Analysis

Jabong is having some all kind of Nehru jackets but they are
having very less inventory in their stores , most of all products are
in range of Rs 1000-3000
Myntra is having pretty good store with jackets of all kinds in all
price ranges here also mostly all jackets are less than Rs 3000 and
some 20-25 jackets in price greater than Rs 3000
Homeshop18 have mainly focused on keeping formal wear in
their store of mostly of linen and cotton fabric. Mostly all jackets
are below Rs 2500.
They are also selling combos of jacket of 2 and 3 and goggles with
jakcet combo.
Fabindia have focused mostly on daily wear Nehru jackets of
mostly cotton fabric and are available below Rs 2500.
Snapdeal also have decent store of Nehru jackets with different
fabrics of jackets with mostly jackets available below Rs 3000
Amzon being the giant of online stores dont have the the good
collection of Nehru jackets, they have mostly focused on daily
wear jackets in prices mostly below Rs 2500
Manyavar, ethnickurtas and Rajwadi have mostly focused on
wedding wear ethnics type jakcets
Flipkart have mainly focused on formal wear jackets but have
only little collection of it.

Michael Porter 5 forces analysis in Indian

Market

Porter 5 forces analysis in US market

Threat of new entrant
1. Threat of new entrant is high as similar to indian market,
capital requirement for setting up this online store is very
less.
2. As doodleblue will be new new in this segment of business
other already established player will take the advantage
of their infrastructure, which will be threat.

Bargaining power of buyer

1) bargaining power of buyer will be low as no other
player is selling good quality and such variants of
jackets.
2) switching cost of buyers will be also high as other
stores does not have good quality-price product.

Bargaining power of Supplier

1) Bargaining power of supplier will be low initially as
no other store have this product in their store.
2) It will be low as it is not a very unique product, It can
be manufactured by other manufacturer also.

Threat of substitutes
1) Threat of substitute is low as very less other online
stores supplies Nehru jackets

Analysis
As we can that from the analysis that there is
competition in this segment in India but not very high
as different stores have specialization in their own
segment(like wedding wear, formal wear etc) but no
store have balanced collection of all jackets. But due to
various online competitors and vast offline stores of
Nehru jackets in India it will be very difficult to create
the differentiation in India
In US market initially we will enjoy the benefit of being
the leader in such variants of products but very easily
new entrants will entrant and share the market, So to
overcome that threat very high product and service
differentiation will be needed to sustain ourself.

SWOT analysis
Strengths
1. Internal development team at India and US.
2. Young excited team for taking challenges.
3. Leader in Nehru Jacket online store.

Weakness
1) No experience in e-commerce as of now

2) No infrastructure for logistic solution.

3) Dependency on sinlge supplier.

Opportunity
1) Expand to other countries if get a good market response.
2) opportunity as no. of internet users is increasing by 7% in USA

Threats
1) Threat of new entrant
2) Threat of people preferring buying from already established online
stores because of trust. As people will hesitate to make payment to new
store.
3) Threat of Nehru jacket not making any transformation as the new
trend.
4) Threat of people not preferring to buy from single apparel store.

COST BENEFIT ANALYSIS

Assuming 1000 orders are made per month from
US and 300 from India

Ordering Cost
packaging charges
shipping charge( USA)
shipping charge( India)

number salary/mon
th

Total

1300 *
50
500*10
00
300*15
0

6500
0
5000
00
2250
0

Processing cost
Order processor salary

150
00

3000
0

Holding Cost
Rent (Approx 200 sq feet)

100
00

1000
0

Total

6275
00