RESOURCES AND CAPABILITIES:

Strengths:

Cult-like Brand Loyalty/Status symbol

High profit margins (see financial ratio)
Research and development (High product quality standards , Unique product
design)
Knowledge Information System (Strong customer relations, community-based
marketing)
Unique store-experience (yoga sessions inside the store; interactive community
hub)
Debt free
Continuous employee development (trainings etc)

VRIN TEST:

Valuable Rare Difficult to Not-

imitate substitutable
Knowledge / X X /
Information
System
Unique store / x X /
experience
Research and / X x /
Development
on product
quality and
designs

VULNERABILITIES:
Weaknesses:

Lack of brand awareness

Internal management Conflicts
Narrow product line
Brand image problem (CEO interview)
Weak supplier relationship resulting to low quality products
Highly dependent on one product segment (yoga apparels)
Narrow global reached compared to competitors
Less advertisement efforts (depends on word of mouth and community-based
advertisements)
FINANCIAL ANALYSIS: (see excel)
Opportunities:

Untapped markets
Increasing number of health conscious people
Fast-growing apparel segment of high-tech fabrics
Increasing number of new technologies that can improved the product quality

Threats:

Increasing number of new entrants

Changes in economic and fashion trends
Strong rivals
Emerging number of substitutes
 Product imitations
Faddish and small market