ANN TAYLOR

1
ANN TAYLOR

• Behind in the Evolution of Business

2
Team Mates

• Quentin Pongrass
• Graham Blackwell
• John Trydahl
• Erika Defibaugh
• Chuck Cooke

3
Plan of Attack

• Lack of Technological Advancement
• Competitive Comparison
• Ethical Controversies
• Conclusion

4
Lack of Technological Advancement

• Ann Taylor doesnt have a web site
• No E-Commerce
• Missed out on estimated 6 to 12 billion in
  Internet sales over the past holiday season
  (Lexis-Nexis)
• This is an increase from 2 billion from the 1998
  holiday season (Time magazine)
• 4 of retail sales are online and this is
  increasing exponentially (The New York Times)

5
Lack of Technological Advancement

• Competitors such as Eddie Bauer and Victoria
  Secret had over 70,000 unique hits per day on
  their web site in the first week of December 1999
  (Time magazine, December 1999)
• Lack of an E-business prohibits job opportunities

6
Competitive Comparison
Hoovers Online
7
Competitive Comparison(cont.)

• Ann Taylor has more employees but only made half
  the profits of Liz Claiborne and Bennetton in
  1999 (Hoovers Online)
• There are no International offices or stores
• No chance for utilizing foreign markets
• Falling behind in the global economy
• No international job opportunities

8
Ethical Controversies

• Ann Taylor is not a member of The Apparel
  Industry Partnership unlike competitors such as
  Liz Claiborne (www.lizclaiborne.com)
• The AIP is a White House task force that is
  dedicated to improving working conditions
• Prohibits child labor
• Restricts employees to a sixty hour work week
• Requires payment of the minimum wage or the
  prevailing industry wage, whichever is higher

9
Ethical Controversies (cont.)

• 45 of Ann Taylors production is done in China
  (Ohio Link Research Data Base)
• Ann Taylor was involved in two lawsuits
• Shareholders accused the corporation of
  inflating the stock price by hiding excess
  inventory (Ohio Link Research Data Base)

10
Conclusion

• Ann Taylor is crippled by having no Web Page
• They are ignoring global market place.
• Effective management strategies?
• Spending millions on brick and mortar expansion,
  but ignoring major bus. trends.
• Its ethics have been called into question.
• Ann Taylor is not a company you want to work for