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Aritzia.edited

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Management
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Aritzia
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1) What is Aritzia's value proposition? Describe the key aspects of the company's business
model and specific competitive advantages (i.e., profit, resources, processes)
An organization’s value proposition depends on its customer segment and industry.
Hassan (2012) states that a value proposition is essential in sustaining momentum in a
competitive and rapidly changing industry. Indeed, researchers have associated a company's
success with the value its products and services provide the customers (Hassan, 2012). In this
case, Aritzia operates in the women's apparel retail industry in the North American region. This
industry comprises different organizations that range from luxury brands to discount retail stores.
It is also identified as the largest segment of the apparel retail industry, accounting for more than
50% of the industry size. Therefore, Aritzia has to compete with other brands like Zara,
Lululemon, and Reformation. The industry also consists of customers whose preferences change
frequently. The case study indicates that between the 1990s and 2000s, customers preferred
trendy clothes for a season at affordable prices, which resulted in "fast fashion." Based on these
findings, Aritzia’s value proposition offers uniquely designed women's clothes classified into
independent labels that are trendy and high quality (Aritzia, n.d.). This proposition allows the
company's products to continue being competitive in the women's apparel retail industry.
Aritzia uses the brick-and-mortar business model. Using this model, the company
operates apparel physical retail stores in Canada and the United States. The first key element of
this business model is the value proposition that was mentioned earlier. The second element is
the target market, which comprises women aged between 15 and 30 years. The third element is
Artzia’s revenue streams. The company’s main revenue stream is the physical retail stores. In
March 2020, Aritzia had 96 stores, with 67 in Canada and 29 in the United States. At this time,

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1 Aritzia Student’s Name Course, University Professor’s Name Date 2 Aritzia 1) What is Aritzia's value proposition? Describe the key aspects of the company's business model and specific competitive advantages (i.e., profit, resources, processes) An organization’s value proposition depends on its customer segment and industry. Hassan (2012) states that a value proposition is essential in sustaining momentum in a competitive and rapidly changing industry. Indeed, researchers have associated a company's success with the value its products and services provide the customers (Hassan, 2012). In this case, Aritzia operates in the women's apparel retail industry in the North American region. This industry comprises different organizations that range from luxury brands to discount retail stores. It is also identified as the largest segment of the apparel retail industry, accounting for more than 50% of the industry size. Therefore, Aritzia has to compete with other brands like Zara, Lululemon, and Reformation. The industry also consists of customers whose preferences change frequently. The case study indicates that between the 1990s and 2000s, customers preferred trendy clothes for a season at affordable prices, which resulted in "fast fashion." Based on these findings, Aritzia’s value proposition offers uniquely designed women's clothes classified into independent labels that are trendy and high quality (Aritzia, n.d.). This proposition allows the company's products to c ...
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