Tag Archives: design

Crocs Launches High-Heels

Crocs casual shoes surround us. The comfortable, resin-based footwear comes in a wide variety of styles for women, men, and children. There are classic clogs, sandals, wedges, sneakers, boots, and more. But until recently, there were no dress-up Croc shoes for more formal and business events. Hmmm….. Is this a new market opportunity? The answer appears to be a resounding ‘yes’.

Crocs heard the need from its loyal female fans and recently launched a new high-heel Croc shoe. Crocs may have started as the shoe for casual outdoor wear, but were quickly adopted by people who are on their feet (such as restaurant and hospital workers) for long periods of time. Made with a closed cell resin called Croslite, the foot beds warm and soften with body heat, molding to the shape of each foot. The shoes use an orthotic heel, built-in arch support, and tarsal bar, making customers’ vocal fans of the comfortable shoes.

While fashion-forward consumers might not be fans of Crocs, the company has sold more than 300 million pairs of shoes in 90 countries, and reached $1 billion in revenue. The shoes have been featured in fashion run-way shoes, and been seen on the feet of Pres. George W. Bush and First Lady Michelle Obama, among others. The shoes have also been a frequent recipient of satire and “worst” lists.

Crocs – love ‘em or hate ‘em?

Group Activities and Discussion Questions:

  1. Poll students: Who has Crocs? What are the opinions of students about the shoes.
  2. Videos can be found on Croc’s: https://www.youtube.com/user/crocs
  3. Crocs’ website: https://www.crocs.com/
  4. Discuss the importance of clearly defining a target market.
  5. Divide students into teams and have each team develop a profile of a target market for Crocs high-heel shoes. Include demographics, psychographics, behaviors, values, attitudes, etc.
  6. Based on the target market profile, what makes this product unique for these customers?

Source:  Fast Company, USA Today, other news sources

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IKEA Opens its First Store in India

IKEA has opened its first store in India. The store, located in Hyderabad, cost roughly $100 million to build and is an estimated 400,000 square feet. The company plans to have up to 25 stores in India by 2025.

India has a large and complex retail base. The country’s 1.3 billion people account for about $30 billion per year for furniture and household items. However, unlike the U.S., 95% of the goods are sold through small shops that offer specialty products or single-category stores. IKEA’s broad product mix and store operations had to be significantly revised for India. While the store layout is similar to other IKEAs, the displays are different, featuring hundreds of products priced at 100 rupees or less ($1.45 U.S.).

To research how India’s people live and shop, employees visited about 1,000 homes in different areas of India to understand consumers’ needs. Some differences: most Indians do not use knives to eat, women are shorter than Europeans, and children often sleep in the same room as their parents until they are school-age. In addition, India’s government requires foreign-owned, single-brand retailers to use local suppliers for 30% of the value of the goods sold in India.

IKEA, the Sweden-based multinational, now owns and operates 415 stores in 49 countries around the globe. With revenue in excess of $42 billion (U.S.), and an estimated 12,000 products, the company uses more than 1% of the world’s commercial-product wood.

It’s not always easy to change, but entering a new market requires research and revision.

Group Activities and Discussion Questions:

  1. Ask students about their experiences at IKEA. What works, doesn’t work?
  2. View the IKEA India website: https://www.ikea.com/in/en/
  3. A video of IKEA India store is available at: https://economictimes.indiatimes.com/industry/services/retail/ikea-says-namaste-to-indian-customers-as-it-throws-open-its-first-store-in-hyderabad/videoshow/65340339.cms
  4. Discuss how to build and use a SWOT analysis grid: strengths, weaknesses, opportunities, and threats.
  5. Divide students into teams. Have each team develop a SWOT for IKEA in India.
  6. What are the issues and risks?

Source:  Goel, V. (7 August 2018). Ikea opens first India store, tweaking products but not the vibe. New York Times.

 

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Mealtime Bribery

It can be tough to get kids to eat their vegetables. (College students might not have this problem, but parents certainly do.) Let’s face it. Most kids would rather have candy, or soda, or French fries, or anything other than eat parent-endorsed healthy foods. What’s a parent to do?

One solution is of course an all-out battle with consequences for not eating healthy. But another solution could be to use bribery! In other words, “If you eat your vegetables, you get a treat.” And maybe that treat could be Ore Ida’s French fries…

And, since not all parents are comfortable with the idea of bribery to encourage good behavior, Ore Ida wisely renamed the practice as ‘Potato Pay’. It’s pretty simple. Set an exchange rate (aka bribe) for each healthy food that kids eat. Broccoli could be worth two fries, carrots equal one fry, and Brussel sprouts are worth five fries! The exchange rate can even vary depending on the child and vegetable. Don’t struggle – pay with French fries.

What’s the exchange rate in your house?

Group Activities and Discussion Questions:

  1. Poll students: Were they picky eaters? Do they have young cousins or siblings who always present a challenge at meal times? How did their families handle this?
  2. Show the potato pay video: https://youtu.be/x8ZUvU_SW-I
  3. Web site: http://www.trypotatopay.com/
  4. Suggested mealtime bribery chart: http://www.trypotatopay.com/MealtimeBriberyChart.pdf
  5. Have students analyze how Ore Ida created a full campaign.
  6. Divide students into groups. Challenge each group to identify a problem faces by parents at meal time.
  7. What is a creative solution that a food company could use to market its products to solve the problem?

Source: Griner, D. (13 July 2018). Kids won’t eat veggies? Bribe them shamelessly with Ore-Ida’s ‘Potato Pay’.

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