strategies boo.com should have implemented. Boo.com would probably still
be in existence if it had a strong alignment between technology, business strat-
egy, sound management and an understanding of consumer needs and market
key drivers. Its strategies and technologies were in disparity with reality.
Boo.com did not fail as an e-retail company but failed as a company which
happened to be in the e-retail business. The classical mistakes made by
boo.com would probably also have led to the demise of the company had it
been in another business sector.
There have been several reports regarding the relaunch of boo.com. At the
time of writing, a short message on the company’s homepage indicates that a
new website will be launched shortly. Let’s keep our fingers crossed for the
new boo.com.Business lessons from boo.com
1 Launching a new business requires a solid business plan and business
model. No matter how conversant the business founders are with the
sector, the business plan is inevitable.
2 It is important to thoroughly understand the market environment before
launching a new business, especially in an emerging sector such as the
Internet.
3 Any company that desires to sell fashion goods must first create a BRAND
with well-defined dimensions of Brand Concept, Brand Identity, Brand
Personality and Brand Image. If a fashion company fails to do this, then
they might as well be ready to become a supermarket brand.
4 Selling fashion online requires intricate strategic elements that must be
implemented to compensate for the lack of human, sensory and atmos-
pheric features found in offline stores. Chapter 6 of this book provides
more insight into this.
5 The management style and leadership of a company makes or breaks the
company.Case illustration 3: the effect of licensing on Pierre
Cardin’s brand equity
Pierre Cardin, whose name and business has one of the highest global recog-
nition levels in the luxury fashion sector, is not only a fashion design icon, but
has also become an institution. At his current age of 85 years, Pierre Cardin
has a career in fashion spanning more than 65 years. He continues to preside
over a fashion empire that he built from nothing and still owns 100 per cent.
He has been described as the godfather of the fashion industry and as an
unparalleled revolutionary.
The Pierre Cardin fashion empire currently has 840 factories and employs296
luxury fashion branding