The Gap Inc. as a major retailer of wearing apparel and accessories Case Study

The Gap Inc. as a major retailer of wearing habiliments and accessories - Case Study ExampleGap is in the fashion industry and must continually compete on the basis of brand desirability. Brand yell equity is Gaps greatest asset. However, the recent economic downturn has had, and will continue to have, a negative impact on Gaps ability to generate revenue. Gap is a luxury apparel item and would be one of the first to be reduced in a consumers budget. In 2007, Gap closed several ahead and Towne stores after test marketing did not meet with customer acceptance (We Are Gap Inc. ). In addition, protectionist attitudes in the US, and the coming election, may alter the craft agreements that have benefited Gaps manufacturing and distribution strategies.The industry environment is best analyzed by using Michael Porters five forces. New entrants into the fashion apparel industry are set about with the ease of entry, and the difficulty of marketing. Globalization has made it easier for in ternational brands to compete via the Internet or established distribution networks. According to Formisano, As more countries develop almost the world, more competitors are created, which fuels more competition for market share (58).