i.Provide the company’s background in terms of its history and progress over the years.ii.
Discuss the background of the fashion industry in Australia whereby Country Road has dominated substantially.iii.Comment on the profitability of the company.iv.Provide details about its liquidity and how the aspect has affected various stakeholders, including the shareholders and investors.v.Show the various ratios of operational efficiency as calculated from the financial reports.vi.Indicate any other non-financial aspects of the company, including the competitive strategy and strategic alliances.vii.Provide a well synthesized summary that connects the various issues of the analysis.
COUNTRY ROAD ANALYSIS 5Country Road Company was essentially conceived in 1974 starting as a small business meant for women shirting. After the implementation of strong, visionary, and tactical strategies, the business developed gradually into a competitive brand for lifestyle products. The company has become popular owing to the provision of trendy, fashionable, and quality accessories for different customers, including the females, males, adults and children among other segments of consumers. There are various historical, crucial, and forward-moving eventualities that facilitated the rapid rise of Country Road Company. Sixteen years ago, a South African companyknown as Woolworth decided to buy a part of the company’s shares in order to have control over it’s a section of it. This was a critical undertaking because the company obtained support from a well-established institution with similar interest and profound experience. Understandably, Woolworth had a deep experience bearing in mind that it had been started 43 years before Country Road. As a result, the input of Woolworth was instrumental during the development of Country Road.Recently, about two years ago, the company decided to expand its ownership through acquisition of Witchery Group. In this case, Country Road acquired critical business venture of this company that incorporated Mimco brands (Taylor 2011). In essence, this acquisition venture was intended to transform the company into a world-class and the biggest stylish retail business in Australia. This venture was informed by the fact that an acquisition is an appropriate strategy which is used to expand the market share of the company. The human resource for the company has deep intellect, creativity, and desire to move it to a bright destiny. Importantly, Stephen Bennett conceived the company and created a strong leadership foundation. The same spirit has been reflected by subsequent employees. An example of such a leader is the current designer of the company who is known as Sophie Holt. She has been a central figure of Country Road since
COUNTRY ROAD ANALYSIS 6the acquisition of Witchery Company in 2012. She has seen the company developing stylish and innovational-based products that help to popularize the company as a major brand in Australia.