Wednesday, March 27, 2019

Blue Ocean Strategy – Patagonia Environmental Sustainability at the core of business


Patagonia is a popular outdoor clothes brand with many styles and products made in Fair Trade Certified™ factories around the world that promote and sustainable fair labour practices, safe working conditions and environmental responsibility. Company aims to  build highly durable and efficient products that last long and can be easily repaired if required and used for long period rather than throwing away with short term use. Patagonia is a socially conscious brand with a demonstrated their commitment to change the world that is their core belief that caring for our planet is not in conflict with running a successful business. The company is passionate about reducing their manufacturing footprint and is a member of 1% for the planet whereby they commit 1 percent of their annual net sales to grassroots environmental groups. 

Patagonia’s Worn Wear initiative – which was launched in 2013 is composed of 4 ‘R’s.”  Reduce, Repair, Reuse and at the end of a product’s life when all usable value has been exhausted – Recycle. Patagonia invites its conservationist shoppers to buy second hand outdoor wear and trade in their old gear. The experience aligns with Patagonia’s focus on resource conservation and makes customers feel like their personal actions have a positive impact on the world.

Blue Ocean strategy of Patagonia in terms or ERRC grid is eliminating CO2 emissions, waste output, and water usage by extending the life of garments, through proper care and repair, which has in important sustainable impact on the  planet and reduces the need to buy more over time. Raised the consumer awareness towards environmental sustainability and preservation which is one of the most important issue today as climate change is drastically effecting the world. Reduced carbon, waste and water footprints by 20-30 percent   by extending the life of  clothing by nine extra months. Created a new business that not only provides good products t consumers but also reduces the environmental effects that typical manufacturing companies cause to the environment. Patagonia was recognized for its “long track record of sustainable innovation in the industry,” including its ongoing campaign to encourage consumers to repair their worn items instead of tossing them and buying new.

Patagonia value proposition is increasing the buyer utility through the fact that their buying clothes have significantly low impact on environment, reduce the cost and impact on environment and created a new market for environmentally sustainable clothing which consumers are buying and the company is earning good profits. Various initiatives by the company towards environmental sustainability has created an uncontested market space for the company. Company adopted digitization technologies to communicate with consumers there by reducing the usage of printing and paper materials. Patagonia is considered the best socially conscious innovative company and blue ocean strategy adopter.


6 comments:

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