Question

You are the allocator for a specialty store selling men's and women's moderate price apparel at the moderate price zone. Recently, upper management has decided to offer a collection at the better price zone. The buyers have followed this recommendation. There are four store units that have experienced low sales due to unemployment in the area. What would you do? A. Introduce the new collection in these stores. B. Continue to stock moderate price apparel and hold off on the introduction. C. Decide on a combo of A and B. Explain your answers. Please remember to address and sign all posts and be careful of grammar

Answer 1

The lost sales due to unemployment is something that isn't related from the customers price point of view where the customer isn't worrying about the price and there are some other factors influencing it which includes customer service. if the introduction is generated at this point of time no new sales is possible and the brand value recognition will not increase as the service levels are actually poor. Therefore it would be better if moderate price apparel are continued in those stores and hold on the introduction until the stores are employed on the whole.

Therefore (B) is the answer.