Vera Bradley Case Essay
About Vera Bradley
The company is founded by Barbara Baekgaard and Patricia Miller. They wanted to make functional bags for everyday use and travel at a price that would give them a broader audience.
They first needed to identify their target audience for which they needed market research. They made their first design and exhibit them in a trunk show. Performance was good and it was a sign that middle aged women liked their brand. They also wanted to see whether younger …show more content…
With the right steps the company kept on growing and reached $4,800,000 revenue by 1990.
About the Challenge
Rapid growth brings several challenges to the company which can be listed as below. * The sewing process has so far been outsourced to independent non-professionals. This system is not sustainable as sales are growing. * There is only a single channel through which the products are marketed which inhibits the amount of people that the company can reach. New channels can be utilized. * Working with close friends and family members could potentially raise problems as the company grows. A more professional recruiting approach is required. * As the company grows, standardized systems could provide efficiencies in operations. The company can start planting the seeds for institutionalizing. * Renewing the designs frequently enhances brand image, on the other hand brings operational inefficiencies like taking the risk of building high inventories of expired products. Operations should be planned based on a decision of how to manage this trade-off. * Vera Bradley’s core competence is in its unique design and in order to have such design, Pat needs off-the-shelf fabrics. These fabrics are only offered by wholesalers, which require