Company Analysis

Picture by iDo (2018), edited by K. Gerken

COMPANY ANALYSIS

AMFI FOR B Y

K A T H A R I N A

G E R K E N

Picture by Sarabanda (2018), edited by K. Gerken

CO M PA N Y A N A LY S I S

EXECUTIVE SUMMARY Expanding a company to a new country is under no circumstances simple. In order to be future proof, the Italian company Miniconf, which is represented by its brands Dodipetto, Sarabanda and IDo, aims to expand its company and brand awareness by entering the Dutch childrenswear market.

The aim of this Company Analysis on Miniconf is to analyze the internal, as well as external environment of the company to, later on, determine how to create the most feasible strategy for the future of Miniconf.

In order to carry out the research in diverse manners, both qualitative and quantitative research methods are used. One of the most significant approach of research was the execution of personal interviews with staff members of Miniconf. Speaking to Antonio Ripamonti, Product Manager; Sara Bendinelli, Marketing Manager; Elisabetta Patelli, Merchandiser and last but not least the Export Manager Agostino Magni, gives a great internal insight of the company and its processes and competencies. By all means, statistics and information from databases such as CBI or Euromonitor, as well as Forbes or Business of Fashion back up the given findings.

As a result of intensive research and brainstorming, the following outcomes were noticeable. Miniconf is one of the most relevant Italian companies in childrenswear. Its history is one of a company that was able to reach international dimensions and visibility while maintaining its family roots and close ties its own territory. Miniconf ’s success is also due to its truly unique ability of listening to the market and its customers, as well the company’s motivated workforce.

However, every successful company has its pitfalls, that need to be improved in order to become future proof and remain successful. The Italian front runner is definitely lacking an environmental friendly approach within its collections. Furthermore, the lack of internationality within their staff, as well as the traditional management style is too outdated within today’s industry. Lastly, the marketing approach of Miniconf shows inconsistency.

To ensure being future proof, Miniconf is expanding its business and brand awareness internationally. By entering the Dutch childrenswear market, the company is given several opportunities to ensure a successful future by improving its weaknesses and overcoming the external threats.

ntentcontentcontentcontentcontent

01

02

17

18

Introduction

Financial Analysis

About Miniconf

Market Channel Analysis

23

Appendix

Process Book

ntentcontentcontentcontentcontent

c ontentcontentcontentcontentconte

05

16

20

22

McKinsey’s 7S Analysis

SWOT Analysis

Research Focus Point

Conclusion

37

Reference List

c ontentcontentcontentcontentconte

1/ I N T R O D U C T I O N

Dear Reader, In order to be future proof, the Italian company Miniconf would like to increase its international brand awareness by entering the Dutch childrenswear market.

The aim of this Company Analysis on Miniconf is to analyze the internal, as well as external environment of the company to, later on, determine how to create the most feasible strategy for the future of Miniconf.

Through conducting qualitative, as well as quantitative research, the Italian company will be analyzed with the help of the McKinsey’s 7S Model. The 7S model start on the premise that an organization is not just about structure, but also consists of seven elements, which must be aligned with each other in order to be successful. A successful implementation of a new strategy requires the management of the relationship between the seven elements.

However, it must be noted that there are several limitations when obtaining information regarding the company analysis. First and foremost, Miniconf’s financial statements of 2016 and 2016 contain uncertainties.

Furthermore, since Miniconf is a private family owned company, the language barrier is a considerable issue.

Last but not least, it was complicated to find the right information. Especially finding information about soft elements like Shared Values, Skills, Staff and mainly Style was demanding, since these parts are less tangible than the hard elements. Therefore, a company visit would have been useful, which was not possible since the company is located in Italy.

Nevertheless, with determination and perseverance the above-mentioned challenges and limitations are able to overcome. All in all, always keep the future in mind to generate growth for Miniconf.

1

CO M PA N Y A N A LY S I S

Its history is one of a company that was able to reach international dimensions and visibility while maintaining its family roots and close ties its own territory. Miniconf ’s success is also due to its truly unique ability of listening to the market and its customers.

With the implementation of the wholesale brand Dodipetto, as well as the company’s two retail brands Sarabanda and IDo, which are operating in two different price segments, Miniconf is responding to the market efficiently (Miniconf, 2018).

After being present for over four decades on the international childrenswear market with its three brands Sarabanda, IDo and Dodipetto, Miniconf established a strong market presence, especially as a market leader on the Italian childrenswear market.

MISSION

“Dressing children with attractive, top-grade, comfortable, easy-fitting, safe clothes, paying, at the same time, utmost attention to consumers, collaborators and environment.

Final objective: strengthening each brand’s identity and uniqueness, with a range of offer that’s able of satisfying the whole universe of ‘small customers’.” (Miniconf, 2018)

VISION “Children inspire us, values guide us.”

(Miniconf, 2018)

2/ A B O U T M I N I C O N F

Miniconf is one of the most relevant Italian companies in childrenswear. The organization was founded in 1973 by its current president Giovanni Basagni, based on today’s values of social and environmental responsibility, as well the aim to protect the company’s clientele by offering high-quality products with a special approach to safety (Miniconf, 2018).

dodipetto 2

3.1/ S H A R E D V A L U E S

3/ M C K I N S E Y ’ S 7 S A N A L Values guide each and every one in our everyday life. When it comes to company values, it is no difference. A successful company is based on a healthy business culture, which is influenced and shaped by shared values.

Transparency & Loyality

First of all, Miniconf states transparency and loyalty as one of their shared values. The company’s solid relationships are based on trust and reliability. The company believes in long-term values as well as long-term relationships (Miniconf, 2018).

This is also recognizable within the company’s recruitment. A Miniconf employee is working for the brand on average for 20 years. Chances are high that the employee’s children will also start working for Miniconf (Magni, 2018).

Furthermore, the sense of belonging has highest importance for Miniconf. It says “We Sense of believe to belong to a solid group based on healthy values that strengthens us in the Belonging pride of a common identity. (…) The same territorial roots shared by the firm and the majority of its employees strengthen our sense of belonging” (Miniconf, 2018).

These territorial roots are based within Italy’s Tuscany, the Casentino valley, where the majoritiy of employees is born (Patelli, 2018). Agostino Magni, Export Manager at Miniconf, explains the procedure of entering the company by learning everything about Miniconf’s history to make the importance of the company’s territory and history clear.

Respect Therefore, Social responsibility within Miniconf’s geographical roots is of highest importance, as well.

Miniconf is supporting the local community by for example financing a pedagogical trial of integrated school hours, as well as improving the school’s teaching program by offering English, as well as other foreign languages for students in local schools (Miniconf, 2018).

Last but not least, Miniconf states respect as their last shared value, which is devoted to their customers, themselves as well as the environment (Miniconf, 2018).

Antonio Ripamonti, Production Manager at Miniconf, ensures that customer as well as employees are treated with the highest respect possible. The longer you work for the company, the more respect you earn from your colleagues. Also, Elisabetta Patelli, Merchandiser at Miniconf, explains that each department is respecting its colleague’s work, since respect is key for a friendly and successful working environment. Furthermore, the company has been UNO EN ISO 14001 certified since 2003. Therefore, Miniconf is respecting environmental norms to protect the environment (Miniconf, 2018).

The above mentioned shared values, which the company was built on, are still existing and of highest importance for Miniconf and its employees today.

The organizational culture of Miniconf is definitely in coherence with the company’s mission, vision and shared values. The following seven dimensions of culture capture the essence of Miniconf’s culture.

Stability

Attention to Detail

Team Orientation

Outcome Orientation

People Orientation

Innovation & Risk Taking

Aggressiveness

5

HIGH

The 7 Dimensions of Culture

LOW

Degree of the 7 Dimensions of Culture (K. Gerken, 2018)

YSIS

CO M PA N Y A N A LY S I S

/ Aggressiveness – low degree: No competition, all about good communication and cooperation, aim: concentrate on a mutual goal (Patelli, 2018) / Innovation & Risk taking – low-medium degree: “Innovation starts first inside the people working for the company.” (Miniconf, 2018). Agostino Magni explains, employees could be more innovative instead of playing it safe (Magni, 2018) / People orientation – medium-high degree: Company follows social mission, strategic decisions are based on people, not on profit (Ripamonti, 2018) / Outcome orientation – medium-high degree: Managers pay attention to result, but focus on how outcome is achieved (Ripamonti, 2018) / Team orientation – medium-high degree: Teamwork within departments, “participating culture” (Bendinelli, 2018) / Attention to detail – high degree: Working as detailed as possible to create the best possible product (Patelli, 2018) / Stability – high degree: Maintaining status quo and shared values to strive for success (Ripamonti, 2018) All in all, Miniconf is definitely having a strong organization culture. The company’s values are widely shared and the importance of the roots in the Casentino valley are well communicated. The distinct majority is informed about the company’s history, with which the employees clearly identify. This strength could also be a pitfall, since it might be hard for international employees and customers to identify with the company.

Strengths: Community Feel, strong identification with history and culture, strong sense of belonging based on territorial roots, Weaknesses: Lack of international understanding based on territorial roots

3.2/ S T A F F

The organization’s success depends on the employee’s performance. Therefore, the staff of an organization plays a crucial role and shapes the company.

FACTS FACTS FACTS FACTS In 2018, Miniconf employs 210 staff members as well as offering around 110 seasonal jobs (Miniconf, 2018). Miniconf’s average employee is 35 years old and it is specified, that the number of working women is higher than the one of men (Patelli, 2018). As mentioned before, 85% to 90% of the employees have their roots within the Casentino valley like the company itself (Magni, 2018). Therefore, most of the staff members are proud Italians and well informed about the company’s territory.

Agostino Magni, Export Manager at Miniconf explains, that the working environment at Miniconf is really unique, since the organization’s territory means a lot to the company and its employees.

210 staff members + 110 seasonal jobs Average age: 35+ Women > Men

85-90% have their roots within the Casentino valley

Next to the fitting educational background, the main requirements to work for Miniconf are hardworking and passionate character traits. Besides, employees have the possibility to grow within the company. While recruiting people, Miniconf pays attention to fill the vacancy internally. If no fit is found, the company is looking externally for recruiting new staff with the help of headhunting companies.

Chances are also high that employee’s children will start working for Miniconf.

Miniconf ensures, that there are no age or background barriers. Younger people from different countries bring new energy as well as ideas and adapt quicker to changes in the market (Magni, 2018).

6

The staff’s motivation is also an important factor to look at, since it gives a great internal insight and is crucial for a successful performance.

Sara Bendinelli is motivated by so called Hygiene Factors. The Marketing Manager admits, that her main motivation is the salary since she has to take care of a family. Contrasting Elisabetta Patelli explains that achievements as well as recognition motivate her. She says: “At Miniconf, you can have big responsibility.

I learn something new every day, also because the company is investing a lot in their employees.”

The company is investing in human by assistance, internal and external training as well as outside study days. Miniconf is known for their high level of employee training and education, which is higher than the sector average (Miniconf, 2018).

Besides, Miniconf is mediating between its staff’s working and private life by creating 41 specialized schedules as well as 36 part-time schedules with the aim of respecting each individual’s privacy (Miniconf, 2018).

Last but not least, the Italian company is investing in it’s future and inspiration: the children. Since 2011, they are sponsoring three scholarships for children of Miniconf employees to attend High School.

It is clearly stated, that once again the geographical background of the company and employees is definitely one of a kind. The relationship and identification between the staff and the company’s shared values are remarkably strong. Miniconf is paying highest attention in educating as well as supporting their employees. International employees are welcomed and needed, but Agostino Magni admits, that it is hard to find English speaking applicants within Italy’s Tuscany.

Strengths: Geographical background unites employees, educating/ training & supporting employees Weaknesses: Lack of international employees/ staff which is speaking fluent English

3.3/ S T Y L E

Leadership is an important function of management which helps to maximize efficiency by influencing the process of employees. Ideally, all managers should be leaders to guide the company to its success.

The way of management of Miniconf is a mix between the democratic as well as the autocratic style.

The democratic style is a really open-minded way of managing. The manager involves the team, but authority is definitely present (University of Iowa, 2017).

Within Miniconf’s design team, final decisions are made by the managers, but the department’s opinion is included. On the one hand, the management department gives clear guidelines. On the other hand, the design department has freedom to make own decisions, which will be shared with the owners. It is all about interaction (Patelli, 2018).

The second management option Miniconf is making use of is the autocratic style, which is executed in a really clear and hierarchic way (University of Iowa, 2017). Many Italian managers are known to make decisions on their own without involving other employees (Cross-cultural Business Skills, 2014). Within the company’s marketing team, decisions are made by the management and later shared with the employees without any interaction (Bendinelli, 2018).

7

Furthermore, the way of leading is always situational. Each situation and employee are demanding a different style of leading (Hersey & Blanchard, 2017) The average Miniconf employee is showing a high readiness, since she or he is passionate and willing as well as able to work (Magni, 2018).

That’s why Miniconf’s leadership style is a combination of telling as well as participating. In for example the marketing department, the leader defines roles and tells people what and how to do tasks (Bendinelli, 2018), while in other departments as the design team, the leader and employees share the decision making and therefore, the manager’s main task is communicating (Patelli, 2018).

Familiar atmosphere

Authority & respect

Democratic & autocratic

The Italian business culture is extremely family oriented (World Business Culture, 2017). That is why Miniconf’s leadership style is employee-oriented by emphasizing personal relationships (University of Michigan, 2017). The way how managers treat the employees is really personal due to the familiar

CO M PA N Y A N A LY S I S atmosphere (Ripamonti, 2018). For Italian managers it is of highest importance to build a personal relationship with every employee to keep them happy and motivated, so they feel appreciated at work (Cross-cultural Business Skills, 2014).

Besides, relationships between employees and leaders are based on respect. The more work experiences you have, the more respect you get (Ripamonti, 2018), which is a typical since Italians hold hierarchy as well as age in high regard (Cross-cultural Business Skills, 2014).

Usually, Italians are very competitive, so it is not uncommon that colleagues are competing with each other (World Business Culture, 2017). However, as mentioned above within the company’s shared values (p.5), Elisabetta ensures that there is no competition amongst employees. It is all about cooperation to reach a mutual goal (Patelli, 2018).

Last but not least, the atmosphere at an Italian workplace is much more informal than in Northern countries (World Business Culture, 2017). Sara Bendinelli for example states, that Miniconf is interacting within an informal Facebook group within and out of working hours. Furthermore, she explains, that meeting within the team and its team managers are relatively informal, while conferences with Miniconf’s managers are more formal.

Strengths: Familiar atmosphere combined with authority and respect towards each other is an efficient way of motivating and guiding employees Weaknesses: Autocratic leadership style endangers the high relationship level between employees and leaders, the increasing respect with age endangers the motivation of younger employees which are crucial for a company’s driving process

3.4/ S T R U C T U R E The organizational structure can be seen as a skeleton, which is shaping as well as supporting the company. Organizational structures illustrate and overlook task allocation, coordination as well as the supervision level and draw therefore a clear picture of the hierarchy of a company.

The company is guided by its founder and today’s president Giovanni Basagni. As mentioned within Miniconf’s leadership style (p. 7), Miniconf is following the concept of a clear hierarchy within their company, due to its family-owned organization (Miniconf, 2018).

In terms of organization, Miniconf is making use of the hybrid structure, a structure which combines the functional and divisional aspect (Corporate Finance Institute, 2017).

H Y B R I D STRU CTU RE

=

FUNCTIONAL ST R UCT UR E

+

DIVIS ION A L ST R UCT UR E

On the one hand, Miniconf is making use of the functional structure by grouping employees, according to a specialized or similar set of tasks, within different departments. Each department is having a manager, who is directly reporting to the president. For example, the head of design is in charge of the whole team from designers, over stylists and merchandisers, who always report to the president.

Additionally, the design team is divided on the brands Sarabanda and iDo (Patelli, 2018).

On the other hand, Miniconf is also incorporating the divisional structure by organizing employees by the similarity of their market. Miniconf asserted itself as a multi-channel and well as multi-brand business. The company is making use of the divisional structure by dividing its multi-brands (Mid-sized Manufacturing Companies: The New Driver of Italian Competitiveness, 2013). Dodipetto, iDo and Sarabanda do all have different managers for Italy. Each manager is in charge of a brand and a prevailing channel. That means, that for example one manager is in charge of Sarabanda’s mono-brand stores in Italy, while another one is in charge of Dodipetto’s Italian wholesale (see Diagram on Organizational Structure p. 9). Besides, there is another manager in charge of the different brands outside Italy, divided in export and internationalization (Miniconf, 2018).

Thanks to the hybrid structure, Miniconf is showing an efficient use of resources and expertise

8

CEO GI OVA N N I B A S AG N I

TEAM

TEAM

OPERATING Order to Delivery Operating Manager

Head of Finance & Administration

Head of HRM

DESIGN STYLING iDo // iDo // Sarabanda Sarabanda

Head of Production

Head of Design

Head of Marketing

COMMERCIAL Market to Sales

PLANNING Concept to Prototype

TEAM

TEAM

TEAM MULTIBRAND

EXTERIOR Manager

World-wide Export // Internationalization

Manager DODIPETTO

Manager IDO

Manager SARABANDA

Italy

Italy

Italy

Wholesale

Multi // Mono

Multi // Mono

Diagram on Miniconf’s Organizational Structure (Miniconf, 2018 adjusted by K. Gerken) development from the functional part, as well as flexibility among command, based on the divisional style. Besides, having a leader per department and channel strengthens the common culture (Corporate Finance Institute, 2017).

Miniconf is definitely taking advantage of the hybrid structure, but also steps into some pitfalls. Due to the functional aspect, the communication between the departments is lacking, which slows down the decision-making process (Magni, 2018). Elisabetta Patelli explains, that working together with all departments is difficult due to lack of communication. Besides, she addresses the lack of understanding between the different brands based on different problems and needs per channel. Furthermore, she advises a closer cooperation between departments and business to increase efficiency.

Strengths: Expertise development, efficient way of working based on hybrid structure Weaknesses: Lack of communication between departments, slow decision-making process

3.5/ S T R A T E G Y

A strategy is also known as a top-level plan, which is supporting mission, vision and values, to create a competitive advantage for the business’s success.

Internationalization has been of great interest to Miniconf to get more involved in international markets long-term. Therefore, the company is concentrating its corporate strategy on internationalization (Miniconf, 2018).

9

First of all, Miniconf is internationalizing their supply chain due to production offshoring since the 1990s.

Only 4% of the company’s products are produced in Italy. The rest of the production is outsourced to Pakistan (4%), Bangladesh (5%), Tunisia (7%) and mainly China (80%), with which the collaboration started in 1992. In 2018, Miniconf puts a special focus on the development of the production in Asia. By operating in three different continents, Miniconf wants to generate growth (Miniconf, 2018).

CO M PA N Y A N A LY S I S

Furthermore, Miniconf wants to increase its brand awareness mainly in the Arabic countries by opening more multi-brand stores as well as a new flagship store in Lebanon and Dubai (Magni, 2018).

The company’s goal for the international market is to double the revenues within five years and reducing the margin about 40% within the first year and a half (Magni, 2018).

Lastly, Miniconf is approaching international omni-channel marketing, by working on expanding its e-commerce in non-European Union countries.

With the implementation of omni-channels, the company wants to increase its sales as well as improves the dialogue between brand and customers to combine the offline and online business (Basagni, 2018).

Online distribution is already tested in EU countries, where online sales definitely need to increase (Magni, 2018). For instance, in Italy, only 3,5% of the total turnover are generated by online sales, which is too low. Therefore, Miniconf is using its e-commerce strategy as a marketing tool since more than 60% of their customers state, that their offline buying behaviour is influenced by online channels. The company is using its e-commerce platform to sell goods, but mainly to bring the customer to the offline store to generate sales by attract the customer into the shop while offering free delivery to store (Basagni, 2018). In the future, one of the company’s main goals is to blend online and offline channels with the help of click and collect points within mono-brand stores. In addition, the above mentioned omnichannel approach will be encouraged by focusing on creating an instore experience with the help of digital tools like iPads or digital showrooms (Magni, 2018).

Internationalization

of Supply Chain

Increase International Brand Awareness

Omni-channel approach

IN TE RN ATION A LIZ ATIO N

Secondly, Miniconf wants to create a strong international brand awareness, especially in the Arabic countries and Russia (Magni, 2018).

In 2017, Miniconf had 1500 multi-brand as well as 40 mono-brand clients within Italy and 800 multibrand and mono-brand clients world-wide. The company wants to increase that number by shifting from an Italian to a world-wide operating business. Increasing the international brand awareness started off in Spain in 2010, where the company opened its Spanish branch “Miniconf Iberica” with a showroom in Barcelona to be at the forefront of the Spanish market. To have control over two important foreign markets, Miniconf decided to open its Russian branch “Mini Rus” with its showroom located in Moscow in 2013 (Miniconf, 2018).

Also, multi-brand stores will be actively included with an upcoming strategy. Customer who purchase at mono-brand stores will get localized to get assigned to the next multi-brand store to increase sales (Magni, 2018).

Besides, the company’s omni-channel approach as well as the increase of international brand awareness is supported by multi-channel marketing through Social Media. Instagram as well as Facebook accounts for the two retail brands are all in English (Bendinelli, 2018) To conclude, the company is definitely acting upon their corporate strategy of internalization. Within their long-term strategy, Miniconf sets short-term as well as long-term goals, which are unfortunately vague explained in terms of exact numbers. Nevertheless, the company states how they would like to achieve their goals. In general, the strategies of Miniconf evolve. Furthermore, the company’s strategy is not clearly connected to mission, vision and values, which are further explained within the company’s background (p. 2). Within their strategy, the company makes sure to share and act upon their values with international partners and customers by checking on its suppliers with a quality test (Miniconf, 2018).

Nevertheless, the corporate strategy is creating a competitive advantage for Miniconf.

Strengths: well-implemented strategy, achievement of competitive advantage and future consistency Weaknesses: too low online turnover, goals within the strategy are not clearly articulated, no clear/ direct connection to vision and mission

10

3.6/ S K I L L S Multibrand business

Multichannel approach

Branches

Safety

The unique selling point (USP) can be the key to success for a business. Therefore, it is crucial to know what makes the company better than its competitors.

Miniconf’s main competitors are amongst others the Italian brands OVS and Benetton, the Italian childrenswear brand Boboli as well as chain stores like Zara or H&M (Magni, 2018).

First of all, Miniconf states its Social Responsibility in terms of care and attention towards the customer as well as the environment customer as an USP, which is illustrated by Mr. Fagus (Miniconf, 2018).

Safety regulations are highly important to the company. First of all, the clothes are designed and produced in terms of international safety standards controlled from a chemical and mechanical point of view. Miniconf’s guarantees highest quality possible by checking on the safety of clothes on a daily basis from design over production by a supervisor to a final check by the inhouse quality office.

Suppliers are carefully chosen. They need to undertake a quality check as well as the compliance of Miniconf’s Code of Conduct. Lastly, the supplier has to sign an agreement to abide by the safety requirements of Miniconf (Mr. Fagus, 2018).

According to Miniconf, the company also pays highest attention to the environment.

The company makes sure to pay the utmost respect to its territory, the Casentino valley, by giving something back to its local community while for example investing into schools. Even though the company is UNO EN ISO 14001 certified (Miniconf, 2018), Miniconf is missing a clear approach to world-wide sustainability. Agostino Magni states, that environmental sustainability only has a focus on durability in terms of high quality fabrics and proper stitching without approaching other more sustainable alternatives like recycled fabrics. Even though, Miniconf is checking on fair working conditions, the production in the far east increases carbon dioxide emissions. The far distance of the suppliers does not matter to the company, they just care how their products are produced (Patelli, 2018).

Miniconf can be seen as a great example regarding safety for childrenswear but is definitely lacking an environmental approach regarding its corporate responsibility.

Secondly, Miniconf states innovation as an USP. For the company, “Today is already tomorrow.” (Miniconf, 2018).

Nothing can be found to see the Italian company at the forefront of innovation, since the use of a digital accounting system or the use of Lectra are standards of today’s zeitgeist. Besides, Miniconf is also not incorporating innovations like 3D Technology (Magni, 2018).

What distinguishes Miniconf from the rest is its multi-brand approach. Since Miniconf is merchandising two different retail brands, Sarabanda and iDo, as well as one wholesale brand, Dodipetto, it definitely has a competitive advantage (Miniconf, 2018). Due to the combination of retail and wholesale, the company has the ability to reach a larger customer group. Besides, the company can generate more money based on its two avenues. With its wholesale business Dodipetto, Miniconf can expand more easily thanks to the distribution through various retailers.

On the other hand, it is hard to retain Miniconf’s brand identity since they do not have power how the clothing is presented. Besides, with a wholesale brand the company is not as responsive to its customer’s changing needs.

On the contrary, with Sarabanda and iDo, Miniconf has control over the brand identity as well as the possibility to be responsive to its tailored audience. A pitfall of the multi-brand approach is definitely, that Miniconf’s wholesale and retail brands are in danger of competing with each other due to resellers (Brightpearl, 2018).

Nevertheless, the multi-brand approach brings a lot of advantages to the company and makes it different to its competitors.

11

Furthermore, the company is making use of an omni-channel distribution in terms of mono- and multibrand stores, as well as an e-commerce platform (Miniconf, 2018). In 2018, making use of e-commerce is almost self-evident due to the involved world-wide connection of customer and brand. Therefore, all

CO M PA N Y A N A LY S I S of the above-mentioned competitors are making use of this strategy. Besides, as already mentioned within the company’s strategy (p. 9), there is room to improve the e-commerce approach of Miniconf.

Which makes Miniconf different from the rest, except from OVS, is their retail distribution in multibrand stores. The company has the ability to reach a larger customer group as well as competing directly with its competitors in price. In a multi-brand store, which sells high-end as well as mid segment childrenswear brands, Miniconf’s chances are high to outshine its high-end competitors like Ralph Lauren, since Miniconf is selling the same quality for a cheaper price (Magni, 2018).

On the other hand, the company is losing important marketing control, which can endanger the brand’s identity. Furthermore, the brand loses visibility in multi-brand stores due to the the functional motive of buying, since customer are not looking for a special brand. Therefore, push-marketing within the store is necessary to display the brand directly (Bendinelli, 2018).

Based on the increasing brand awareness, Miniconf’s multi-channel approach is definitely an USP. Last but not least, Miniconf’s office allocation in three different countries, is doubtless an advantage compared to the company’s competitors.

A head office in Italy, as well as two branches located in Russia (MiniRus) and Spain (Miniconf Iberica) give the company the opportunity to interact strikingly quickly with its markets. Therefore, a highly competitive level of delivery and customer service as well reaction is created (Miniconf, 2018).

All in all, the above mentioned unique selling points lead to the competitive strategy called operational excellence.

The aim of the company is to deliver safe high-quality products in a quick and error-free way for a reasonable price. Of course, Miniconf keeps the price as low as possible, but pays highest attention to safety and quality of the products, which is extremely important within the childrenswear market, What differentiates the company from its competitors is definitely the multi-brand aspect as well as the world-wide allocation of offices.

Strengths: Multi-brand business, multi-channel approach, branches in Spain and Russia, high safety standards and regular safety/ quality checks for childrenswear Weaknesses: E-commerce needs to be expanded, no clear aptitude towards innovation, lack of environmental sustainable approach

3.7/ S Y S T E M S

System management is an integral part for a business. Managing the flow of goods, money and information is essential to a company’s success as well as customer satisfaction.The following schema illustrates and explains the five pillars of Minconf’s Supply Chain.

P LANNING

SOURCING

>Managed at head quarter in Arezzo, Italy (Patelli, 2018) >Merchandiser collects information: Analysing the previous sales of collection and the current market to create collection (Patelli, 2018) >Forecasting on consumer behaviour by an external Italian fashion agency (Patelli, 2018) > Inhouse designers work with freelance stylists on creating the collection (Patelli, 2018) > Manufacturers are located throughout the world: offshoring the production (Miniconf, 2018) > Suppliers are sourced mainly by price and quality as well as specialism (Ripamonti, 2018) > Strict selection procedure: supplier has to pass the three stages of quality test and then comply to the company’s code of conduct (Miniconf, 2018)

12

M AK ING

DELIVERIN G

> 4% of the company’s products are produced in Italy, rest of production is outsourced to Pakistan (4%), Bangladesh (5%), Tunisia (7%) and mainly China (80%) (Miniconf, 2018) > Collection of Dodipetto, Sarabanda and iDo are all made by the same factories (Patelli 2018) > Patterns are made by the supplier with directions of Miniconf’s inhouse pattern maker (Patelli, 2018) > Prototypes are made by the supplier so after giving the “green light”, production can immediately start (Ripamonti, 2018) > Fabrics are provided by manufacturer (only 10% of fabrics for production is provided by Miniconf) (Ripamonti, 2018) > Safety has highest importance: Daily quality checks during production by production supervisor as well as frequent chemical tests on fabrics by Intertec (Ripamonti, 2018) > If supplier is not solving issues within 6 months, Miniconf is looking for another company (Basagni, 2018) Arrival of containers: > Shipping of finished goods from production countries to Italian Eco-warehouse, which does not produce CO2 emissions nor use polluting energy (Miniconf, 2018), by vessels.

Shipping by air only for urgencies like delays (Ripamonti, 2018) > Around 400 containers with 600.00 to 700.000 packages arrive every year (Miniconf, 2018) > Final check of packages by the Internal Quality Control – if order does not respect quality and safety standards, it is re-routed to the inhouse repair, stain removal, ironing or packing station (Miniconf, 2018) > Each package gets a special location, so they can get collected easily for the pallet preparation. Lastly, trip documents are prepared and checked (Miniconf, 2018) Packing: A) Client Picking: Packing is physically carried out by staff (Miniconf, 2018) B) Reading Station: Numeric control and content validation of every single article is carried out semi-automatically or automatically, if correct, package goes to roller line (Miniconf, 2018) C) Roller Line: two lines in two separate progress warehouses. Each line is having a capacity of 4000 packages per 8 hour working day = 70.000 to 80.000 garments within one season (Miniconf, 2018) Final Delivery: A) Logistics: Internal as well as external warehouses are connected with the head office in via standardized hardware and software systems (Miniconf) B) Package Placement: client boxes are located in the logistic warehouses, assigned at the start of each season (Miniconf, 2018) C) Shipment Planning: warehouses are divided by shipment zones to ensure correct picking according to Commercial Rules as well as Shipment Operational Requirements (Miniconf, 2018) D) Preparation of pallets: Packages are assembled on pallets by courier with all necessary document like packing list. 5 to 6 couriers with 120-150 pallets a day E) Products are delivered to stores or clients via trucks of the Italian logistic company FERCAM (Ripamonti, 2018)

> Omni-channel approach (Basagni, 2018) > If customers wish to return garments, they have the possibility to do so within R ETURNIN G 21 days after purchase (Miniconf, 2018) After Sales: > Three different customer care sections: offline sales, online sales, feedback on Social Media (Bendinelli, 2018)

13

Schema on Miniconf’s Supply Chain Organization (K. Gerken, 2018)

CO M PA N Y A N A LY S I S Looking at Miniconf’s Return on Capital Employed (ROCE), the performance of the company’s supply chain can be measured.

In 2016, Miniconf had a ROCE of 0,71%. Therefore, the company is able to return €0,071 to their investors on an investment of €1,00. A growth of the ROCE is recognizable in 2015. The company generated 2,55% of ROCE. This growth is based on the company’s increasing operating income from 2015 to 2016 (Annual Report of Miniconf, 2016).

Compared the company’s main competitor OVS, the company had a ROCE of 9% in 2015 and generated 7% in 2016 (Morningstar, 2017).

Summarized, the ROCE of Miniconf is clearly too low. The higher the ROCE, the more money will be returned and therefore, the more likely an investor is to invest into a company. Even though, the ROCE of Miniconf increased from 2015 to 2016, the comparison with OVS shows, that Miniconf can not keep up with its competitors.

Secondly, it is important to have a look on the company’s Inventory Turnover to value how efficiently Miniconf is selling their products.

In 2015, Miniconf had an Inventory Turnover of 1,91. Therefore, the company sold 1,91 times their entire stock within one year. A slight increase of the company’s turnover is noticeable to 2016, where the company had an Inventory Turnover of 1,96. The increase can be traced back to the company’s decrease of inventory from 2015 to 2016 (Annual Report of Miniconf, 2016).

In contrast, the Italian company OVS had an Inventory turnover of 1,06 in 2015 and one of 3,23 in 2016 (Morningstar, 2017).

The higher the number of turnover, the more efficient a company is. In 2016, Miniconf’s competitor was able to sell its inventory 1,36 times more. On the one hand, it is noticeable that OVS is more efficient selling its products than Miniconf. On the other hand, Miniconf is, compared to OVS, quite a small company with way less pieces sold and revenue per year.

All in all, Miniconf is focusing on a lean strategy with agile traits, based on cost and demand driven aspects.

Next to quality and safety, Miniconf is choosing its suppliers based on price and specialism. The company focusses on lean aspects by keeping its costs as lowest as possible by manufacturing in Bangladesh. On the other hand, Miniconf is also focussing on agile aspects. In Turkey, the specialism of each supplier has highest importance. The price has no priority (Ripamonti, 2018).

Furthermore, Miniconf usually ships their goods with vessels, since it is the cheapest way of transport.

On the other hand, Miniconf uses air transport in contingencies like delays, which shows that the company still wants to meet its customer’s demand in any situation (Ripamonti, 2018). Therefore, the company is incorporating both lean as well as agile aspects within their supply chain.

In addition, the company’s safety stock also illustrates the combination of both strategies. Miniconf tries to keep the safety stock as low as possible, based on a sales forecast, to minimise costs. Nevertheless, the company has safety stock to meet unexpected demand. As mentioned above, Miniconf tries to meet its customer’s demand in any situation. Furthermore, the company supplies its customers with the newest products possible, since left over safety stock will not be sold as discounts at the end of the season, but rather end up in an outlet the upcoming year (Ripamonti, 2018).

Strengths: Frequent quality and safety checks, Eco-warehouse to reduce environmental pollution, freelance stylists bring in new and different ideas Weaknesses: Too low Return on Capital Employed, Offshoring of production causes increased CO2 emissions, no use of 3D Technology (Prototyping) or other technology within supply chain

14

4.8/ 7 S A L I G N M E N T

The following alignment matrix gives an overview on the McKinsey’s 7S model alignment per element.

In the most optimistic scenario, all seven elements are aligned to maximize the success of a company.

McKinsey’s 7S Alignment Matrix (K. Gerken, 2018) B1: First of all, Miniconf’s management style is partly aligned with the shared values, the company was founded on. The company makes use of a combination of the autocratic, as well as democratic leader ship style. On the one hand, familiar atmosphere combined with authority and respect towards each other is an efficient way of motivating and guiding employees and strengthens the sense of belonging.

Besides, the autocratic leadership style involves respect, one of Miniconf’s shared values. On the other hand, the autocratic leadership style endangers the high relationship level between employees and leaders, which therefore endangers the sense of belonging and loyalty aspect.

B2: Secondly, the element staff is partly aligned with the company’ strategy of internationalization.

Staff members value cooperation and working towards an equal goal, which supports the strategy.

Nevertheless, the staff members lack a multi-national aspect. Miniconf focuses within their strategy on expanding internationally. Lacking English skills, as well as international employees are not the best combination for gaining an international success based on the staff’s “tunnel vision”.

B3: Furthermore, the elements Shared Values and Structure are partly aligned. Miniconf values transparency and loyalty, the sense of belonging, as well as respect for customers, staff and environment.

The structure of the Italian company contradicts to the aspect of the sense of belonging. The downside of Miniconf’s hybrid structure is definitely the aspect of the lack of communication. Therefore, not all staff members feel part of the company.

On the other hand, the hybrid structure forms a hierarchy, which is aligned with the value of respect, since according to Ripamonti, the degree of respects increases according to age.

15

C1: Lastly, the company’s structure and strategy are misaligned. As mentioned above, the so-called tunnel vision, which is created by the traditional management style is contradicting to the company’s strategy. The hierarchical structure, where communication is missing, does not go along with the international environments. In an international environment, communication is key. Companies with a big international recognition are usually flatter within their structure to be open-minded. Interaction is key.

4/ R E S E A R C H F O C U S P O I N T 3D TECHNOLOGY The digital age has changed the way we make, view and purchase fashion forever, since technology and fashion are now linked. Especially innovations in the 3D segment are on the rise, since 3D prototyping or 3D printing add a great value to today’s fashion industry.

While 3D printing adds modern value to craftsmanship, 3D prototyping as well as digital showrooms can improve a company’s efficiency as well as support an environmental friendly approach.

First of all, incorporating 3D prototyping in the company’s strategy would minimize the amount of waste caused by prototypes and therefore protect the environment.

As mentioned within “Systems” (p. 12), Miniconf’s suppliers create four pre-production samples per garment. The implementation of 3D prototyping would limit that number to one (Ripamonti, 2018).

According to Lectra’s position paper on childrenswear “about sixteen sizes are required to accommodate children from zero to sixteen years, with infant clothing initially sized by three-month age bracket. For each age variation the silhouette and cut must be adapted to age-appropriate style and morphology”.

Therefore, 3D prototyping progammes like Lectra not only support an environmental friendly approach, but also help to visualize the development of clothing. An advantage on future planning is created and plays consequently a crucial role regarding the fit of childrenswear from infants to teenagers (Lectra, 2018).

Secondly, the implementation of digital showrooms would make the buying process faster, easier as well cheaper for both buyer and vendor, as well as more environmentally friendly. By “eliminating the need for samples and eventually physical showrooms, the new concept simply relies on an interactive touchscreen table linked up to a huge screen wall. The interactive system blends collection information, sales tools and brand content in one seamless touchscreen interface” (WGSN, 2015).

As stated within “Strategy” (p. 9), Miniconf has 1500 multi-brand as well as 40 mono-brand clients within Italy and 800 multi-brand and mono-brand clients world-wide (Miniconf, 2018). Several agents for the international markets need to be provided with salesman’s samples for each garment in order to sell the collection to clients (Patelli, 2018). Consequently, a lot of garments are produced, which end up as waste. A digital showroom, would eliminate the need for samples and is therefore environmentally friendly. According to Tommy Hilfiger, the company was able to cut 80% of their European as well as world-wide sample production by reimagining the physical buying experience in the digital world (Tommy Hilfiger, 2015).

According to Agostino Magni, Miniconf is not incorporating any 3D technological strategies, but ensures that the company plans to implement 3D prototyping as well as digital showrooms in the future (Magni, 2018).

Strengths: Open-minded for 3D Technology – Miniconf is planning to incorporate 3D prototyping as well as digital showrooms in the future, working towards a more sustainable future Weaknesses: no use of 3D Technology, no clear timeframe regarding the implementation of 3D Technology

16

5/ F I N A N C I A L A N A L Y S I S

The financial analysis of a company is key, since financial statements are a gold mine of information.

They “are the medium, by which a company discloses information concerning its financial performance” (Investopedia, 2018).

To begin with, it is important to analyse the company’s solvency. Solvency ratios give insight how likely a company continues meeting its debt obligations (Investopedia, 2018).

Minconf had a Debt Ratio of 62% in 2015 which was fairly high. That means, that 62% of the company was funded by equity, while 48% of the funding was based on debt. In 2016, Miniconf faced a slight drop of around 1% within their Debt Ratio. 61% of the company was funded by equity, which was still quite high and generated security (Annual Report of Miniconf, 2016).

Compared to the main competitor, the Italian fashion brand OVS, Miniconf did well regarding their solvency. OVS had a Debt Ratio of 23% (2015) and 48% (2016) which is relatively low compared to Miniconf (Morningstar, 2017).

Secondly, it is of greater importance to have a look on Miniconf’s liquidity. Accounting liquidity measures the ease with which the company can meet their financial obligations with the liquid assets available to them (Investopedia, 2018).

Looking at the Current Ratio of Miniconf, a positive behaviour of 2,81 was determined in 2015. This means, that the current liabilities could have been paid with the current assets almost three times more than needed. An increase in Miniconf’s Current Ratio was stated in 2016. With 3,95, the company had the ability to pay their financial obligations with almost four times more than needed, which generates security for the company.

Miniconf’s Networking Capital constituted a positive outcome of €45.046.888 in 2015. This positive final total shows, that the company resided in a financial plus, since all debts could be paid. This positive outcome continued in 2016 with a Networking Capital of €49.363.674.

Furthermore, financial stability is proved by looking at Miniconf’s Acid Test Ratio. An Acid Test Ratio of 1,83 in 2015 and 2,73 in 2016 showed that Miniconf was, as stated above, able to pay their current liabilities with their liquid assets and were therefore financially stable regarding their financial obligations (Annual Report of Miniconf, 2016).

Compared to the Italian fashion company OVS, Miniconf was performing well regarding the company’s liquidity performance. OVS’s Current Ratio was stated at 0,44, which is relatively low since a Current Ratio should always be at a minimum of two. Besides, the main competitor had a negative Networking Capital of €705.000.000 in 2015 and therefore couldn’t pay all debts (Morningstar, 2017).

Also Miniconf’s relationship between profit and capital should be considered – their profitability.

Profitability is a key element of the financial analysis since it answers the question whether the business is able to generate earnings compared to its expenses and other relevant costs (Investopedia, 2018).

Miniconf had a Return on Assets of 0,5% in 2015, which is extremely low. The outcome of the increase from 2015 to 2016 (1,9%) with 1,4% was still quite low. The company invested €77.008.530 and only generated €1.536.306 profit. Therefore, Miniconf used to be financially stable because they do not generate any negative financial outcome. Nevertheless, the profitability could have been higher, since a return of around 2% is relatively low.

In 2015, the company generated 0,9% Return on Equity. The company invested €50.669.534 of their equity and only generated €477.752 of profit. The company’s return stated 3,6% in 2016. Fortunately, an increase in return of 2,7% was determined. The investment of €46.786.510 generated a profit of €1.666.279. Regardless the positive increase from 2015 to 2016, the Return on Equity is still too limited (Annual Report of Miniconf, 2016).

This can be also proofed by having a look at OVS’s profitability performance. In 2016, the company is having a Return on Assets of 4,5% and a Return on Equity of 14,1% which is compared to Miniconf clearly higher. Therefore, OVS used to be more profitable than Miniconf in 2016 (Morningstar, 2017).

17

Lastly, the Cash Conversion Cycle (CCC) should not be neglected. The CCC measures the amount of time which is needed to convert the company’s investments into cash through sales to customers (Investopedia, 2018).

In 2015, it took Miniconf 257 days to convert the resource inputs into cash flows. A decrease of 16 days is noticeable in 2016, where the company needed 241 days to generate money. This is a relatively

CO M PA N Y A N A LY S I S high amount of days. The less days the company needs to generate cash, the better (Annual Report of Miniconf, 2016).

Miniconf’s main competitor OVS is executing a different strategy. The Italian company had a negative Cash Conversion Cycle of 39 days (2015) and 13 days (2016). A reason for this negative CCC could be that the company pays its suppliers after receiving the money of its customer (Morningstar, 2017).

All in all, Miniconf is doing well since they are financial stable in 2015 and 2016. Nevertheless, there is scope to grow. The solvency as well as liquidity of the company is good, meanwhile the profitability of the company could be higher.

Strengths: Liquidity, Solvency Weaknesses: Profitability (investing too much and not generating enough profit) For complete information on Benchmarking and the detailed ratio calculation, please have a look at the appendix (p. XX to p. XX).

6/ M A R K E T C H A N N E L A N A LY S I S A company usually operates on different market channels to which the company has different relationships, as well as frequency levels and dependencies.

Also, the Italian company Miniconf is operating within market channels to ensure an efficient, as well as successful way of working. The following market channel matrix captures an insight on how the company is operating with other businesses.

Market Channel Matrix (K. Gerken, 2018)

18

First of all, Miniconf is having alliances with influencers, as well as styling agencies. These alliances do not happen frequently, but still contribute to the company’s value proposition to create a competitive advantage.

For example, Bloggers like Arianna Calvitti or Eleonora Brunacci Di Vaio promote the brands Sarabanda and iDo by publishing content of their children wearing the brands on their Social Media channels. In return, the influencers, which are chosen from the PR management based on range of influence and content, are paid

by Miniconf (Miniconf, 2018). The contracts with influencers are made for only one season, so the company ensures to attract new customers (Bendinelli, 2018).

These collaborations support the company’s value proposition enormously, since influencers have a big audience on social platforms and are seen as trustworthy and authentic (Forbes, 2017).

On the other hand, an influencer’s authenticity can be in danger, since 61% of consumer said, that content, which does not feel genuine, would deter them from engaging with sponsored content (DMA Solutions, 2017). Therefore, Miniconf has to make sure that the relationship with influencers feels natural and not forced to ensure attracting new customers.

Secondly, Miniconf is operating with several Multi-brand stores, as well as Quality Assurance Companies like Intertek.

For instance, the British multi-brand store and online retailer Childsplay Clothing, which is based in London, is selling the brand Sarabanda amongst other luxury brands (Childsplay Clothing, 2018). The partnership is ongoing and contributes to the company’s value proposition.

As stated within Skills (p. 11, the collaboration with multi-brand stores increases the visibility based on the increasing customer group. Being carried by a known store as Childsplay Clothing brings credibility to Miniconf. Besides, the sales are increasing and therefore the company’s revenue, while production costs decrease due to larger orders (LinkedIn, 2016). Furthermore, the company has the ability to directly compete with its competitors in price, which creates a competitive advantage (Magni, 2018).

On the other hand, Miniconf is losing important marketing control, which can endanger the company’s identity. Furthermore, multi-brand stores like Childsplay Clothing want to maximize revenue by increasing Miniconf’s profit margin. The reseller could use increased volumes to whittle down Miniconf’s prices. Lastly, the high dependence on Childsplay Clothing ends up in a lack of negotiating power, since Miniconf has to meet its manufacturing minimums (LinkedIn, 2016).

Despite all risks and disadvantages, Miniconf profits from its partnership with Childsplay Clothing based on the increased visibility, as well as revenue.

Furthermore, the Italian childrenswear company has transactional relationships, for example with suppliers for the Capsule collection for Miniconf’s brand IDo. These transactional business opportunities are only for the occasion, as well as exchangeable, since it is not important for the brand’s value.

In 2010, Miniconf collaborated with the Italian National Rubgy team to create a special kids sportswear capsule collection. The Capsule collection, produced in sizes 2 to 16 years, was inspired by Italian mentality in colours like green and red and of course picked up the sporty theme of Rugby (Brandjam, 2015).

Since Miniconf is not specialized in sportswear, the suppliers, which the company worked with, were only for a special occasion. There is no sympathy between both parties and the focus lies entirely on getting the best quality-price ratio for the sportwear collection.

All in all, the collaboration with the “Capsule suppliers” was only for the occasion and exchangeable with other suppliers specialized in sportswear.

Last but not least, Miniconf is having several co-operative relationships, one of them with its outsourced suppliers.

As mentioned within Systems (p. 12), Miniconf is offshoring 80% of its production to China (Miniconf, 2018).

According to Antonio Ripamonti, Production Manager of Miniconf, suppliers are chosen according to quality, expertise and especially price. Ripamonti makes clear, that a supplier is exchangeable. If a supplier is not fulfilling the stated requirements, Miniconf is ending relationships. Nevertheless, the Italian company focusses on long-term relationships (Ripamonti, 2018).

The longer a supplier provides a customer, the better their understanding of the customer’s market, business and processes will be. The longer the relationship with suppliers, the more efficient a company can be.

Besides, costs decrease according to the length of a relationship, since costs are avoided, which arise from re-negotiating or issues of poor performance (Officeteam, 2018).

Co-operative relationships with suppliers give Miniconf the opportunity to produce to low risk, as well as low cost.

19

Strengths: Co-operative relationships with suppliers offer advantages of producing to low risk and low costs, co-operation with multi-brand stores increases brand awareness Weaknesses: Miniconf loses control over brand image while cooperating with multi-brand stores, Miniconf could lose credibility while working with influencer

CO M PA N Y A N A LY S I S

7/ S W O T A N A L Y S I S & FINAL CONCLUSION The internal, as well as external environment of a company exerts a significant influence over the formation of a company’s strategy and its degree of success.

The following SWOT matrix captures an insight on Miniconf’s strengths and weaknesses, as well as the external opportunities and threats the Italian company is facing within today’s fashion industry.

SWOT (Strengths, Weaknesses, Opportunities. Threats) Matrix (K. Gerken, 2018) Based on the company analysis on Miniconf, the Italian company possesses the following strengths and weaknesses.

S1: One of the company’s main strengths is the clearly stated connection to the company’s territory, the Casentino Valley, which strengthens the company’s authenticity and value proposition. Miniconf is supporting its local environment enormously by for example financing a pedagogical trial of integrated school hours, as well as improving the school’s teaching program by offering English (Miniconf, 2018).

S2: Secondly, the company is placing its focus on high quality and strict safety standards by implementing a strict selection procedure of its outsourced suppliers. Miniconf stands for safety. Therefore, the company introduces several safety checks during planning and production to bring safe high-quality products to the childrenswear market (Miniconf, 2018).

S3: Furthermore, the company’s motivated workforce is definitely one of a kind, since the identification between staff and values is remarkably strong. Staff members cooperate with each other to successfully fulfill a common goal (Patelli, 2018).

20

S4: The company’s segmented strategy of the two retail brands Sarabanda and IDo, as well as the wholesale business Dodipetto allows the Italian market leader to be present on several markets.

Besides, the segmented strategy creates a competitive advantage (Miniconf, 2018).

S5: Lastly, Miniconf has been UNI EN-ISO 14001 certified since 2003, which proves that the organization respects environmental norms to protect the environment (Miniconf, 2018).

W1: Firstly, Miniconf immensely lacks a sustainable approach within the production process, as well as within the collections. There are no indications, that the company is implementing environmental friendly approaches like 3D Prototyping or the use of organic or recycled fabrics (Miniconf, 2018).

W2: Secondly, the childrenswear brand lacks diversity regarding age and nationality within the internal working environment. 85-90% of the staff members are from the company’s territory, the Casentino Valley (Miniconf, 2018). The limitations regarding age and nationality can end up in a tunnel vision.

W3: This so-called tunnel vision is supported by the company’s conservative and traditional management style, which lacks comprehensive communication skills between departments (Patelli, 2018).

W4: Additionally, Miniconf states itself as tech-savvy, however, has insufficient innovation regarding technology. The technological skills are not at the forefront of the fashion industry (Miniconf, 2018).

W5: Ultimately, the visual language of the Italian company does not capture what Miniconfs wants to portray. An inconsistency in marketing is clearly noticeable.

There are several external factors, that a company cannot have any control over. This includes the follow-ing opportunities and threats.

O1: First of all, a shift in consumer behaviour is noticeable, since parents, especially in the Netherlands, like to spend more money on clothing for their kids. The demand for childrenswear grew around 3% in the Netherlands in 2017 and will grow until 2022 by one more percent (Euromonitor, 2018).

O2: Furthermore, from Virtual Prototyping, over Artificial Intelligence to Contactless shopping, the fashion industry is shaped by technology. New technological innovations open up many opportunities for busi-nesses to attract new customers or work more efficiently (Business of Fashion, 2018).

O3: Besides, in the era of globalization, international market expansion is a great opportunity for businesses to increase their brand awareness and therefore revenue (Forbes, 2015).

O4: E-commerce is booming. Shopping online is extremely convenient for customer, as well as companies. Especially in the Netherlands, e-commerce is on the rise. Dutch consumers are increasingly choosing to purchase childrenswear online rather than in store (Euromonitor, 2018).

O5: Consumers do spend more money. An economic shift is noticeable. The global economic activity is remarkably strong and will continue to rise (Euromonitor, 2018).

21

T1: First of all, the competition with chain stores is on the rise. In the Netherlands, affordable fast fashion retailers have an increasing market share, since 36% of the Dutch population is part of the second lowest income class. At the forefront – Primark with a market share of 8.1%.

T2: Secondly, the global birth rate is decreasing. Since the 1960s, the total global fertility birth rate decreased by half (Worldview Startfor, 2016). Therefore, the interest in childrenswear is decreasing.

T3: Additionally, the global issue of climate change can cause a seasonal overstock based on weather uncertainties. Therefore, companies like Miniconf are in danger to lose money, since they can not sell their whole stock.

T4: Furthermore, Miniconf has to be prepared regarding upcoming entrants on the market. Organic clothing becomes increasingly important. It is expected that European parents will increasingly consider it important to buy organic clothes, especially those who can afford the middle-high segment prices (CBI, 2016).

T5: Last but not least, prices for raw materials are increasing (Linked In, 2016). Miniconf has either the option of increasing its prices and might lose valuable customers or losing money by keeping the same price structure.

CO M PA N Y A N A LY S I S

Picture by Sarabanda (2018), edited by K. Gerken

All in all, Miniconf is a successful and well-known company. After being present for over four decades on the international childrenswear market with its brands Sarabanda, IDo and Dodipetto, Miniconf estab-lished a strong market presence, especially on the Italian market.

However, every successful company has its pitfalls, that need to be improved in order to become future proof and remain successful.

To ensure being future proof, Miniconf is expanding its business and brand awareness internationally.

By entering the Dutch childrenswear market, the company is given several opportunities to ensure a success-ful future by improving its weaknesses and overcoming the external threats.

22

CO M PA N Y A N A LY S I S

APPENDIX ADDITIONAL INFORMATION PROCESS BOOK SELF-EVALUATION

ADDITIONAL INFORMATI 4.7/ S Y S T E M S INFORMATION ON MINICONF NEEDED NUMBERS M INICONF

2 01 5

2 016

Operating Income (EBIT)

397.664

1.536.306

Capital Employed

55.968.963

60.281.417

COGS

46.001.760

40.007.502

Inventory

24.038.184

20.410.808

Needed Numbers from Miniconf’s Annual Report 2015/ 2016 (Deloitte & Touche S.p.A, 2016)

SYS TEM P ER FOR MANCE MINI CONF

2 01 5

2 016

Return on Capital Employed: Operating Income/ Capital Employed 397.664/ 55.968.963 =0,0071 1.536.306/ 60.281.417 =0,0255 Inventory Turnover: COGS/ Inventory

46.001.760/ 24.038.184 =1,91 40.007.502/ 20.410.808 =1,96

Day Sales of Inventory: Inventory/ COGS * 365

24.038.184/ 46.001.760 * 365 20.410.808/ 40.007.502 * 365 =190,7 = 191 days = 186,2 = 187 days

Supply Chain System Performance of Miniconf 2015/ 2016 (K. Gerken, 2018)

CAUSE OF C H AN G E MINICON F

25

Operating Income (EBIT)

(1.536.306 - 397.664)/ 397.664 * 100 = 286,33 %

Capital Employed

(60.281.417-55.968.963)/ 55.968.963 * 100 = 7,7 %

COGS

(40.007.502 - 46.001.760)/ 46.001.760 * 100 = - 13.03 %

Inventory

(20.410.808-24.038.184)/ 24.038.184 * 100 = - 15,09 %

Cause of Change on SC System Performance 2015/ 2016 (Katharina Gerken, 2018)

ON

CO M PA N Y A N A LY S I S

N EEDED NUMBERS OVS

2 01 5

2 016

Operating Income (EBIT)

58.000.000

94.000.000

Capital Employed

644.000.000

1.400.000.000

COGS

305.280.000

963.700.000

Inventory

288.000.000

290.000.000

Needed Numbers from OVS’s Annual Report 2015/ 2016 (Morningstar, 2017)

SYS T EM P ERFO R M A N C E OVS

2 01 5

2 016

Return on Capital Employed: Operating Income/ Capital Employed 0,09

0,07

Inventory Turnover: COGS/ Inventory

1,06

3,23

Day Sales of Inventory: Inventory/ COGS * 365

344.34 = 345 days

112,92 = 113 days

Supply Chain System Performance of OVS 2015/ 2016 (K. Gerken, 2018)

INFORMATION ON OVS

26

ADDITIONAL INFORMATI 5/ F I N A N C I A L A N A L Y S I S BALANACE SHEET MINICONF

2 01 5

2 016

Fixed Assets Intangible Tangible Financial

10.398.625 991.834 8.841.266 565.525

10.333.546 984.454 8.783.530 565.562

Current Assets 70.448.718 Inventories 24.038.184 Account Receivables 33.316.435 Securities Cash & Cash Equivalents 8.412.130

66.090.787 20.410.808 29.689.615 13.192.092

Equity Share Capital Share Premium Retained Earnings

50.669.534 3.000.000 -

46.786.510 3.000.000 -

Liabilities Provisions Long-term debt Short-term debt Account Payables

81.370.793 1.995.548 0 25.401.830 12.346.577

77.008.530 3.069.341 6.999.999 16.742.113 9.494.732

Translation of Miniconf’s Balance Sheet 2015/ 2016 (Deloitte & Touche S.p.A, 2016)

27

INCOME S TATEMENT MINICONF

2 01 5

2 016

Sales

74.577.068

77.043.146

Cost of Goods Sold

46.001.760

40.007.502

Gross Profit

397.664

1.536.306

Salary Costs

6.128.937

7.205.815

SG&A Costs

-

-

Administrative Expenses

1.139.530

748.078

Depreciation

1.144.714

1.145.611

EBIT (Operating Income)

397.664

1.536.306

Interest Costs

733.265

1.576.937

EBT

772.248

3.421.374

Corporate Tax

294.496

1.755.095

Net Income

477.752

1.666.279

Translation of Miniconf’s Income Statement 2015/ 2016 (Deloitte & Touche S.p.A, 2016)

ON

CO M PA N Y A N A LY S I S

INFORMATION ON MINICONF

SOLVENCY

LIQUIDITY

PROFITABILITY

FINANCIAL RATIOS MINICONF

2 01 5

Debt Ratio: Total Equity/ Total Assets

.

50.669.534/ 81.370.793 =0,62 46.785.510/ 77.008.530 =0,61

Interest Coverage Ratio: EBIT/ Interest

397.664/ 733.265 = 0,54

Current Ratio:

2 016

1.536.306/ 1.576.937 = 0,97

Current Assets/ Current Liabilities

70.448.718/ 25.401.830 =2,81 66.090.787/ 16.742.113 =3,95

Networking Capital: Current Assets - Short-term Liabilities

70.448.718 - 25.401.830 = 45.046.888

66.090.787 - 16.727.113 = 49.363.674

Acid Test Ratio: (Current Assets - Inventory)/ Short-term Liabilities

(70.448.718 - 24.038.184)/ 25.401.830 = 1,83

(66.090.787 - 20.410.808)/ 16.742.113 = 2,73

Return on Assets: EBIT/ Total Assets

397.664/ 81.370.793 = 0,0048 1.536.306/ 77.008.530 =0,019

Return on Equity: EBT/ Total Equity

477.752/ 50.669.534 = 0,0094 1.666.279/ 46.786.510 =0,036

CASH CONVERSION Cash Conversion Cycle: Days Inventory Outstanding :

Inventory/ COGS * 365

Days Sales Outstanding :

Account Receivables/ Sales - 365

191 + 164 - 98 = 257 days

187 + 141 - 87 = 241 days

24.038.184/ 46.001.760 * 365 20.410.808/ 40.007.502 * 365 = 190,7 = 191 days = 186,2 = 187 days 33.316.435/ 74.577.068 * 365 29.689.615/ 77.043.146 * 365 = 163,1 = 164 days = 140,7 = 141 days

Days Payables Outstanding :

Account Payables/ COGS * 365 12.346.577/ 46.001.760 * 365 9.494.732/ 40.007.502 * 365 = 97,9 = 98 days = 86,6 = 87 days

Ratio Calculation on Miniconf’s Financial Performance 2015/ 2016 (K. Gerken, 2018)

28

ADDITIONAL INFORMATI FINANCIAL RATIOS OVS SOLVENCY

LIQUIDITY

2 01 5

2 016

Debt Ratio: Total Equity/ Total Assets

0,23

0,44

Interest Coverage Ratio: EBIT/ Interest

0,0118

-

0,44

1,07

Current Assets - Short-term Liabilities

-705.000.000

35.000.000

Acid Test Ratio: (Current Assets - Inventory)/ Short-term Liabilities

0,21

0,49

Return on Assets: EBIT/ Total Assets

-0,0021

0,0455

Return on Equity: EBT/ Total Equity

-0,0095

0,1405

-38,79

-12,55

41,15

19,92

344,04

112,92

Account Payables/ COGS * 365 423,98

145,39

Current Ratio:

Current Assets/ Current Liabilities

Networking Capital:

PROFITABILITY

CASH CONVERSION Cash Conversion Cycle: Days Inventory Outstanding :

Inventory/ COGS * 365

Days Sales Outstanding :

Account Receivables/ Sales - 365 Days Payables Outstanding :

Ratios on OVS’s Financial Performance 2015/ 2016 (Morningstar, 2017/ K.Gerken, 2018)

INFORMATION ON OVS

29

ON

CO M PA N Y A N A LY S I S

30

PROCESS BOOK

31

KATHARINA GERKEN

C O M PA N Y A N A LY S I S

CO M PA N Y A N A LY S I S

hey there!

My name is Katharina Gerken and I am a 21-year-old girl from Germany.

After finishing school at the age of 18, I decided to spend a year abroad in Australia. I was always highly interested in fashion and after my inspiring and selfdeveloping gap year I felt ready and highly motivated to fulfill my dream starting my education in the fashion field to become a professional in the industry.

I chose studying “International Fashion & Management” at the Amsterdam Fashion Institute to focus on the theoretical economic part in the industry, while also developing practical creative competences within the Fashion degree. Since September 2016, I enjoy developing myself day by day at AMFI. My time at AMFI was quite a journey.

I developed, I improved and I got to know myself better. I discovered new strengths and interests as well as weaknesses I didn’t know about before.

In every semester, I notice an enormous self-development. Every semester and every single project brings new opportunities as well as challenges.

The first part of semester 4 was a small journey on its own, where I again took a step closer to my true self.

32

GOALS WHAT WERE MY GOALS? In the beginning of the second project within the fourth semester I set up three goals, which have a high importance for my self-development based on the SMART technique.

GOA LS Semester 4

33

SPECIFIC

MEASURABLE

ATTAINABLE

RELEVANT

TIME BOUND

Improving Adobe CC Skills

Practicing with Adobe whenever possible

Layout always needs to be done within Adobe Programs

Yes! Learning by doing.

Development is quickly and directly noticeable.

The visual eye within the fashion industry is crucial to communicate in a professional way.

Practice as often as possible. The more often I practice, the bigger my development will be.

Improving Research Skills

Diving deeper A company into research. analysis is all about internal research.

Research is the base of this project.

Yes! Researching is all about being curious & motivated. I am extremely excited to find out about the company.

Research is a crucial element since it forms the foundation of the project.

The deeper the research, the better the outcome.

Especially done within the beginning of the project.

Widen Finance Knowledge

Within the Company Analysis, Finance is an important part, which I would like to dive into since Finance is not my strength.

Yes! With the help of teachers, I will be able to measure the financial performance all by myself.

Finance are the key to measure the company’s success.

Especially within the Management Department, it is important to know how to handle numbers.

Learning by doing.

Starting off with the Financial Analysis to be up-todate. Asking teachers for help if necessary.

Special focus on the Financial Analysis of Miniconf.

Starting off if Finance.

CO M PA N Y A N A LY S I S

HOW & TO WHAT EXTEND DID I ACHIEVE MY GOALS? In the end of the second project in Semester 4, I reflected on my SMART goals using the STAR method to analyse my process understandable.

GOA LS Semester 4

SITUATION

TASK

ACTION

Improving Adobe CC Skills

I took the initiative to work on my report within Adobe InDesign, Photoship & Illustrator.

Working with Adobe constantly and especially finishing my report to communicate my eye for detail in a professional way.

Editing photos within Illustrator and Photoshop while of course finishing the report within InDesign.

Achieved.

Improving Research Skills

I tried to take the initiative to dive deep into research to cover all given information.

Being on the hunt for relevant data and diverese and reliable sources.

I conducted my research with the help of several diverese sources and tried to dive deep.

Semi-Achieved.

Widen Finance Knowledge

Every company analysis includes a Financial Analysis, which I put my focus on.

Special focus on the Financial Analysis of Miniconf.

Finance is my weakness, therefore I started off with the company’s numbers and finished the Financial Analysis first.

Achieved.

I learned how to analyse and interpret numbers. I can proudly say that I understood and enjoyed the financial part of the Company Analysis.

RESULT

My Adobe Skills are improving with every product.

The visual appearance of my Company Analysis makes me proud.

I tried to make use of diverese sources which was quite difficult.

Nevertheless I tried my best.

34

PROCESS WHAT DID I LEARN & DEVELOP?

During the second project “Company Analysis�, I have learned a lot of things which are reflected within my self-development. This project turned out to be a different challenge, since it is the first individual project at AMFI for Fashion & Management students.

Within group work, I always played a crucial role as a Driver, Motivator as well as Organizer and Innovator.

I was able to find some of the characteristics within my individual way of working since I worked in an organized and creative way. While working alone, I could really challenge the above mentioned roles, which worked out sometimes better and sometimes worse.

I especially put the focus on character traits, which are normally not one of my strengths like taking part as someone with passion for researching or financial numbers.

I can proudly say that I developed these skills. I tried to dive as deep as possible into the research process while making use of diverse as well as responsible sources. I have to admit that finding of reliable and diverese sources was quite a challenge. Nevertheless, I tried to dive as deep as possible into the given information.

Starting off with the Financial Analysis of the company gave me a great overview on the company’s performance. Calculating as well as understanding and interpreting ratios seemed to be a challenge, but was doable. In my opinion, the Financial Analysis of the company was extremely interesting. I can say, that I got really passioned about numbers and their interpretation. Through this project, I recognized the importance of the Financial Analysis.

Besides, I was able to develop my creative side within finishing up the report layout-wise. I definetely notice improvement while using the Adobe CC programs.

Eventhough I worked extremely organized, I had trouble with motivating myself and therefore the time management, which I will tell you about in a bit.

All in all, I have learned a lot and really developed myself within the past month in fields I needed as well as wanted a personal improvement.

WHAT COULD I HAVE LEARNED? I am genuinely happy to have had the opportunity to work individually on a project. In my opinion, you learn better and develop yourself more if you have a certain degree of responsibility.

Nevertheless, some things went wrong. I try to see that positive since you learn from mistakes. I definetely had a problem with motivating myself which is really unusual for me. Normally, I act as a Motivator and Driver within group work. This skill I missed within my individual process. Therefore, my time management was not at its best. I started really motivated with the Financial Analysis.

I tried to follow up with research on the 7S Model, but I was lacking motivation and therefore quality as well as efficiency.

I could only find motivation during the last week, since I was under enourmous time pressure. But no excuses. I always work hard and therefore I pushed myself through the last week working nonstop. The bad time management was my own fault, which will hopefully not happen to me again. I missed out on the opportunity to deal with good time management during an individual product as well as motivating myself.

35

Gladly I am really organized and therefore, I could plan my week as efficient as possible to achieve a completed report.

FUTURE GOALS

CO M PA N Y A N A LY S I S

GOALS FOR PRODUCT 3

All in all, I am not that happy with the outcome of my self-development.

For the first time, I was lacking efficieny and a good time management during a project. Being motivated and on time with deadlines used to be self-evident for me. I am actually a really disappointed by myself that I didn’ t follow up on my standards.

Nevertheless, I learned a lot about finance and numbers. I am proud with the outcome of the Financial Analysis. I will definetely keep in mind to not only focus on one research point since there is the danger of forgetting about the other ones.

Regarding my goal of improving my Research Skills, there is still room for improvement - especially while finding diverse sources. Therefore, I would still like to work on my Research Skills.

Something I will definitely focus on for the next period is my track on time management. Working last minute on a project is stressful as well as disappointing. I know I could have done better within some parts.

Nevertheless, I am happy with the outcome of my report. I tried to challenge my creativity again while creating a layout, which is professional, appealing and fits the company.

I am curious how the last product within Semester 4 turns out. Time flies by...

GOALS Semester 4

SPECIFIC

MEASURABLE

ATTAINABLE

RELEVANT

TIME BOUND

Continue working on improving Research Skills

Imroving Research Skills because there is still room for improvement.

Every project starts off with research, therefore I will continue focusing on diving deep into research.

On the one hand, researching is all about being curious & motivated.

On the other hand, it also has a lot to do with the topic regarding sources which can turn out challenging.

Research is a crucial element since it forms the foundation of the project.

The deeper the research, the better the outcome.

Especially done within the beginning of the project.

Keeping better track on time management and motivation

Time management and motivation are crucial for a successful product. I have to plan my time more efficient and be more motivated towards fulfilling tasks.

Time management and motivation is hard to measure since it is about my attitude towards working.

Yes! My motivation and time management are usually one of my strengths. I will get back into old shape to finish products within time and without stress.

Extremely relevant. You have to be motivated in what you are doing to be happy & successful.

Besides, good time management is the base for a good quality product.

No - it is all about changing my attitude.

36

CO M PA N Y A N A LY S I S

REFERENCES HARVARD STYLE

Accounting Coach, Balance Sheet: Explanation.

From: https://www.accountingcoach.com/balance-sheet/explanation (retrieved: 02.04.2018) Arrival of production containers - Phase 2. 2018. Arrival of production containers - Phase 2. [ONLINE] Available at: http://miniconfapp.com/qr/tag2_eng.html. [Accessed 25 April 2018].

Bagging - Phase 5. 2018. Bagging - Phase 5. [ONLINE] Available at: http://miniconfapp.com/qr/tag5_2_ eng.html. [Accessed 25 April 2018].

Balance Sheet for OVS SpA (OVS) from Morningstar.com. 2018. Balance Sheet for OVS SpA (OVS) from Morningstar.com. [ONLINE] Available at: http://financials.morningstar.com/balance-sheet/ bs.html?t=OVS®ion=ita. [Accessed 20 April 2018].

Borgo Italia, 2018, About Us. [ONLINE]. Available at: http://www.borgo-italia.com/en/about-us.html.

[Accessed 01 June 18].

Boston Consulting Group. 2018. Corporate Strategy. [ONLINE] Available at: https://www.bcg.com/ capabilities/strategy/corporate-strategy.aspx. [Accessed 11 May 2018].

Brandjam. 2018. iDO with Italy national under-20 rugby team | brandjam. [ONLINE] Available at: https:// www.brandjam.it/ido-with-italy-national-under-20-rugby-team/?lang=en. [Accessed 06 June 2018].

Brightpearl. 2018. Wholesaler vs Retailer: Understanding the differences and benefits of each [ONLINE] Available at: https://www.brightpearl.com/ecommerce-guides/wholesaler-vs-retailer-understandingthe-differences-and-benefits-of-each. [Accessed 13 April 2018].

CBI, 2016, Product Factsheet: Childrendwear Europe. [ONLINE]. Available at: https://www.cbi.eu/ sites/default/files/market_information/researches/product-factsheet-europe-childrenswear-2016.pdf.

[Accessed 06 June 2018].

Childsplay Clothing, 2018, Flagship Store. [ONLINE]. Available at: https://www.childsplayclothing. co.uk/flagship-store. [Accessed: 01 June 18].

Client Picking – Reading Stations – Roller Lines - Phase 6. 2018. Client Picking – Reading Stations – Roller Lines - Phase 6. [ONLINE] Available at: http://miniconfapp.com/qr/tag6_eng.html. [Accessed 25 April 2018].

Coltori, F., Resciniti, R., Tunisini, A., Varaldo, R., 2013, Mid-Sized Manufacturing Companies: The New Driver of Italian Competitiveness. Springer, Italy.

Corporate Finance Institute. 2018. Corporate Structure - Different Types of Organizational Structures.

[ONLINE] Available at: https://corporatefinanceinstitute.com/resources/knowledge/finance/corporatestructure/. [Accessed 30 April 2018].

Deloitte & Touche S.p.A, 2016, Annual Report on Minconf S.p.A., Florence.

Euromonitor, 2018, Childrenswear in the Netherlands [ONLINE]. [Accessed: 01 June 2018].

Euromonitor, 2018, Global Economic Forecast [ONLINE]. [Accessed: 01 June 2018].

Ferrantina - Phase 7. 2018. Ferrantina - Phase 7. [ONLINE] Available at: http://miniconfapp.com/qr/ tag7_eng.html. [Accessed 25 April 2018].

37

Fibre 2 Fashion. 2018. 3D Printing Technology in Fashion Industry | Wearable Technology in Fashion Industry. [ONLINE] Available at: http://www.fibre2fashion.com/industry-article/7344/top-technologychanging-the-fashion-industry. [Accessed 01 June 2018].

Forbes. 2018. 10 key steps to expanding your business gloablly. [ONLINE] Available at: https:// www.forbes.com/sites/allbusiness/2015/03/04/10-key-steps-to-expanding-your-businessglobally/#11be03303803. [Accessed 06 June 2018].

CO M PA N Y A N A LY S I S Forbes. 2018. 10 tips for using influencer for promoting your brand. [ONLINE] Available at: https:// www.forbes.com/sites/steveolenski/2017/11/30/10-tips-for-using-influencers-for-promoting-yoursports-brand/#47652f235875. [Accessed 02 June 2018].

Gerken, K., 2018, Interview with Agostino Magni. Amsterdam, Netherlands.

Gerken, K., 2018, Interview with Antonio Ripamonti. Amsterdam, Netherlands .

Gerken, K., 2018, Interview with Elisabetta Patelli. Amsterdam, Netherlands.

Gerken, K., 2018, Interview with Sara Bendinelli. Amsterdam, Netherlands.

Growth, Profitability, and Financial Ratios for OVS SpA (OVS) from Morningstar.com. 2018. Growth, Profitability, and Financial Ratios for OVS SpA (OVS) from Morningstar.com. [ONLINE] Available at: http://financials.morningstar.com/ratios/r.html?t=OVSÂŽion=ita&culture=en-US. [Accessed 20 April 2018].

Income Statement for OVS SpA (OVS) from Morningstar.com. 2018. Income Statement for OVS SpA (OVS) from Morningstar.com. [ONLINE] Available at: http://financials.morningstar.com/incomestatement/is.html?t=OVSÂŽion=ita&culture=en-US. [Accessed 20 April 2018].

Investopedia, Fundamental Analysis: Introduction to Financial Statements, 2018.

From: https://www.investopedia.com/university/fundamentalanalysis/fundanalysis4.asp 07.04.2018)

(retrieved:

Investopedia, Income Statement.

From: https://www.investopedia.com/terms/i/incomestatement.asp (retrieved: 02.04.2018) Investopedia, Liquidity.

From: https://www.investopedia.com/terms/l/liquidity.asp (retrieved: 04.04.2018) Investopedia, Profitability.

From: https://www.investopedia.com/terms/p/profitabilityratios.asp (retrieved: 04.04.2018) Investopedia, Solvency.

From: https://www.investopedia.com/terms/s/solvency.asp (retrieved: 04.04.2018) Investopedia. 2018. Cash Conversion Cycle (CCC) | Investopedia. [ONLINE] Available at: https://www. investopedia.com/terms/c/cashconversioncycle.asp. [Accessed 20 April 2018].

Lectra. 2018. Solutions for childrenswear, fashion software - Lectra. [ONLINE] Available at: https://www. lectra.com/en/fashion-apparel/childrenswear-solutions. [Accessed 01 June 2018].

Linked In, 2016, The pros and cons selling to big retailers. [ONLINE]. Available at: https://www.linkedin. com/pulse/pros-cons-selling-big-retailers-jeremy-robinson/. [Accessed: 06 June 2018].

Linked In, 2017, Raw Materials: Sharp price increases [ONLINE]. Available at: https://www.linkedin. com/pulse/raw-materials-sharp-price-increase-china-suppliers-mathieu-reignard/. [Accessed: 06 June 2018].

Luna Journal, Interview with Leonardo Basagni Export Manager from Miniconf, 2018.

[ONLINE] Available at: https://www.youtube.com/watch?v=AH4l1-dkyCA. [Accessed: 17 April 2018] Miniconf SpA | ELITE Italy. 2018. Miniconf SpA | ELITE Italy. [ONLINE] Available at: https://it.elite-growth. com/en/companies/miniconf-spa. [Accessed 11 April 2018].

Miniconf. 2018. Miniconf - Phase 1. [ONLINE] Available at: http://miniconfapp.com/qr/tag1_4_eng. html. [Accessed 21 April 2018].

38

Miniconf. 2018. Quality control - Phase 3. [ONLINE] Available at: http://miniconfapp.com/qr/tag3_eng. html. [Accessed 25 April 2018].

Minor CCBS, 2017, Management Styles in Italy [ONLINE]. Available at: http://www.minorccbs.com/ skills/leadership/item/management-styles-in-italy. [Accessed 21 April 2018] Mr. Fagus. 2018. LONG-LASTING CLOTHES [ONLINE] Available at: http://www.mrfagus.it/en/durata/.

[Accessed 11 May 2018].

Mr. Fagus. 2018. QUALITY [ONLINE] Available at: http://www.mrfagus.it/en/qualita/. [Accessed 11 May 2018].

Mr. Fagus. 2018. SAFETY [ONLINE] Available at: http://www.mrfagus.it/en/sicurezza/. [Accessed 11 May 2018].

Mr. Fagus. 2018. SOCIAL RESPONSIBILITY [ONLINE] Available at: http://www.mrfagus.it/en/socialresponsibility/. [Accessed 11 May 2018].

OfficeTeam. 2018. The top 6 benefits of long term supplier relationships. [ONLINE] Available at: http:// officeteam.co.uk/blog/the-benefits-of-long-term-supplier-relationships/. [Accessed 06 June 2018].

Pambianco News. 2018. E-commerce ed estero nel futuro di Miniconf | Pambianco News. [ONLINE] Available at: http://www.pambianconews.com/2018/01/19/e-commerce-e-sviluppo-estero-nel-futurodi-miniconf-228339/. [Accessed 11 May 2018].

Pressing Irons, Mannequin or Topper - Phase 5. 2018. Pressing Irons, Mannequin or Topper - Phase 5.

[ONLINE] Available at: http://miniconfapp.com/qr/tag5_1_eng.html. [Accessed 25 April 2018].

Pressing Tunnel and Hanging Carousel - Phase 5. 2018. Pressing Tunnel and Hanging Carousel - Phase 5. [ONLINE] Available at: http://miniconfapp.com/qr/tag5_eng.html. [Accessed 25 April 2018].

Sarabanda Official. Instagram photos and videos . [ONLINE] Available at: https://www.instagram.com/ sarabandaofficial/. [Accessed 01 June 2018].

Sarah Bockholt. 2018. The Pros and Cons of Influencer Marketing. [ONLINE] Available at: https:// www.dma-solutions.com/thecoreblog/the-pros-and-cons-of-influencer-marketing. [Accessed 02 June 2018].

Sewing, repair and labeling - Phase 4. 2018. Sewing, repair and labeling - Phase 4. [ONLINE] Available at: http://miniconfapp.com/qr/tag4_eng.html. [Accessed 25 April 2018].

Simone Conti. 2018. Miniconf: ricercar. Da 40 anni abbigliamento per i bambini di ieri, oggi e domani.

[ONLINE] Available at: http://www.miniconf.it/azienda/ricerca. [Accessed 17 April 2018].

Simone Conti. 2018. Miniconf: storiea. Da 40 anni abbigliamento per i bambini di ieri, oggi e domani.

[ONLINE] Available at: http://www.miniconf.it/azienda/storia. [Accessed 11 April 2018].

Simone Conti. 2018. Miniconf: territorio. Da 40 anni abbigliamento per i bambini di ieri, oggi e domani.

[ONLINE] Available at: http://www.miniconf.it/territorio. [Accessed 11 April 2018].

Stratfor. 2018. Fertility Rates Keep Dropping, and It’s Going to Hit the Economy Hard. [ONLINE] Available at: https://worldview.stratfor.com/article/fertility-rates-keep-dropping-and-it-s-going-hit-economyhard. [Accessed 06 June 2018].

39

Super User. 2018. Casentino – Toskana - Urlaub im Casentino - nützliche Informationen. [ONLINE] Available at: https://www.toskana-fewo.com/die-toskana-mit-allen-sinnen-geniessen/casentino.

[Accessed 18 April 2018].

CO M PA N Y A N A LY S I S Tavanti, M., 2012, The cultural dimensions of Italian Leadership. [ONLINE] Available at: http://journals. sagepub.com/doi/pdf/10.1177/1742715012441876. [Accessed: 18 April 2018].

The Business of Fashion. 2018. 5 Technologies Transforming Retail in 2018 | Fashion-Tech | BoF. [ONLINE] Available at: https://www.businessoffashion.com/articles/fashion-tech/5-technologies-transformingretail. [Accessed 06 June 2018].

WGSN. 2018. Tommy Hilfiger launches revolutionary digital showroom - WGSN Insider. [ONLINE] Available at: https://www.wgsn.com/blogs/tommy-hilfiger-launches-revolutionary-digital-showroom/.

[Accessed 01 June 2018].

World Business Culture. 2018. Italian Business Structures | World Business Culture. [ONLINE] Available at: https://www.worldbusinessculture.com/country-profiles/italy/culture/business-structures/. [Accessed 30 April 2018].

World Business Culture. 2018. Italian Management Style | World Business Culture. [ONLINE] Available at: https://www.worldbusinessculture.com/country-profiles/italy/culture/management-style/. [Accessed 20 April 2018].

YouTube. 2018. Interview Sarabanda Pitti Bimbo January 2016 - YouTube. [ONLINE] Available at: https:// www.youtube.com/watch?v=Ei1aMF3dcyc. [Accessed 11 May 2018].

YouTube. 2018. Tommy Hilfiger | The Digital Showroom - YouTube. [ONLINE] Available at: https://www. youtube.com/watch?v=tQ1VpM7pjsA. [Accessed 01 June 2018].

40