Table of Contents

HISTORY OF FOREVER 21 .............................................................................................................. 2

BREIF ABOUT THE COMPANY ...................................................................................................... 5
WORK PROFILE................................................................................................................................. 6
“FOREVER21:ISN’T FOREVERAFTERALL, ORISIT?”........................................................................... 9
ACASESTUDY ....................................................................................................................................... 9
Story Timeline and Narrative ................................................................................................................ 9
Forever 21 Swot Analysis ................................................................................................................... 10
Statement Of The Problem................................................................................................................ 10
Proposed Alternative Courses Of Actions............................................................................................ 11
Recommendation.............................................................................................................................. 11
Plan of Action ................................................................................................................................... 11
Steps to Take ................................................................................................................................. 11
Correct Usage................................................................................................................................ 12
Primary Colours ............................................................................................................................ 12
Seasonal Colours ............................................................................................................................ 12
Initial Market Survey .................................................................................................................... 13
Development of Product Positioning Statement ........................................................................... 13
Selection of Segmentation Strategy .............................................................................................. 13
Designing Appropriate Marketing Mix ............................................................................................ 13
The Place Mix................................................................................................................................ 13
Maximizing Positioning Strategies through Balanced Activation ................................................... 14
The Product Mix ............................................................................................................................ 14
The Packaging Mix........................................................................................................................ 14
Promotion ....................................................................................................................................... 15
Forever 21 would also like to be positioned as the number one fast fashion option by ................... 15
Launching The Following Campaigns: ......................................................................................... 15
POTENTIAL PROBLEM ................................................................................................................... 16
CAUSE OF THE PROBLEM .............................................................................................................. 16
EFFECT OF THE PROBLEM ............................................................................................................. 16
FALLBACK ANALYSIS ................................................................................................................... 16
REFLECTION .................................................................................................................................... 17
CONCLUSION ................................................................................................................................... 19
LERANINGS FROM THE PROJECT............................................................................................. 20
REFERENCES .................................................................................................................................... 20
HISTORY OF FOREVER 21

• The primary Forever21 store, initially named "Fashion 21", was established in 1984 by
Korean entrepreneur Do Won "Don" Chang in the group of Highland Park, with the
objective to offer Korean styles stateside.
• As indicated by a 2010 Los Angeles Times article, Chang got the thought for a retail
store after he recognized that "the people who drove the most pleasant cars were all in
the garment business".
• (Chang) Soon the store got famous and began to expand to different areas of Southern
California.
• While Chang's advantage was more economical than tends, he was unknowingly at the
front line of another trend (alongside Halston, Jaclyn Smith, Wal-Mart, and so forth) in
retail- the spanning between high form and the American mass business sector
customer.
• During this time period, the advancement of technology decreased the "supply chain",
which implied the time and expense it took for a bit of clothing to go from the
manufacturer to the store was fundamentally reduced.
• Thus, that shirt on scene amid New York's fall 1984 style week could go from idea to
reality in a fundamentally faster time.
• Fashion became quicker, allowing Forever 21 and other chains to convey high fashion
(in any event in idea, if not in quality) t0 buyers in a matter of a few days.
• Forever 21 international market: Forever 21 is developing like insane, and the quick
design retailer is turning into a significant danger to whatever remains of the business.
• Investigators Lorraine Hutchinson, Paul Alexander, and Jessica A. Lebo at Bank of
America cautioned that contenders need to begin giving careful consideration to the
secretly held retailer at this moment.
• They pronounced Forever 21 "the most transformative retail idea" in a note to
customers "Forever 21 is getting to be too huge for the claim to fame retailers to
disregard." The investigators composed. "At this size, quick development could have
expansive influences on alternate retailers as Forever 21 takes more impart.
• In 2008, Forever 21 SVP Christopher Lee told the Los Angeles Times that the
organization's objective is to turn into a "worldwide retail combination.” Furthermore
 its well on its Way Forever 21 has extended to more than 450 stores in the U.S. what's
more about 100 acres globally, it charged into Europe, put its foot into China, and has
its sights on Latin America.
• Forever 21 is an American retail chain that is #122 in Forbes biggest private
companies list of USA. With headquarters in Los Angeles, California, the
company has 480 branches all over the world and has notched up sales of $3.7
billion in 2013.
• One of America’s most preferred retailers, Forever 21 was established as Fashion
21 in 1984 by a Korean immigrant in a small 900 sq. feet space.
• Malls house the fashion giant in 9,000 square feet area and their XXI flagship
stores are spread over 24,000 square feet.
• By economically pricing their fashion friendly designs, Forever 21 has been able
at attract a steady patronage selling apparel for girls, women and men apart from
venturing into accessories and beauty products.
• Do ‘Don’ Won Chang migrated to America in 1981 from Korea. As a new
immigrant Chang had to do two jobs to feed his family. He worked as a janitor and
served coffee at a gas station.
• Chang noticed that many of the people who would come to the gas station in luxury
cars were all in the retail industry. He soon decided to enter the apparel market.
• Chang and his wife Jin Sook launched Forever 21 just three years after migrating
to America.
• They initially sold clothing designs popular in Korea to the Korean-American
people living in Los Angeles. The first year for Forever 21 saw $700,000 in sales.
• By 2009 Chang’s two daughters Linda and Esther joined the family business in
the marketing department. In 2014, the Changs family worth was Five billion
dollars.
• They are now ranked number 86 in the List of Richest People in America and
number 93 on the Forbes 400 list. Changs are also at number 244 in Forbes
billionaires list. But Forever 21 success story has not been without its share of
controversies.
• The company faced several allegations of copyright infringements against it.
• According to Forbes, Forever 21 had 50 copyright violation lawsuits slapped on
it. Some of the most famous designers in America like Diane von Furstenberg,
Anna Sui, Trovata, and Gwen Stefani have sued Forever 21.
• However, the firm was never found guilty and settled most of the cases out of
courts.
• In its defense, Forever 21 maintains that it works with merchants instead of
designers, and does not copy designs.
• Forever 21 was also pulled up by several media houses like The Daily Mail and
The Huffington Post. They alleged that the clothing firm was promoting a religious
propaganda and a Christian agenda because it sold tops printed with words like
“Thank God,” “Holy,” “Peace,” “Faith,” “Hope,” “Love,” and “Jesus.”
BREIF ABOUT THE COMPANY
• FOREVER 21 is known as one of the leading and most competitive fast fashion retail
brands in the world.
• It is an American fashion retailer organization with the headquartered in Los Angeles,
California, USA (Martin Roll, 2018). In 1984, one immigrant couple from South
Korea “Mr. Do Won Chang and Ms. Jin Sook Chang” have established the
FOREVER 21 and named by their adorable daughter “Tiev Forever” whereas Mr. Do
Won Chang occupying the post of CEO of the company.
• At the very beginning, it was known as “XX1 FOREVER” (FOREVER 21 Official
Website, 2018).
• Forever 21 is competing on merchandise, cheap price points, prime locations, and rapid
global logistics. According to Forbes, FOREVER 21 becomes the 5th largest American
privet fast fashion retailer organization in 2018 (Forbes.com, 2018).
• Over the past 30 years, it has achieved some remarkable endeavors including the
revenue of USD8 billion at the end of 2017. It has approximately 30,000 employees
working in 790 retailer outlets of 48 nations.
• As it is a fashion retailer company so their main product is basically clothing,
accessories and more than 60% of their clothes is made in China.
• Therefore, FOREVER 21 is capable of offering goods at a very cheap price towards its
customers.
• The purpose of Forever 21 brand to compete directly with iconic global fashion brands
like Zara, H&M, Uniqlo and some other key industry players (Martin Roll, 2018).
• Forever 21 Indian market: Forever 21 arrangements to put $50 million in the Indian
advertise through the following few years to extend its retail operations in the wake of
having exchanged its neighborhood accomplice.
• The secretly held organization, which posted income of $3.4 billion in 2012,
additionally plans to build its sourcing from India Regardless of being moderate, it
won't be simple for Forever 21 to break the Indian business, retail specialists said.
• India's retail advertise for western wear has, over the recent years, pulled in a grip of
the world's biggest private names that are depending on the nation's young customers
to good business and offers.
WORK PROFILE
• Social factures: Forever21 has similar objectives of disposing of tyke and grown-up
constrained work, and we are completely adjusted to the soul and reason for
Responsible Sourcing Network’s cotton vow. Forever 21 has marked the cotton vow
compelling October 7, 2016. Forever 21’s dedication to this issue is not new.
• Since 2013, Forever 21 has attempted to guarantee that none of its outsider sellers
intentionally acquire their supply of cotton from Uzbekistan.
• Our Corporate Social Responsibility program incorporates the Forever 21 Vendor
Audit Program.
• While large portions of our merchants have worked with Forever 21 for various years
and are believed, all providers and sellers must give plant contact data and all industrial
facilities must take an interest in the review program.
• Technological Factors: It reports the accessible techniques for changing or changing
over assets into items and administrations.
• Notwithstanding, supervisors must be watchful about mechanical variables since they
must be precise in new innovations and adjust to new condition to dispatch another
item or to make a venture.
• Political / Legal Factors: It is alluded to the administration law of business (control
and set the do’s and don’ts), business-government relationship (It is vital to have great
connection in business as far as economy) and the general political and legitimate
circumstance of the nation (It demonstrates that positive circumstance where directors
need to work with).
• Economic Factors: The economic dimension of an association is the general status if
the financial framework in which the association works.
• The most vital monetary elements are loan fees, unemployment and swelling.
• These components bring issues for the interest for items.
• Since, if financing costs are high, purchasers will spend less; if the expansion is high,
the organization they pay more for assets, and they need to expand costs to cover costs;
and if the unemployment is high, shoppers purchase less on the grounds that there are
few individuals working for the association.
• Organizational Culture: At Forever 21 Inc. they have a most significant
organizational culture, resource is the general population who work for organization.
• As a quickly developing claim to fame retailer, perpetually 21 appreciates a dynamic
and quick paced working condition.
• They are a fun, adaptable, and vigorous gathering of individuals cooperating to make
a novel charming condition. Cooperation is key when sharing the alternate points of
view that permit the organization to develop.
• What’s more, perpetually 21 is focused on supporting differing qualities inside the
organization and imparting this dedication to a group.
• Organizational Hero: Do Won Chang open his first store in L. A’s. Highland Park
neighborhood in 1984, calling it Fashion 21. As deals took off and the demographic
developed past the Korean American people group, he changed the name to Forever
21.
• Different stores soon followed in the U.S. what’s more, abroad, incorporating one in
the Seoul neighborhood of Myung-Dong, where Chang grew up.
• The financial downturn constrained Chang to make a few cuts. The organization
finished 2009 with seven less stores than the prior year. Still, income is climbing. In
the last monetary year, Forever 21 posted $1.7 billion in deals. It anticipates income of
$2.3 billion this year.
• A lot of that is from forceful extension – Chang is peering toward Israel and Hong
Kong, for instance. Similarly, critical is an expansive lineup.
• Notwithstanding Forever 21, the chain has seven different arrangements, each serving
unmistakable types of shopping center rats, including XXI Forever, which concentrates
on higher end couture lines, and Heritage 1981, highlighting vintage-styled garments.
• Sustainability Forever 21 goes into an exhaustive concurrence with each of our sellers
and their production lines under which they guarantee to use lawfully qualified
laborers, pay them compensation which are reasonable and legitimate in their ward,
and give a situation that follows their lawful necessities.
• Our understanding likewise covers issues of time off, free affiliation rights,
nondiscrimination, ecological assurance and security, and forbids the utilization of
constrained or slave work, youngster work.
• They have a profoundly prepared Vendor Compliance Team, which advances and
upholds legitimate and moral operations at our outsider manufacturing plant
destinations.
• The Team fulfills this implementation by leading assessments of our dynamic non-US
Vendor producing offices on an arbitrary premise to guarantee The Vendor
Compliance Standards are comprehended, regarded and taken after. We additionally
visit most production lines before We contract them, to guarantee their office and
operations meet with our models.
• After every manufacturing plant visit, the Vendor Compliance Team gives a composed
assessment of the processing plant, including any activity things which may require
revision before the following visit. We additionally do our best to give continuous data,
guidance, and support on reasonable work, wellbeing and security, and related issues.
• The objective is to work with our industrial facilities to help them enhance and
guarantee reliable consistence.
• In any case, if we find intense infringement or infringement which are not adjusted
inside a sensible day and age after our remedial activity arrange has been issued, we
may end that plant from our program.
• Forever 21 trust this procedure helps with guarding against potential hazardous
conditions, working environment wounds or abuse, and furthermore brings about a
general change in processing plant effectiveness and item quality principles
“FOREVER 21: ISN’T FOREVER AFTER ALL, OR IS IT?”
A CASE STUDY
• THE PROTAGONIST OF THE CASE The protagonists of the case involves the
owners of F21, Jin Sook and Do Won “Don” Chang. As the owners of the once
famous fashion retailer, they act as the head implementors of any changes to be
applied to the company. They have the final say to any proposals presented to them.
• CENTRAL CHALLENGE: The Company, in general, had a myopic approach to
their branding and retailing strategy despite boasting robust sales performance
including a whopping $4.4 billion in global sales in 2015 With 480 locations
nationwide. They believed that they can continue the same strategy for expansion
which forecasted F21 to become an $8 billion company by 2017 and open 600
new stores in three years without facing any threats and troubles.
• CENTRAL ORGANIZATION CONTEXT: The main cause of their downfall
was their aggressive expansion which caused them to lose their identity as a brand.
Part of what made Forever 21 popular in the first place was its fast-fashion model.
Even though its products were always mass- produced, they still felt unique because
its stores only sold select styles for a limited time. However, as the company
focused on growing bigger, its styles became more "cookie-cutter." As a result,
Forever 21 started to lose touch with its core customers, while competitors like
H&M and Zara rose. The protagonists failed to properly adapt to the trend and to
the ever-dynamic consumer behavior.

Story Timeline and Narrative

Figure 1: Story Timeline and Narrative

Forever 21 Swot Analysis
STRENGTHS WEAKNESS OPPORTUNITIES THREATS
• Strong • Cookie- cutter • Emerging • Quick Rising
brand name styles internet Fashion Stores
• Lots of location • Private • Advancing H&M, Zara
stores world ownership technology • Trend in second
wide • Sometimes • Rewards system hand clothing
• Reasonable understaffed • Diminishing
prices • Doesn’t have likeliness to
• Customer rewards system shop to
Savvy; kind • Flaws in online physical stores
and shopping • Lawsuits with
accommodating system unauthorized
• Organization of • Low quality for use of
store is some products proprietary
consumer • Widen data from
friendly variations other fashion
• Association with retailers
celebrities; loud
promotion
Figure 2: SWOT ANALYSIS OF FOREVER 21

TOWS STRENGTHS WEAKNESESS

ANNALYSIS
OPPORTUNITIES SO Strategy (Maxi- Maxi ST Strategy (Maxi-Mini Strategy)
Strategy) • Showcasing advantages of a first
hand clothing (maybe thru an ad)
• Use of Internet to at least get
in social medias or through
an idea about the latest designs
commercials.
that are in with the target
market and also to analyze
the trend of the target market’s
perception
THREATS WO Strategy (Mini-Maxi WT Strategy (Mini- Mini
Strategy) Strategy)
• Use of Rewarding system • Showing off advantages of having
Not on trend first hand clothes,
way better than those on trend
second hand clothes
Figure 3TOWS ANALYSIS OF FOREVER 21

Statement Of The Problem

The main cause of their downfall was their aggressive expansion which caused them to
lose their identity as a brand. As the company focused on growing bigger, its styles
became more "cookie-cutter." As a result, Forever 21 started to lose touch with its core
customers, while competitors like H&M and Zara rose. The protagonists failed to
properly adapt to the trend and to the ever-dynamic consumer behavior.
Proposed Alternative Courses Of Actions
• ALTERNATIVE COURSE OF ACTION #1: Rebrand and reposition and develop a
differentiated marketing strategy to enable brand activation.
o Projected Plan of Action: This aims to rebuild, rebrand and reposition
Forever 21 to appropriately re-establish its dominance in the fashion
industry. Develop a new logo that will be appropriate for the target
market identified through STP strategies. From this, the company will
focus all its efforts on building customer relationship with its strong
customer base.
• ALTERNATIVE COURSE OF ACTION #2: Creation of new designs that will serve
as the brand’s signature products based on marketing research and customer
feedbacks.
o Projected Plan of Action: Develop product that emphasizes on latest
trends and disregarding non-profiting ones. An example of an
opportunity that they can take advantage of is demand for plus size
clothing. In line with this, develop a new segment that focuses on Plus Size
Women group and be their ambassadors in educating the public on
appreciating beauty in all sizes.

Recommendation
• Based on the analysis of advantages and disadvantages of proposed courses of actions, the
best course of action to undertake is ALTERNATIVE COURSE OF ACTION #1: which
aims to rebuild, rebrand and reposition Forever 21 to appropriately re- establish its
dominance in the fashion industry.
• This will help the owners to execute a differentiated marketing strategy to target markets.
Using this strategy, the proponents also believes that these are necessary to meet
objectives set in the previous part of this paper. To discuss in full detail, you can proceed
to the proposed plan of action to enact this strategy.

Plan of Action
Steps to Take
• Develop a new brand logo and identity
• Developing holistic plans and strategies
• Analyze what to keep and to discard
• Analyze the competition
Figure 4The proposed logo is sleeker looking compared to original one. The bold number 21 makes 21 stand out more
and will help brand recall and recognition.

Correct Usage
• The logo is always a single color, no matter the background.

• The clothing is the main aspect of print ads. The logo should be set to a corner, no
less than 0.5 inches from the nearest edge, on covers and ads and not surpass
5% in size.
• The logo may be in any brand specified color or tint.
• Logo may be in a tint of the background or black and white.

Primary Colours
• Pale Pink (Hex Code: #ffc4e6) provides a pop of color, but will not overpower the
design. This is Forever 21’s primary color, and it will often be found alongside
black and white, or a tint of a secondary color.
• Black (Hex Code: #000000) can be found in nearly every design, and helps to
solidify the brand and high quality but minimal. Whether type or graphics, black
will be used frequently, and can work with any other color.

Seasonal Colours
• Azure Green (Hex Code: #70BA60) will signify spring colors.
• Muzli (Hex Code: #60AEB6) will signify summer colors
• Strong Orange (Hex Code: #CD7328) will signify autumn colors.
• Dark Moderate Red (Hex Code: #7B2733) will signify winter colors.
Initial Market Survey
• Demographics of Users: Forever21 used to target only teen girls, but in recent
years, they have expanded their target market to men and also older women. It is
almost like a fashion department for all ages, genders, and races.
• Heavy-User Profile: A very frequent shopper of Forever21 is mostly fashion-
oriented and/or on a budget. Forever21 offers good prices for stylish clothing.
• Awareness and Attitude: Most shoppers know about Forever21 mainly because of its
popularity for good deals. The attitude that comes with this brand is that of
positivity and happiness.

Development of Product Positioning Statement

We want to position Forever 21 as the only fast fashion brand that offers reasonably-priced,
trending, easy-to-find merchandise uniquely associated with feelings of freshness, trendiness and
young in spirit.

Selection of Segmentation Strategy

The proponents intend to use the combined segmentation bases of product- usage segmentation and
user oriented segmentation to accurately depict the target market of Forever 21

Designing Appropriate Marketing Mix

Our marketing mix will be derived from this strategy:

Core Product
and Identity

Figure 5MAXIMIZING POSITIONING STRATEGIES THROUGH BALANCED ACTIVATION

The Place Mix

• Due to some paradigm shifts in where customers get their clothing, existing
physical stores that doesn’t perform well in terms of sales shall be shut down.
This will help Forever 21 to recover financially through cutting costs.

• As a more effective strategy, we are going to build networks with

distribution giants such as C.H Robinson, XPO Logistics and UPS to increase
efficiency of distribution for our e-commerce customers. This way, it will help
increase our share of distribution and obtain market coverage.

• This strategy overcomes discrepancies in quantity, place, time, assortment and

possession utilities. Furthermore, a new look in the stores will make it more
enticing to customers to shop inside.
Figure 6NEW LOOK OF FOREVER 21 LOGO ON PHYSICAL STORES

Maximizing Positioning Strategies through Balanced Activation

The Product Mix
• Our product portfolio exhibits hundreds of products a huge number are
available in stores and needs to be repositioned.

• To cater this dilemma, we are going to re-launch some of our existing product
lines which includes Plus Size Women product lines to cater fads with Plus
Size Women markets to improve sales performance, sustained or not.

• This is based from the market researches that indicates increased demand to
this type of segments.
The Packaging Mix
• Packaging improvements have been nonexistent with Forever 21. They continue
to provide the same old yellow plastic shopping bag with
“FOREVER21” at the bottom. So we propose the following designs for the
newly revamped brand of Forever 21. This highlights the use of paper and cloth

Figure 7NEWLY REVAMPED PACKAGING IDEAS

 based bags for a more environmentally friendly packaging.

Promotion
• Forever 21’s strong points are their huge customer base that is why we
recommend to take advantage of this factors through implementing
integrated marketing communications plan on multiple promotional
platforms that will help position Forever 21 as the only fast fashion brand
that offers reasonably-priced, trending, easy- to-find merchandise uniquely
associated with feelings of freshness, trendiness and young in spirit.

Figure 8FOREVER 21 ONLINE PORTAL AND APPLICATION

Forever 21 would also like to be positioned as the number one fast fashion
option by:

Launching The Following Campaigns:

• Develop a rewards and incentives system that will incentivize loyal customers.
This will help repeat purchase and bulk purchases to our loyal customers. This
promotional activity shall be released every peak of the season.
• Once the rebranding has succeeded, we will have our Midnight Madness Campaign
which aims to provide 21% discount from 9 pm to 12 MN every 21st of the month.
Every order placed within 9 pm to 12 MN on every 21st using our online portal shall
take advantage of this discount.
POTENTIAL PROBLEM
• Investment on resources, time and effort might be rendered useless if the
following strategies doesn’t achieve quantitative and qualitative goals set.

CAUSE OF THE PROBLEM

• There were lapses in the marketing research (like possibilities that other
characteristics of the segment might’ve already changed during the timeline of
execution of marketing research/ wrong forecasting of target market.) which
makes the marketing research inaccurate.

EFFECT OF THE PROBLEM

This may cause the whole Rebranding and Repositioning protocols to fail.

• Failing the Rebranding and Repositioning Protocols will affect sales

performance and even brand image.

FALLBACK ANALYSIS
Forever 21 should carefully monitor KPI’s which would reflect the performance of the
processes in action executed by Forever 21. If KPI’s doesn’t show any positive results,
in addition, doesn’t meet the standards for a successful campaign. The Top
Management has the power to pull out marketing campaigns executed to further
avoid additional expenditures. The following KPI’s can be monitored which includes:

• Return on Investment- measures the sales revenue a campaign brings on every

dollar spent.
• Cost per win- measures the expense of each sale.
• Conversion Rate- the percentage of visitors who have converted into leads or
customers.

Give it an allowance of three months to perform its projected goals. Forever 21 can take
advantage of its resources to identify, prevent and avoid mistakes during
implementation before it reaches their customers through the use of prevention cost.
Results shall be evaluated every month to try and shake up the strategy to meet its
goals. Efficient Enterprise Resource Planning Software is also recommended for efficiency
of processes performed in the supply chain.
REFLECTION

• The company said it plans to "exit most international locations in Asia and Europe" but
would continue to operate in Mexico and Latin America.
• It expects to close up to 350 stores worldwide, a spokesperson said, including as many as
178 US stores.
• But some analysts say the retailer, founded in 1984, has lost its way over the past five
years, and fallen out of favour with young US shoppers looking for relatively cheap
clothing.
• The company has also, like many traditional retailers, struggled against rising competition
from online rivals.
• Chapter 11 protection postpones a US company's obligations to its creditors, giving it
time to reorganize its debts or sell parts of the business.
• A Forever 21 spokesperson said the retailer expected to have between 450 and 500 stores
globally after this process, down from its current total of about 800.
• Forever 21 had announced last week that it would pull out of Japan by October due to
"continued sluggish sales".
• The California-based firm has now said it is seeking to close up to 178 stores across the
US. It is also closing its stores in Canada, but has provided few details on other markets.
• "Decisions as to which international locations will be closing are ongoing. We do not expect
to exit any major markets in the US," the spokesperson said.
• "This does not mean that we are going out of business - on the contrary, filing for
bankruptcy protection is a deliberate and decisive step to put us on a successful track for
the future."
• Neil Saunders, managing director of GlobalData Retail, said: "The entry of Forever 21 into
Chapter 11 bankruptcy is a consequence of both changing trends and tastes within the
apparel market and of missteps by the company."
• "Over the past few years, the brand has lost much of the excitement and oomph which is
critical to driving footfall and sales and is now something of an also-ran which is too easily
overlooked.
• "Store standards have also been sliding and consumer ratings for the quality of displays,
merchandise, and the amount of inspiration in shops have dipped considerably over the past
 year. “He said bankruptcy would result in a much leaner US business, but he added that
most, if not all, stores in Europe would be expected to close.
• As part of the Chapter 11 proceedings, the firm says it has obtained $275m (£224m) in
financing from existing lenders and $75m in new capital.
• Executive vice president Linda Chang described the moves as an "important and necessary
step to secure the future of our company, which will enable us to reorganize our business
and reposition Forever 21"
CONCLUSION
• Forever 21 failed because it did not consider the sustainability of its business. It did not
analyze thoroughly market trends, competitor strategies, and consumer expectations. As a
result, it was unable to adapt and innovate and perished in the end. Whether Forever 21 can
recover from the severe loss or not…only time will tell. If you have an ecommerce business,
make sure you stay with the trends, use a professional product research agency, to know
what is selling right now, don’t leave the future of your business to chance.
• One of the weaknesses that can come up with biggest threats for the Forever 21 from their
competitor because of narrow customer segmentation, they only focusing on young adults
when all other competitor are focusing almost every segment of customer. Also from privet
organization it’s almost impossible for solving all the problem and treats.
• Threats that can predicting for Forever 21 fake imitating and risk from the competitor when
its able for Forever 21 to defeat it with their strength, because the latest trend with
affordable price it’s not that easy for competitor take over, also making fake imitation is
not goanna effect because of quality and customer satisfaction is inimitable.
• The opportunities for customizing cloth and for increasing demand which is leaking cause
of their weaknesses like private organization is slow to making and taking decision with
large change.
• Strength is the factor that always brings opportunities for organization. The main strength
detected in the SWOT are Latest treading product and design with affordable for their
customer which is a positivity for increasing the needs of youngsters to stick to trends, also
for creating needs for customize clothing’s
• Forever 21 is one of the biggest fashion companies in the world providing customers with
many fashion trends. Therefore, they have to keep in mind of their strengths and especially
weaknesses. The company faces a number of problems in and around the globe. As
mentioned above in the SWOT analysis, it can be seen that how the weaknesses can strike
upon the strengths and threats can be takeover by the opportunities. Hence, not only forever
21 but their branches have to think about the consequences which follow. Only by keeping
them in mind, the company can go ahead and succeed in the business life. Regardless all
those negative aspects overcoming the weaknesses and threats can provide Forever 21 to
go smoothly and take the full advantages of the fast and advance market as well as to sustain
within the industry by capitalize the revenue.
LERANINGS FROM THE PROJECT
REFERENCES
• http://bi.galegroup.com.libproxy.utdallas.edu/essentials/article/GALE%7CI250204657
0/0d3e569E5Eede5200e8199e303f04d76?u=txshracd2602
• http://bi.galegroup.com/essentials/article/GALE%7CA373327322/ca7798F92FE2b
D5D56df7ad742E8ae7e?u=txshracd2602

• http://bi.galegroup.com/essentials/article/GALE%7CA375581621/CA7798f92FE2b
D5D56df7ad742E8ae7e?u=txshracd2602

• http://bi.galegroup.com/essentials/article/GALE%7CI2501295701/9fC0590744F2C
A2b6c001f64feffdcda?u=txshracD2602

• http://bi.galegroup.com/essentials/article/GALE%7CI2502046570/43959Bf8bF85 6
0d87f36643f374f6482?u=txshracd2602
• http://clients1.ibisworld.com/reports/us/industry/default.aspx?entid=1413
• http://speckyboy.com/2012/08/08/how-seasonal-factors-can-influence-your-
business/
• http://www.businessinsider.com/forever-21-dominating-teen-retail-market-
2013- 3
• http://www.businessinsider.com/the-secret-behind-forever-21S-dirt-cheap-
clothing-2012-2
• http://www.businessinsider.com/why-forever-21-is-winning-teen-retail-2013-11
• http://www.collegefashion.net/fashion-tips/how-forever-21-works-plus-6-tips-
for-shopping-there/
• http://www.forbes.com/companies/forever-21/
• http://www.forbes.com/lists/2011/21/private-companies-11_Forever-
21_SI70.html
• http://www.forecast-chart.com/inflation-apparel-usa.html
• http://www.mbaskool.com/fun-corner/top-brand-lists/9879-top-10-apparel-
brands-in-the-world-2014.html?limitstart=0
• http://www.portal.euromonitor.com/portal/analysis/tab
• http://www.portal.euromonitor.com/portal/statistics/tab
• http://www.portal.euromonitor.com/portal/statistics/tab
• http://www.space150.Com/work/forever-21-runway/
• http://www.statista.com/statistics/242277/share-of-the-leading-10-us-apparel-
import-markets/
• http://www.statista.com/statistics/267930/brand-value-growth-compared-to- the-
previous-year-worldwide-by-sector/