a) Identify the business plan and strategy used by Lululemon and evaluate its relevance to its vision
and mission statements in light of the current issues faced. (contemporary models on strategy
and concepts such as strategic drift should be referred)
b) Identify their goals and value processes with reference to ethical, cultural, environmental, social
and business objectives and evaluate how the current issue impacts these and the business.
c) Evaluate efficiencies in resource allocation in relation to current organizational objectives,
strategies, and goals.
a) With the use of relevant tools and frameworks conduct a strategic analysis of its environment to
identify the current position of Lululemon (consider Macro, Micro and Internal Factors).
From the analysis specifically identify;
- The major changes taking place in the macro and micro environments.
- Evaluate the importance of stakeholder relations and assess the impact the current supplier
related issue has on stakeholder relations and strategic business planning.
a) Sustainability and risk management are identified as important aspects for businesses today.
Critically analyse the risks facing Lululemon and the future challenges affecting strategic business
management and planning of the organisation.
b) Apply strategies and techniques to mitigate such risks in the future.
a) You have been requested to provide a report on the financial performance and the position of
the company for the year 2008. Prepare a report by covering the following areas:
x Interpretation of financial ratios
x Compare the ratios of 2008 with the relevant ratios of 2007. Discuss reasons for the variations.
x Provide a clear conclusion on the financial position and the performance of the company and
b) Assume that the company is now planning to invest on new project and they are seeking your
advice on this regard as the financial manager. Briefly explain the available information appraisal
techniques for the company to assess the worthiness of the considered project. You are required to
evaluate the usefulness of various investment appraisal approaches by highlighting the strengths
and weaknesses of each method.
c) Assume the following details are applicable for the Lululemon Athletica, Inc for the current year.
You are required to conduct the cost- volume profit analysis on the production of jackets. Find the
Break Even Point (BEP) and interpret the findings using suitable theories.
Price $ 98
Variable cost $ 50
The fixed cost allocated for the production department of Jackets for the year is $7,200,000 and the
production volume is 300,000 units.