Hello good morning, everyone.

I stand before you today with immense pride

and enthusiasm as we embark on a journey into the dynamic and innovative world of
Argil. I am Ion Vidrascu, the CEO of Argil, and it is my pleasure to introduce you to a
brand that goes beyond footwear—it's a lifestyle, a commitment to sustainability, and
a celebration of innovation.

Let's start by exploring the essence of Argil. Founded in 2021, our journey has
been one of continuous exploration, pushing boundaries, and redefining what it means
to wear a pair of sneakers. Our mission is simple yet profound: to redefine the sneaker
experience. We don't just sell footwear; we offer a lifestyle—a fusion of fashion,
comfort, and environmental responsibility.
In line with the differentiation strategy, the company name, "Argil," was
carefully chosen to evoke a sense of uniqueness, sophistication, and modernity. The
name doesn't directly reference sneakers but suggests a brand that goes beyond the
ordinary. It's short, memorable, and distinct, making it suitable for a differentiation
strategy. The name reflects the goal of offering sneakers that are not only functional
but also stylish and extraordinary.
The slogan, "Live in comfort," is crafted to align with the differentiation
strategy. It conveys the message that Argil's sneakers are not just about today but
about the future. It implies innovation, progress, and forward-thinking, which are key
elements of a differentiation strategy. The slogan communicates that customers who
choose Argil are taking a step into a unique and exciting sneaker experience.

Our brand identity is built on the principles of modernity, eco-consciousness,

and inclusivity. Our logo is a sleek and minimalistic design, representing simplicity
and sophistication. Argil's tagline is "Live in comfort," reflecting our forward-thinking
approach to footwear design and comfortability. To maintain alignment with the
differentiation strategy, it's crucial that the company consistently embodies its
particularity in all aspects of branding, from product design to marketing materials
and its commitment to innovation and sustainability.
Our strategic vision is to become a global leader in sustainable and fashionable
sneakers. We aim to disrupt the footwear industry by setting new standards for
environmentally responsible practices while offering a wide range of trendsetting
designs. The first step was clearly to define the company's generic competitive
strategy. For Argil, we have chosen as strategy, differentiation, aiming to offer unique
and innovative sneakers that stand out in the market.
Argil provides sneakers that not only look great but also make a positive
impact on the planet. Our mission is to create stylish and eco-friendly sneakers that
people love to wear, while continually innovating to minimize our carbon footprint
and promote social responsibility. With a differentiation strategy, Argil should
position itself as a premium brand in the sneaker market, focusing on quality, style,
and innovative features. The company should emphasize the benefits that set its
products apart from competitors such as values and objectives.

Determining the company's overall strategic position, including the name,

slogan, and logo, involves aligning these elements with the chosen generic
competitive strategy. For Argil, a differentiation strategy guided the choice of a
unique company name, a forward-thinking slogan, and a sleek and sophisticated logo
to convey the brand's commitment to innovative and stylish sneakers. This alignment
helps create a cohesive and compelling brand image.
By performing a comprehensive external analysis of the sneaker industry, we
have identify four major factors driving change in the industry such as:
• Sustainability and Ethical Practices:
• Technology and Innovation:
• E-commerce and Direct-to-Consumer (DTC) Sales:
• Inclusivity and Customization:

Now let's use the PESTLE analysis to evaluate four major factors that are
affecting the industry and highlight their relevance against Argil.
1 Political Factors:
Government regulations related to trade, labour practices, and environmental
standards can significantly impact the sneaker industry. For example, regulations on
sustainable manufacturing practices and fair labour can drive companies like Argil to
adopt more ethical and environmentally responsible strategies. Changes in trade tariffs
can also affect the cost of importing and exporting sneakers. Tariff disputes and trade
policies can influence sourcing decisions and pricing strategies in the industry.
2 Economic Factors:
Exchange rate fluctuations can affect production costs and international sales,
impacting profitability and pricing strategies.
The economic health of consumers directly influences their purchasing power.
Economic downturns can lead to reduced consumer spending on non-essential items
like sneakers, while economic upswings can drive demand.
3 Sociocultural Factors:
Changing consumer preferences for eco-friendly and fashionable sneakers have
driven the industry towards sustainability and innovative designs.
Sociocultural trends towards inclusivity and customization have influenced
product development and marketing strategies.
4 Technological factors:
The sneaker industry is heavily influenced by technological advancements. This
includes the use of cutting-edge materials, such as recycled plastics and organic
fabrics, as well as innovations in production techniques like 3D printing. Additionally,
the integration of technology into sneakers, such as smart insoles and fitness tracking,
is changing the market.
The overall result of the PESTEL analysis for Argil suggests that while the
company faces various external factors that can impact its operations, it is well-
positioned to leverage opportunities and navigate challenges.

Some examples of opportunity that Argil could embrace are:

• Sustainability Alignment:
• Innovation Focus:
• Social Trends:
Argil's commitment to sustainability aligns well with the growing trend of eco-
conscious consumer preferences. The company can capitalize on this strength by
continuing to highlight and communicate its environmentally friendly practices.
The company's focus on innovation, both in terms of design and technology, positions
it positively in a technologically driven and fashion-forward industry. Staying at the
forefront of technological advancements can give Argil a competitive edge. Argil's
emphasis on inclusivity and customization aligns with evolving social trends.
Providing to diverse customer preferences and offering personalized options enhances
the brand's appeal in a socially dynamic market.
Challenges and Considerations to have into account.
• Economic Sensitivity:
• Regulatory Compliance:
• Technological Evolution:
The sneaker industry is highly sensitive to economic fluctuations. Argil needs
to be proactive in adapting its strategies during economic downturns, ensuring that
pricing and marketing strategies are flexible to accommodate changes in consumer
spending habits. While the legal impact is moderate, staying compliant with changing
regulations and ensuring fair labour practices should be a priority. Regular monitoring
of legal landscapes in different markets is crucial to mitigate potential risks. The high
impact of technological factors suggests that Argil needs to maintain its commitment
to innovation. Regularly updating manufacturing processes and incorporating cutting-
edge technologies into products can help the company stay competitive.
In conclusion, the overall result suggests that Argil has a strong foundation, and
its strategic positioning aligns well with prevailing trends. By proactively addressing
economic sensitivities, staying compliant with regulations, and consistently
innovating, Argil can continue to thrive in the dynamic and competitive sneaker
industry.

Thank you for your attention. For the next segment, economic department, it's my
pleasure to introduce our colleague and the CFO of Argil Loredana.
Reference:

Branding:
• "Building Strong Brands" by David A. Aaker.
• "Brand Leadership" by David A. Aaker.
• "Brand Relevance: Making Competitors Irrelevant" by David A. Aaker.

Competitive Strategy:
• "Competitive Advantage: Creating and Sustaining Superior Performance" by
Michael E. Porter.
• "Competitive Strategy: Techniques for Analyzing Industries and Competitors"
by Michael E. Porter.
• "Blue Ocean Strategy: How to Create Uncontested Market Space and Make the
Competition Irrelevant" by W. Chan Kim and Renée Mauborgne.

Marketing and Market Positioning:

• "Positioning: The Battle for Your Mind" by Al Ries and Jack Trout.
• "Principles of Marketing" by Philip T. Kotler and Gary Armstrong.
• "Marketing Management" by Philip T. Kotler and Kevin Lane Keller.