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Urban Outfitters Case

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URBAN OUTFITTERS CASE STUDY 1

Urban Outfitters Case Study:

Marketing a Business

Bus105

March 7, 2010

URBAN OUTFITTERS CONTINUING CASE STUDY: 2

Urban Outfitters have created an image and market like no other. Urban outfitters has

exceeded the normal niche size companies; they have hundreds of stores worldwide.

Explain why Sears and Wal-Mart cannot effectively create a trendy counterculture image.

In order to have a counterculture image, a company must cater to the culture and lifestyle of those people, especially among the young, who reject or oppose the dominant values and behavior of society. Most stores that have a counterculture image sell exclusive items. Wal-Mart and Sears are huge retail stores; they carry an abundance of each item and cater to everyone. If they became a counterculture image store, they would exclude too many people and risk having to close stores in certain areas. Could the big box stores sell merchandise identical to Urban Outfitters? Explain your answer. It wouldn’t be a wise decision for the big box stores (Wal-Mart, Target, JC Penney’s, etc...), to sell items identical to Urban Outfitters. Urban Outfitters originally catered to colleges and university students, and they choose store locations near those places. Most of these big box stores adjust to their changing market and are located on or near major highways. Even if they made some identical items, it wouldn’t be the same shopping experience as that at Urban Outfitters. Urban Outfitters design each store according to the area and have exclusive items; big box stores purchase in bulk and typically are large free-standing, rectangular buildings built on a concrete slab. Identify at least three reasons why exclusivity is valuable. People love to be the only one or one of the few people with a certain product. Just knowing that there is a limited supply of a
URBAN OUTFITTERS CONTINUING CASE STUDY 3 hot item makes people want to purchase the item. Exclusivity also sends the message of quality. When you see a product with a limited supply, and a higher price than a similar product, it sometimes gives off a message of better quality and more people are more likely to demand the product, making it a must-have. Take the iPod for instance; it became a hot item even though other makers had similar MP3 players. Other makers even tried to mimic the product by making the MP3 a touch screen, but people continued to make the iPod more popular, even though it was more expensive. Now, Apple is coming out with the iPad, not even out yet, but people are putting in orders for it. When you have an exclusive product, you will have a guaranteed market. People will pay more for exclusivity. Senk says that shopping is largely entertainment. Do you agree or disagree? Explain. I agree with Senk in saying shopping is largely entertainment. Most women enjoy shopping. It is almost like therapy for some, but very entertaining. When you’re stress, shopping, just as other types of entertainment, relieves it. With the creative and unique design that Urban Outfitters bring to each store, it’s hard not to find some kind of enjoyment in your shopping experience. Each month when you go into the store, you will see a different design as well as neat objects. The store is forever changing and fun to shop in. Any time you’re having fun, it entertaining.

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