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Resonance Apparels: Jumping to the Next Orbit using CRM*

CASE STUDY, CUSTOMER RELATIONSHIP MANAGEMENT
ET Cases - GSMC, 8 Pages
AUTHOR(S) : Dr. Harjot Singh, Assistant Professor, LM Thapar School

Case Preview

Resonance Apparels1: Jumping to the Next Orbit using CRM

 

On a rainy morning of the first day of July 2015, 24-year old Ms Rubina Kumar (Rubina), the young executive-assistant to her father Mr. Sanjeev Kumar (Sanjeev), Managing Director (MD) of Resonance Apparels (Resonance), was able to feel the breeze and the droplets entering her plush office in Feroze Gandhi Market, Ludhiana. She had just been given the mandate by her father, who had started and established the Resonance group way back in 1984, to take the Apparels business to greater heights. Being a fresh graduate of Design and Fashion Technology, she had been wondering if she would be able to take the Apparels division to newer heights, given the challenging business environment and her lack of experience in running a business.. However, she was confident. She was exposed to two or three businesses in the sector during her education and internships. Sanjeev expected her to bring a fresh and vibrant view of the developments in this sector and suggest new ways of handling the business......................

 



1 The case is based on a hypothetical company

Teaching Note Preview

Resonance Apparels: Jumping to the Next Orbit using CRM

 

Case Synopsis

The case ‘Resonance Apparels: Jumping to the Next Orbit using CRM’ is meant for students of marketing specialization of post-graduate courses in management. It is especially aimed at making the students learn some concepts related to Customer Relationship Management (CRM).

The Resonance group was started by Mr. Sanjeev Kumar (Sanjeev), a Ludhiana-based entrepreneur in 1984. His flagship organization in the branded garments business, Resonance Apparels (Resonance), had been instrumental in taking the group to great heights. The target market of Resonance range of apparels has traditionally been the student community. The company had been operating through a company-owned retail format instead of a franchisee model. It also has been selling through multibranded showrooms and smaller retail outlets to ensure wider availability.

However, in 2015, market conditions had become difficult. It seemed that Resonance will either have to take on its major competitors head-on or find its own niche in the space of big brands. Sanjeev had asked his 24-year old daughter, Ms Rubina Kumar (Rubina), to join the business as her executiveassistant. Rubina had been given the mandate to put the apparels business in the next orbit. Her father had communicated her that he expected vibrant views and innovative thoughts from her which could regain the market share of Resonance. The competitors had become stronger over a period of time by strengthening their brands through a good understanding of their customers and developing close relationships with them. Rubina had to look for ways to increase the mindshare of Resonance and improve customer relationships.

Learning (Pedagogical) Objectives

  • • To understand the concepts of CRM
  • • To examine how companies engage in developing and sustaining relationships with retail consumers, by the use of CRM software and systems and by other means
  • • To compare and analyze how companies that use CRM more effectively can perform better

 

Assignment questions

The comparison of CRM environment, including its systems and practices, as prevalent in the two organizations, namely, Resonance Apparels and North Lane forms the theoretical anchor (main concept) point in the case. The central problem in the case is that of increasing the marketing effectiveness and relationship equity of Resonance around which most of the discussion in the class can revolve...........

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Abstract

The Resonance group was started by Mr. Sanjeev Kumar (Sanjeev), a Ludhiana-based entrepreneur in 1984. His flagship organization in the branded garments business, Resonance Apparels (Resonance), has been instrumental in taking the group to greater heights. However, in 2015, market conditions have become difficult. He has foreseen that Resonance will either have to take on its major competitors head-on or find its own niche in the space of big brands. He has asked his 24-year old daughter, Ms Rubina Kumar (Rubina), to join the business as her executive-assistant.

Rubina has been given the mandate to put the apparels business in the next orbit. Fresh after a bachelor's degree in Fashion Design and Technology, she has been wondering if she would be able to achieve the goal. She did not have the experience of running a business. However, she has gained confidence because of her exposure to three businesses in the same sector during her internships. The company has not created HR and IT departments yet, because the scale of operations has been small.

The target market of Resonance range of apparels has been traditionally been the student community. The company operates through a company-owned retail format instead of a franchisee model. It also sells through multi-branded showrooms and smaller retail outlets to ensure wider availability.

The competitors have become stronger over a period of time by strengthening their brands through a good understanding of their customers and developing close relationships with them. Rubina has decided to increase the mindshare of Resonance and improve customer relationships. She has asked her core team to make a presentation to her based on inputs from customers and competitors.



Pedagogical Objectives

  • To learn about Customer Relationship Management practices
  • To suggest ways to the management of Resonance to improve their customer relationships and the brand’s positioning

Case Setting and positioning
This case study can be used in the MBA Program for Customer Relationship Management (CRM) and Brand Management courses. It may also be used in Organization Behavior course to discuss the importance of training, empowerment and engagement of employees.


* GSMC 2016, IIM Raipur

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