Uniqlo: A Case Study on Creating Market Share with Affordable and Timeless Designs

Abstract

The Japanese designer, manufacturer, and retailer, Uniqlo, is known for casual, high-quality clothing for very affordable prices. During the Japanese recession, the company was valued especially for its low prices. They soon expanded their business throughout Japan. Step-by-step, they expanded internationally and were then competing successfully with the major fashion retailers. Today, it is the fourth largest fashion retailer worldwide. Uniqlo made it possible to successfully educate countries worldwide, within less than 25 years, in its unique product strategy and it is still continuing to enlarge its business operations. By 2020, the company is aiming to become the world’s biggest specialty retailer of private label apparel with a continuous growth rate of 20 %. The company’s success can be explained by its initial success during the Japanese crisis. The consumer’s demand for affordable but high quality clothing was high during this time of recession, as consumers had to cut back on expenditures. After this sudden success, Uniqlo’s founder Tadashi Yanai managed to expand brand awareness and achieved success globally.