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Vermont Teddy Bear

In: Business and Management

Submitted By dlopez22
Words 1407
Pages 6
Strategic IT Analysis:
Vermont Teddy Bear

David Lopez
07/07/2014
Info 563
Vermont Teddy Bear (VTB) has adapted to the changes in their industry since their early beginnings. They have been able to find different outlets for their product whether it is web, phone, retail or mail, that still holds true to this day. They operate in many industries such as the plush toys segment, general gifts, clothing apparel, and florist industry. They are able to compete in this market with three main products: toy bears, pajamas, and flowers. They operate in an industry which is highly seasonal and failure to capitalize during peak season would mean lost revenue.
The Vermont Teddy Bear product is sold in the playthings industry which is expected to top $80.3 billion by 2012. This product has a high rate of sales during the months of December, February, and May due to the particular holidays that occur in those months. These products are highly customizable which allows it to appeal to more consumers. Sales trends showed that during the peak season most purchases were for adult gifts while the rest of the year were for children. The products are manufactured in Shelburne, Vermont.
Another seasonal product for VTB is PajamaGrams which competes in two industries: the general gifts and clothing apparel. Most pajamas are sold through retail outlets such as Macy’s, Target, and Wal-Mart. Unlike the teddy bear brand these products are imported from China and Mexico. The best-selling clothing product came in 2009 with their Hoodie Footie line of pajamas. The pajamas were highly sought out and inventory ran short during the Valentine’s Day rush.
Calyx Flowers competes in the highly fragmented florist industries with the likes of 1-800-Flowers, supermarkets, and local florists. This sector of the business offers high end floral arrangements which have similar peak seasons with...

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