CPA case study Essay

Case Study 1 = Dakz Performance Sports activities Apparel

Module 2: Comprehending the external environment

(External Environment – every thing external towards the organisation which includes but not limited to: Industries, Markets, Political Forces, Regulations, Environmental Issues, Contemporary society, Technology and a variety of different factors)

Q1 – Define Industry and advise regarding Dakz efficiency spots attire Industry Classification (The collection of similar economic or commercial actions that produce goods or perhaps services) Site 2 . a few Dakz Functionality sports clothes is in global athletic apparel and footwear industry. Dakz started making compression clothing for triathletes, before quickly diversifying in small production runs of cycling and runin clothes for athletes and effective Australians. Dakz has broadened its business into broad range of efficiency, fitness and compression wear.

Q2- Just how would you determine this industry is global?

To determine if te market is global – We would consider the athletic clothes market goods traded internationally. Dakz and other international brands like Nike, Addidas etc trade throughout the world so we would be considered this industry to be in the global industry.

Q 3 – Define industry value chain and prepare worth chain pertaining to Dakz. The Industry Worth Chain (Athletic Apparel Industry) –

Comprises the business' operations, people, organisations, technologies and infrastructure which in turn transform unprocessed trash into done good or perhaps services.

Q4 – Determine Industry lifestyle cycle with what level Dakz is placed. Ans – Most Industrial sectors have a life routine, similar to a product life cycle yet much longer. Different strategies are required at several points in an industry lifecycle phase or perhaps stage. Through the life routine, the composition and environmental an competitive forces that influence and industry modify, As such, a business needs to be adaptable. The industry would be regarded as in the older stage in the industry lifecycle, this can be established because at this time: - Customer start to possess greater electric power – Client have substitute choices and brands and are also easily in a position to compare selling price due to the accessibility to information on internet and availability of different brands in market and very markets. Focus is on efficiency, expense control and market segmentation: - Focus of Dakz in cost decrease due to they own outsourced production of goods to china to minimize its cost. Sector rivalry is usually intensified: - Most of International brands like Nike, Addidas has already entered into Australian industry and more choices are available. Problem 5 – PESTEL

Remote control Environment Analysis (PESTEL) (factors influencing earlier growth in the marketplace and precisely what is expected to drive future expansion? ) Web page 2 . twenty-three ( You should refer yellow-colored points for bottled water industry) Factor


Nature of Impact (=), (+), (-)


There is absolutely no political pressure across community in conveying athletic clothing and boots (+)


Continuous exponentially boosted annual growth rate (CAGR) @8% have been observed in this kind of industry nationwide from 2008-2012 and element annual progress rate of @0. 8% has been observed in this industry in US. (+)


Customers had proven goods development trend Seeing that 2008



Compression apparel is extremely specialized category in athletic apparel market, Dakz has already started developing, compression apparel along with broad range of perfumes and so forth (+)


Information will not be provided in case about environmental issues. N/A


Several Regulatory hurdle has been enforced on wholly foreign held companies in certain Asian countries. (-)

Overall – On the basis of analysis – the near future growth of athletic apparel marketplace could be supposed to increase.

Key Factor promoting upcoming growth because as follows: --

Strong development in Demand

Ongoing growth popular of compression apparel.

Lowering of cost of making due to outsource of manufacturing in china.


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