Marketing Management

Question 1

Analyze the FabIndia business model and its critical success factors.

Answer -

When we analyze the case we find that the brand FabIndia started as an export driven
company in collaboration with Habitat and afterward they entered into retail sector.

It followed a social, partnership based procurement process

As the competition increases, the mannequin modified and it elevated to many metro
cities

Creating a fee for the product and differentiating that product from others influenced
new customers

Addressing the need of the purchaser primarily based on their climate and customs
Introducing new merchandise in the market and training the work force to improve
thescenario

To market the handloom lifestyle of India to the rest of the world

To grant employment to artisans in rural area

The uniqueness/Indianness attached to the product used to be the foremost purpose

for their success

Question 2

Is there a need for it to change or evolve? Should it continue to remain a niche player
or broaden its positioning?

Answer

Yes, it needs to evevolve and change its strategies from the case we saw FabIndia is
facing major problems-

It has low brand awareness. Although the customer loyality is very good but it is not
able to expand its customer base .

Consumer preferences kepps on changing like it shifted to Indo-western but FabIndia is

somewhat rigid in its product categeory.

FabIndia has a number of single fashion outlets like Levis , Mango , Zara, Lakshita and
multibrand outlets like Lifestyle, Pantaloons, Big Bazaar outperforming it .

There are two possibilities either the brand changes its product offerings or you change
the consumer preferances.

FabIndia as a brand needs to work on how it is perceived by consumers for not only
being a classy expensive brand because somewhere it has a derogatory effect.

Question 3

Regardless of the above choice is there a need to shift consumer perception of

FabIndia as classy,middle aged, expensive to a brand i.e. more vibrant and
contemporary?

Answer
To expand its consumer base its needs to adapt to the ever eveolving taste and
preferances of consumers. Its need to work on five factors of brand equity -

Association

Awareness

Perceived Quality

Loyalty

Proprietry asssets

Out of these awareness being most critical.

It should expand its product range and variety differentely for different age group and
income segment . Remaining only in a particular segment in long run can fetch low
growth rate to brand.