Fashionable products of H&M
H&M offers trendy products to all its target customers. Fashionable products of H&M are integrated with high product quality with steady supply chain management. The customer-centric culture with a rational pricing strategy helps the organization to establish as a globally popular fashion brand. Two types of fashion trend of the company prefers are spring-summer session and fall-winter session. However, the trendy fashion strategy opposes the pricing strategy of the company as it adopts the low price strategy. The company generally uses low price strategy that completely contradicts the trendy fashion strategy. The conflict between the two strategies are as follows:
- Trendy fashion strategy of H&M completely opposes the low price concept as trendy fashion requires higher manufacturing cost to attain profitability. Thus, it needs a medium or high pricing range.
- Trendy fashion strategy needs a constant flow of monetary resources through cash flow which is not available in the low price strategy because of low cash flow
- The stylish fashion strategy assures H&M an assured differentiation concept in every single fashion session. However, low price strategy does not indicate style or service