ADMN 2100H
Introduction to Marketing
Assignment 1
Submitted by Group 2:
Riyan Nakan Alam 0739644
1. Introduction
Lululemon Athletica began out as a yoga pants store in 1988 and after it slowly began to extend
in athletic put on, way of life clothing, and lots of different merchandise. Chip Wilson, the founder
decides to call it with such a lot of L’s as it gave the impression of a western to many Japanese
customers as they have got issue saying the letters. Its first shop turned into opened in Europe in
2014, a flagship saves in Covent Garden. An employer’s organizational shape is the maximum
vital part/characteristic of an employer. As Lululemon divided its shape into six parts, which are:
strategy, community & logo, creativity, human family members and way of life, visible vending,
and retail. With the assistance of those techniques, the employer personnel had been allowed to
make use of their understanding on numerous projects. CEO, Directors & Co-chairman & different
personnel had been required to position their self-hobby apart to create the finest underneath it for
the employer. In 2013 Chip Wilson resigned as CEO and from the board, in 2015 he turned
changed via way of means of Potdevin as CEO and Michael Casey took his vicinity as Managing
Director of the board. Lululemon has a study and improvement middle on its premises called
"Whitesp3ace" to maintain the great of the fabrics. Products had been reached to clients via
3channels which blanketed retail stores, customer income, and small channels. Lululemon now no
longer most effective sells its merchandise via the shop but additionally online (Lululemon
Athletica, n.d.). Around 2013, clients began out complaining approximately their merchandise was
terrible great, as a few youths, the pants had been too skinny and transparent, ensuing in monetary
loss and logo damage. The employer’s manifesto turned into to proportion its way of life with the
community.
They have pleasure in developing healthful relationships with their clients and locating
approximately what they want or are passionate approximately. Lululemon's assignment turned
into "to take the arena from mediocrity to excellence" and its imaginative and prescient is "to be a
brand that ignites a community of humans which can be licking the sweat existence through sweat
develop and connect” (Lululemon: Mission Statement, n.d.). It turned into the start called the
ladies’ yoga clothing, however, it began developing in 2019 and began out getting men’s
merchandise and making techniques in keeping with it for growing its logo focus extra in men.
Lululemon's major goal is ladies' elderly among 18-35 who are fitness aware with a middleexcessive degree income. As their merchandise most effective reached 24% of the arena populace
that's a small marketplace however a specialized one. The employer additionally began out a line
for men’s later however then additionally they especially focused on ladies put on because it turned
into the unique concept of the employer whilst it began out in advance in 1988 to offer yoga pants
and put on to ladies. After a few times, it began out its manufacturing line in kids specializing in
16-35 years of kids to extend its marketplace. Mainly, clients had been helping them due to the
fact their garments made humans who're keen on yoga and health training (Quiroz, 2018).
2. Lululemon Athletica Macro-environment:
Technological forces
 Use new technologies to enhance user experience
According to the company web, Lululemon Athletica's developers share the same athletic
experience as their target customers. This allows them to improve the comfort of lululemon
products by improving the material and texture of their products, which is more in line with the
comfort experience of their target market and customers. (Lululemon athletica, 2020)
Natural forces

Changing packaging and product quality to reduce environmental damage in the production
process
According to the company website, lululemon Athletica tries to reduce single-use plastic use in
packaging to reduce the production of industrial waste by 50% by 2025. By working with suppliers
who have better technology, the environmental impact of the production of raw materials is
reduced. (Lululemon athletica, 2020)
3.
Lululemon’s Microenvironment
Suppliers

Outsources manufacturing activities
Lululemon works with approximately 41 vendors that manufacture their products, five of which
produced 57% of their products in 2021. In 2021, 40% of Lululemon’s products were
manufactured in Vietnam, 17% in Cambodia, 11% in Sri Lanka, 7% in the People’s Republic of
China (PRC), 2% in Taiwan, and the remainder in other regions (Lululemon, 2021).

Dependent on a limited number of suppliers
Lululemon works with approximately 65 suppliers that provide fabric for their products. 56% of
Lululemon’s fabrics were produced by their top five fabric suppliers, with the largest producer
manufacturing 27% during 2021. 48% of Lululemon’s fabrics originated from Taiwan, 19% from
Mainland China, 11% from Sri Lanka, and the remainder from other regions (Lululemon, 2021)
Marketing Intermediaries

Distribution Facilities
Lululemon operates and distributes finished products from its facilities in the United States,
Canada, and Australia. Lululemon also has its distribution center in Columbus and Ohio and leases
other distribution facilities (Lululemon, 2021).

Third-party logistics
Lululemon uses third-party logistics to transport its finished goods to and from warehouse
locations in the United States, the PRC, and the Netherlands (Lululemon, 2021).

Ambassadors
In addition to a strong social media presence, Lululemon also leverages local teams and
renowned athletes, yogis, musicians, and trainers, to name a few, as ambassadors to build brand
awareness like the golfer Lydia Ko, surfer Malia Manuel and the Yoga teacher Ryan Leier
(Global Ambassadors Lululemon, 2020).
4. Exhibits
Lululemon Athletica Inc Annual EPS(in
USD)
1,66
1,89
2,21
1,9
3,61
4,93
4,5
2015
2016
2017
2018
2019
2020
2021
7,49
2022
Lululemon Athletica Inc Annual EPS(in USD)
The above line chart represents Earning per share (EPS) of Lululemon Athletica Inc for the past 8
years.
Lululemon Athletica Inc Annual
Revenue
(Millions of US $)
1 797
2 061
2 344
2 649
3 288
3 979
4 402
6 257
2015
2016
2017
2018
2019
2020
2021
2022
Lululemon Athletica Inc Annual Revenue
(Millions of US $)
The above bar chart depicts Lululemon Athletica Inc’s Annual Revenue for the past 8 years.
Bibliography
Global Ambassadors Lululemon. (2020). Retrieved from Lululemon :
https://shop.lululemon.com/ambassadors/global-ambassadors
Lululemon. (2021). Lululemon Annual Report. Lululemon.
Lululemon Athletica. (n.d.). Retrieved from Wikipedia:
https://en.wikipedia.org/wiki/Lululemon_Athletica
Lululemon athletica. (2020, 09 10). Lululemon and yoga. Retrieved from Lululemon:
https://info.lululemon.com/about/our-story/lululemon-yoga
Lululemon athletica. (2020, 09 10). our planet. Retrieved from Lululemon:
https://corporate.lululemon.com/our-impact/our-planet
Lululemon: Mission Statement. (n.d.). Retrieved from Business Strategy Hub:
https://bstrategyhub.com/lululemon-vision-mission-values-strategy-here-is-everything-youneed-to-know/
Quiroz, M. A. (2018). A Growth Strategy for Lululemon 2018. Retrieved from Medium:
https://medium.com/@michaelangelo_q/a-growth-strategy-for-lululemon-68819680e511