Provinces: All provinces.
 Cities: All cities of this country included.
Demographic segmentation:
This is the type of segmentation in which the target market got divided based on demographic
characteristics like AGE, Race, gender, and income level (Kotler et al, 2013). Following is the
demographic segmentation of our business:
 Age: From 5 to 80 plus.
 Gender: Both male and female.
 Race: All races and casts in Hungary.
 Income level: Middle class and upper-middle class.

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 Psychographic segmentation:
Psychographic segmentation includes the division of the whole market in segments of
small size based on physiographic segmentation (Kotler et al, 2003). Following is the
psychographic segmentation for our business:
 Lifestyle: Outgoing, fun-loving.
 Personality: Introverted and extroverted.
Behavioral segmentation:
It is the type of segmentation in which the target market got divided based on behavioral
characteristics include usage rate, the benefit sought, and usage size ( Kotler et al, 2003)..
Following is the behavioral segmentation for our business:
 Usage rate: Returning customer.
 Usage size: large as well as small scale purchase.
The above-mentioned paragraphs have all the answers regarding the questions related to the
customer, nature of customers and where they located, etc.
Planned Competitive advantage of Agile clothing:
Competitive advantage is the advantage that a business has over its competitors includes both
direct and indirect competitors that are competing in the market. Sustainable competitiveness
is nevertheless a bed of throne for new business when it comes to the offering of competitive
advantage in the long run (Armstrong et al, 2014). The competitive advantage that Agile
clothing will have on the competitors in the Hungary clothing industry is that our brand will
offer innovative clothing design known as fashion in reasonable quality at a fair price. It is the
competitive advantage that is being planned for the new clothing brand named “Agile clothing
“ in industry.
The other plan that we have in the long run to gain competitive advantage is the tailoring
strategy as the targeting strategy soon in the long run. It will be our first step toward the
customization that as a business, Agile clothing will able to provide customization on the
apparel for the customer according to their choice.

The existing competitive advantage of Agile clothing

The existing competitive advantage that as the business Agile clothing has is that we have a
large team of much-experienced fashion designers and experts in their field. The competitive
advantage that businesses currently have is the innovative and fashion related latest designs
that are creative in the sense of unique colors and textures as well. This much novelty and
uniqueness are acting as an existing competitive advantage for the business and this advantage
is well enough to attract the target customer toward our product as well. This attractiveness

3
will surely be converted into loyalty when provided with quality and value (Omerzel, D.G.,
2010).

What do you miss, and you need to start your company?

The things that we are missing in setting up our new business at a reasonable scale is the
sufficient finances and skilled person eels in various functional departments. When it comes
to finances, we currently don’t have insufficient for the startup of the agile clothing but we
have planned to arrange the finances through the support of the family members as well as
will arrange some portion of funding through banks and other financial institution on some
suitable terms and conditions.
What will be your generic strategy? Why? How to avoid the mistake “Stuck in the
middle”?
Michael porter generic strategies are perceived as some basic strategies through which an
organization can get a competitive advantage in its home market. These competitive generic
strategies depend on the nature of the product and the intentions of the management of the
company (Tanwar, 2013). Organizational vision statements also derive the management of the
organization decided to choose one of the three generic strategies that are given by Michael
porter. After analyzing the products offered by the company in the market and nature of the
market. The best suitable generic strategy that best suits the company is “Cost
differentiation”. Cost differentiation leadership strategy involves the reduction in prices of
the products that are mainly garments in agile clothing case to target a broad market segment
in the target market.
Make a SWOT analysis of your situation to start.
SWOT analysis is used to evaluate and understand the strength and weaknesses of the
organization that is also perceived as an internal factor and the opportunities and threats that
are considered as the external factors that present in the external environment of the
organization (Pickton and Wright, 1998) . Following is the SWOT analysis of our new business
named as “Agility Clothing”:
Strengths:
Following are the strength of this new startup:
 Large capital.
 Advanced technology.
 Experienced and expert designers.
 Efficient labor force.
Weakness:
Following are the weaknesses of this business:

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  Increased competition.
 Lack of brand awareness.
 Lack of quality measures and standards.
 Lacks in operational efficiency.
Threats:
Following are the major threats to Agile clothing as a business:
 Increased competition.
 Change in customer preferences.
 Economic crisis.
 Other environmental threats.
Opportunities:
Following are the main opportunities that business have:
 Increased market growth.
 Encouraging market trend.
 Investment in other countries as well.

Milestones:
Milestones play an important role in the planning and implementation of a business plan.
Milestone formation is an important process that helps in the success of any business in the
long term. With the help of millstone, the progress of the businesses can be evaluated
effectively and efficiently as well. In the formation of this new start-up and its development,
we as a company have also designed certain milestones that as a company or business we
would achieve with the time. Following are some major milestones:
1. Registration of the business official credentials. These credentials include the logo,
place, copyright, trademark, and some sales and income tax-related matters.
2. The preparation of a business plan is the second and most important milestone. In this,
as a company, we will make a proper plan that will cover the marketing strategy, HR
plan, financial plan, and business development plan.
3. The third millstone that is being created is of the commencement of business. This
milestone would be achieved by an organization when we will launch our business as
per the decided scale.
First actions:
The first actions that are more precisely called the preliminary arrangement include the
actions that the organization or firm took at the starting phase of the project. In this new start-
up project, this first action would include research about the scope and financials of the
business. These actions also include the arrangement of these financials decided in previous

5
steps. The second step is of the procurement of the important products and items important to
start the business-like shop or outlet decoration and interior items. The recruitment of the staff
that will work in the business is also among the steps that the organization would take in the
early stages. The staff includes the range of personals from top-level management to front line
workers in our new startup named “Agile clothing”.
Short term and long-term risk associated with the business:
Risk is an important element that is associated with any business and plays an important role
in having a successful business startup. Though these risks are associated with all sort of the
businesses these are more obvious and influence in the new startups because these new
businesses start on from scratch and all the decisions are based on the observations and
presumptions that are not hundred percent correct most of the times and the management
decision are also dependent on these because management doesn’t have any other option than
to decide on these assumptions (Van Gelderen et al, 2014) . Following are some short as well as
a long term associated with Agile clothing as a business:
Short term risks:
Following are the short-term risk for Agile clothing as a business:
1. Insufficient startup funds and inability to manage funds.
2. Insufficient human resources and efficient also.
3. Failed to raise the interest of costumer in products.
Long term risks associated:
Following are the long-term risk regarding Agile clothing as a business:
1. Risk of not accompanying the milestone set by the business.
2. Risk of not maintaining profitability for the long term as planned.
3. Risk of not engaging customers for a long time and not converting these visiting
customers to loyal customers.
4. Risk of increase employee turnover rate that can affect the business more than
anything external factors.
My concept of success as a businessman and entrepreneur:
It is the universal objective of the businessmen is to earn profit and this profit earning is also
the concise definition of the term business. The criteria of success in the business vary from
person to person or infect varies according to the nature of businessmen. My criteria for
success consist of two parts one is profitability and the other one is a loyal customer base.
When I will get perceived that my this new startup named as Agile clothing is earning pre-
decided or perceived profit and at the same time business is also growing in term of a loyal
customer then I can confidently say to the world that now I am successful but in case I did not
achieve any one of the two criteria’s that is profitability and loyal strong customer base. I
perceive my self to be a non-successful businessman.

6
12. What would be your fed-up point?
My fed-up point is when I am unable to achieve set milestones in this business. The fed-up
point varies also from businessman to businessman as of the success criteria. The fed-up pint
is dependent on the feeling and emotional affiliation of the person as to what extent the loss in
the business hurts him or her and to what extent his relationships with the loved ones are more
dominant on hos emotional states and stability, As far as my personality is a concern , I got
more fed up or feel loosed due to my emotions and bonding with my social circles especially
family and myself too. My fed-up point will be when anyone of my close to heart ones get
hurt that will directly attack my emotional state as well and that will eventually end up with
the health break down. When in this scenario, I feel that I can not carry on the proceeding and
activities of my business then that would be my fed-up point and I will quit this business
easily.
13. How would you prepare yourself for an external crisis?
The external crisis is those environmental situations that after a certain extent can not be
controlled by a businessman. In short, a person, cannot change these situations and these
conditions are out of control of these disasters and conditions. This crisis demands the ability
to bear and change the offering and the resulting flexibility to do so. I will assure in my
business model that I have such flexibility and arrangement that help me to change the
business operations and model accordingly. For example, that now when the pandemic due to
coronavirus is prevailing in the society and it is the priority of the customer to stay at home
and at the same time persons have also low purchasing power so in these difficult situations
my business model and operation should allow me to decrease the prices or give benefit to the
society as much as possible.
14. How can you match with your long term carrier plans, to establish such a firm or
participate in the renewing process of a firm?

7
References:
 Tanwar, R., 2013. Porter’s generic competitive strategies. Journal of business and
management, 15(1), pp.11-17.
 Armstrong, G., Adam, S., Denize, S., & Kotler, P. (2014). Principles of marketing.
Pearson Australia.
 Kotler, P. (2012). Kotler on marketing. Simon and Schuster.
 Semenik, R. J., Bamossy, G. J., & Vaughan, C. R. (1995). Principles of marketing: A
global perspective. Cincinnati: South-Western College Publishing.
 Kotler, P., & Armstrong, G. (2013). Principles of Marketing (16th Global Edition).
 Kottler, P., & Keller, K. L. (2003). Marketing management. Analyse, Planung,
Umsetzung und.
 Hollensen, S. (2010). Marketing management: A relationship approach. Pearson
Education.
 Omerzel, D.G., 2010. The impact of knowledge management on SME growth and profitability:
A structural equation modelling study. African journal of business management, 4(16), p.3417.
 Van Gelderen, M., Thurik, R. and Bosma, N., 2005. Success and risk factors in the pre-startup
phase. Small business economics, 24(4), pp.365-380.
 Van Gelderen, M., Thurik, R. and Bosma, N., 2006. Success and risk factors in the pre-startup
phase. Small Business Economics, 26(4), pp.319-335.
 Pickton, D.W. and Wright, S., 1998. What's swot in strategic analysis?. Strategic change, 7(2),
pp.101-109.