Topics: Supply chain, Management, Vertical integration Pages: 2 (344 words) Published: July 9, 2015 Student: Chihab EL ALAOUI

ID: 118989
CROCS (A): Revolutionizing an industry’s supply chain model for competitive advantage 1. What are Croc's core competences?
The core competencies are the sustainable capabilities that are valuable, rare, costly to imitate and nosubstitutable, which serve as a source of competitive advantage for Crocs over its rivals. It distinguishes the company from whole industry’s competitors and cr

eates through that its own personality
(Ireland, the Management of Strategy, 9
From the details mentioned in the case we can figure out that Croc’s core competencies that fit with all four criteria of core competencies concept is it highly responsive supplychain, by maintaining the flexibility to the unexpected demands and offers of retailers, with efficiency of its distribution model and cost advantages created. The crocs top management examined the footwearindustry supply chain and immediately noticed its limitations. The existing supply chain used to processrequests that companies receive from retailers at the beginning of the year on January and manufacture thedemand supplies for the next spring and fall seasons with some excess in order to manage any unexpecteddemand. However, this traditional supply chain system had many deficiencies, because retailers had tobase their requests on their forecasts which definitely will lead either to overestimation and unsold stock and subsequently loss, or underestimation which meant loss of potential profit. Instead, Crocs developed arevolutionary supply chain system which strengthens its relationship with retailers by quick response to any fluctuations in customers’ demands. This result was possible due to the heavy investment made by thecompany in its infrastructure and the development of the supply chain with the new...
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