Ch. 5 - Developing a Global Vision

Shinjuku, Japan

In the United States alone, there are over 480 stores, but the company is also famous for their international fashion trends at great value. It has over 500 stores across the US, with international stores in Asia, Latin America, and Europe. Including the United Kingdom, Canada, China, Hong
Kong, India, Israel, Japan, Korea, Mexico, and the Philippines. Forever 21 is still continuing expansion into existing and new regions such as Thailand. 



In each country there are different cultures and languages. Forever 21 took great advantage of the media. The company must create and sell their products for all the markets and promote it the same way all over the world and that is what they've done through their website. On their website, Forever 21 provides seven different websites for countries including, U.S., Canada, European Union, United Kingdom, Korea, Japan, China, and India. English is the most common and standard language for the website; however, other languages are provided as well. The promotional activities vary in order to appeal to the local customers. For instance, the homepage in China differs from the homepage in the U.S. because what attracts the Chinese customers is a discount and free shipping. Also the Chinese website styles is very vibrant in color, especially now that Lunar New Year's has passed. However, the U.S. homepage focuses on new arrivals, new styles, and the colors of the website have a black and metallic theme. 

As I was scrolling through each website of the different countries, I noticed that in Asia are not the same as the U.S., EU, and UK. What differs their website is they do not offer a plus-size or kids section. This makes me ponder and question the generation of America today. Over 60% of women in America are more overweight today, which could result as to why many clothing apparels companies are making plus-sizes in the market. Some conclusions I believe in Asia are: food is more nutritious, the environment is much cleaner, and exercise is always encouraged.

Through the online sales, Forever 21 has built a solid foundation to overseas markets. This helps the company understand preferences in the local market, and what issues might be created by poor decision-making. Whenever a new store opens, Forever 21 expects their customers to have a wonderful experience by enjoying the decoration of the store, shopping environment, and customer service. Some activities during the grand opening is providing discount coupons, free outfits, complimentary makeovers, fashion shows, photography etc.

Grand opening of Uruguay's first F21 store

Ch. 4 - The Marketing Environment

Forever 21, Inc. runs in a highly competitive apparel market. As mentioned previously, their top competitors are H&M and Charlotte Russe. Both retail stores offer similar products at competitive prices in which attracts women in the age range of 18-34. Originally the company sold trendy clothing seen throughout South Korea. The company’s target market was young Koran American women in the Los Angeles area. Eventually women from other ethnicity started to notice the trendy styling of the company, and would soon become costumers.

Most of these women are motivated by the trendy, fashionable and frequently changing clothing styles on the market. Forever 21 is well known for their low and reasonable prices, and most women are on a lower budget because women between 18-34 are usually enrolled in college/university. As always, women are the first to worry about what to wear the next day, which is why Forever 21 offers "disposable" clothing. This means the clothes are inexpensive and are usually worn as long as that particular trend is in style. Since the trend can never last more than few months, teens and young adults are constantly updating their closet each season. Today two-thirds of the female population is considered  overweight. Clothing retailers are completely aware of this situation and therefore have been creating plus-sizes for women. For example: Forever 21's jeans for plus-size start from sizes 12 to 20.

Note: Forever 21's also takes into consideration what men would also want. By creating the brand for men 21Me, the company hopes to grab the attention of young men so they can also enjoy new trends at a cheaper price. 

Although Forever 21, Inc. has over 400 stores, advertising is one of their weak factors. In small markets, advertising is weak and this causes awareness to affect their profits. There is a low awareness for the men, maternity, and girl's clothing lines.

The purpose of communicating with consumers is to build a stronger relationship that will create awareness, drive repeat purchases, and a personal experience with the brand's personality and soul. Target market is given to the young and multi-taskers. These type of people are easily bored by the lack of stellar advertisements or marketing; therefore, the campaign must be memorable and engage females on a personal level.

Ch. 3 - Ethics & Social Responsibility

Angela Ahrendts, senior vice president of retail and online stores for Apple Inc., once said, "Everyone talks about building a relationship with your customer. I think you build one with your employees first."

At Forever 21, the choices they must undertake are always a work in progress. Aside from their stores and corporate family, endeavoring a positive influence is also given to the hundreds of vendor manufacturing facilities worldwide which make their products,

as well as their employees.

Supplier and Vendor: Social Compliance and Ethical Sourcing

To all the hundreds of vendor manufacturing facilities worldwide; ensuring the safety and healthy environments, and to provide products to consumers.

A special program called the Forever 21 Vendor Audit Program, is a program in which all suppliers and vendors must participate in. Advantages of this agreement include:

• Getting paid fair and legal wages
• Legal environment requirements and security
• Free association rights
• Nondiscrimination
• Prohibiting the use of forced slave, child, and prison labor

Forever 21 is a friendly and delightful to work with any factory to help them improve and ensure consistent compliance. However, when certain violations are issued that may threat the safety of their employees, and the efficiency and product quality standards, it is their best decision to terminate that factory from their list.

Charities 

Sharing is caring and most costumers don't know that Forever 21 strongly takes this value to heart. Their passion for giving and helping those who are in need is very important for them. Over the years, Forever 21 has helped numerous organizations by carrying products such as their Give to Love Love to Give collection. Through this collection and many other organizations (Japan Disaster Relief, The American Red Cross, etc.), Forever 21 donated over $9.5M in 2011. 

Environmental Policy

Environmental sustainability is a key responsibility which Forever 21 is committed to improve. Several ways the company ensures their material and products cause no harm to the global environment is by:

1. Transporting products via sea vs. airfreight in order to reduce carbon emissions.
2. Using energy efficient lighting systems inside their stores to cut down energy usage.
3. Recycling any shipment boxes at their distribution center.

Ch. 2 - Strategic Planning for Competitive Advantage

"Wow! I love your dress, where did you get it?"

"Forever 21."

There's nothing more inspirational than to express yourself through fashion, and that's what Forever 21 offers for the young generation. Forever 21 is one of the top leading and most popular retailer of the latest trends and the seasonal "hottest" styles at affordable prices.  Along with their mission statement, their goal is to become an "$8 billion company by 2017 and open 600 stores in the next three years..." And even with the company’s tremendous growth, it still remains a family owned business.

Strengths

With hundreds of stores worldwide, Forever 21 has been able to hire over 30,000 employes in each country. Forever 21 are well-known for converting stores to make them more attractive and convenient for customers. In 2001, Forever 21 opened XXI flagship store in Texas, Miami, Los Angeles, Chicago, and Edmonton, Canada. Opening a flagship store provides customers with a fun and exciting environment to shop in. 

Forever 21 provides a strong and unique online website to costumers. Their website is very easy to understand and navigate. The first thing an online shopper would want to see at a clothing line website is the "new style." Fashion is always changing, and not everyone can keep up with the new trend nowadays. Which is why Forever 21 motto is,"Always changing and always in style."  Forever 21 helps the young generation to get in style; what to wear, how to look good, but also feel good. Not only can people shop for the items they like, but also get featured a "You May also Like" section. Forever 21 is always trying to connect with their customers, especially through social media such as Facebook, Twitter, Instagram, YouTube, a blog and an iPhone app.

Facebook: Offers fashion/beauty advice, updated information on the latest trends, and sometimes contests to enter. 
Twitter: Like Facebook; offers fashion/beauty advice and updates. Also,it gives shoppers the opportunity to communicate with the company.
Instagram: Provides images of models with the latest trends.
Blog: Offers a more in-depth coverage of the latest fashion trends and beauty techniques.
iPhone App:Gives users the opportunity to shop, look at new arrivals, browse daily specials, and access to the latest look-books.

Weaknesses

Even though Forever 21 has many stores available worldwide, they still are limited to the numbers of stores in Latin America, Asia and European regions. 
The quality of certain products is not always reliable due to mass production.
Their websites sometimes have a weak supply chain; products undelivered and canceled orders.

Opportunities

Forever 21 always have trendy, new clothing at affordable prices.
Their online market can provide Forever 21 the ability to greatly expand their business and reach out to a larger audience. 
Celebrities, T.V. programs, and cartoons help promote and endorse Forever 21 apparel.

Threats

Competitors like H&M can lower Forever 21’s profits, because competitors can attract consumers  with superior products.

Forever 21 Marketing Mix: 

Products: Variety of clothing for women, men, and kids. Also, beauty products, shoes, and accessories. If some products are only online, it is guaranteed to be in stock again, or available in stores. 

Place: Forever 21 has over 480 stores in the U.S., specifically in malls; however, shopping online makes it easier to place consumer's order. All products come from Los Angeles, California. 

Promotion: Advertising is used through social media, via email, and through postal mail. Forever 21 also uses celebrities such as Iggy Azalea, Nick Young, etc.  

Pricing: Forever 21 ensure that pricing is consistent at all of its locations, including their online website. In some occasions, there may be price differences due to promotional events and special offers; however, prices are generally satisfying for the customer, which makes sales successful.  

Ch. 1 - Overview of Marketing (Brief History and Mission Statement)

Forever 21 was founded by a Korean couple, Do Won "Don" Chang and Jin Sook Chang. The first store was established in Los Angeles, California on April 21, 1984. The store was originally named "Fashion 21" and by the end of the first year, sales increased to $700,000. Do Won Chang started to become successful by opening new stores every six months and eventually changing the name to Forever 21.

In 1989, Forever 21 opened its 11th and first store located in a mall. Since then, most stores are located in major malls nationwide. By 1997, Forever 21 had reached up to 40 stores and rapidly increasing throughout the United States. Stores can also be found in Canada, Europe, Japan, Korea, and the Philippines. By 2002, Forever 21 Inc. was ranked as one of the 50 largest privately held companies in Los Angeles. The company included many brands such as, Forever 21, Fashion 21, XXI, XXI Forever, Love 21, Love & Beauty, Life in Progress, For Love 21 and 21 Men. Forever 21 sells clothing apparel for women (Plus Sizes included), men, and kids. As well as accessories, and shoes. 

Today, Forever 21 operates over 480 stores and revenue is about $3.85 billion.

Mission Statement

"A phenomenon in the fashion world, Forever 21 provides shoppers with an unprecedented selection of today's fashions, always changing and always in style.”

Forever 21 has seen some remarkable accomplishments over the past 30 years. With a goal to become an $8 billion company by 2017 and open 600 stores in the next three years, it’ll be exciting to see the company achieve in three years what it initially took 30 years to do.