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SWOT analysis

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Using the "The Fashion Channel" (Harvard Business School case, no. 2075) case by Wendy Stahl, address the following:

1. Examine Fashion Channel and prepare the SWOT analysis for the company. Pay attention to competitive challenges that Fashion Channel is facing. Can the company afford not to change its strategy? Why or why not?

2. Interpreting the consumer and market data available. What are the main points that Dana should focus on while reviewing the data?

3. Dana is considering three different scenarios (Broad based segmentation; Fashionsita focus; Fashionista + planners/shoppers). Advantages and disadvantages of each scenario include:?

4. What are the expected outcome of each of the targeting scenarios. Complete Ad revenue and Financial calculators to fully understand financial impact of such scenarios.

5. Based on your analysis, recommend the scenario/segment that will be most beneficial for the company. Provide positioning strategy for the recommended segment.

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Case Analysis: The Fashion Channel

Answer 1.
SWOT analysis of The Fashion Channel

The Fashion Channel (TFC) is a 24*7 cable TV network which is exclusively dedicated to fashion. It was found in 1996 and since then it has been witnessing continuous upswing. According to an annual demographic survey, TFC is having approximately 110 million subscribers of cable & satellite television. But, due to increasing competition with other fashion channels, it is in the need for developing a modern and updated brand strategy.

SWOT analysis covers the strengths, weaknesses, opportunities & threats which a company is facing in its internal & external environment. Strengths & weaknesses fall under the internal environment of the company and opportunities & threats fall under the external environment of the company. In the beginning, The Fashion Channel was quite popular among the viewers but due to intense competition, it is planning to change its strategies (Peter & Donnelly, 2002).

24*7 Broadcasting: The Fashion Channel (TFC) is solely dedicated for broadcasting fashion programming 24 hours per day & all 7 days of a week. This 24*7 broadcasting schedule enables TFC to set up a significant competitive dynamic (Stahl, 2007).

Large number of subscribers: TFC is having approximately 110 million U.S. households as its subscribers. This number is not a small ratio as compared to other cable networks because large number of viewers can attract the advertisers also.

Low Fee for advertising: The fee charged by TFC was at the low end as compared to other cable networks of fashion. This is very helpful in attracting the advertisers who seeks to reach large number of customers ...

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