Scenario:
lululemon CEO Laurent Potdevin has employed you as a consultant to assess the company’s overall
situation and recommend a set of actions to improve the company’s future prospects. Please prepare
a report to Mr. Potdevin that includes:
1) A brief introduction describing the purpose and objectives of your report,
2) An evaluation of competitive forces (e.g. Five Forces) in the market for yoga and fitness apparel,
3) An identification of the primary components of lululemon’s value chain,
4) An evaluation of lululemon’s financial and operating performance as displayed in case Exhibit 1 (e.g. financial ratio analysis),
5) An assessment of lululemon’s strengths, weaknesses, opportunities and threats (e.g. SWOT), and
6) A set of action recommendations that lululemon’s revamped top executive team should initiate in order to rekindle the company’s growth and performance. Your report should contain convincing reasons in support of each one of your recommendations. The support offered for each of your recommendations must be based on: (a) conclusions drawn from your analysis including the application of the concepts and b) analytical tools regarding strategic moves that may be suitable for lululemon.