Aeo mission statement

Week 3 Assignment 1
Bridget Lynn King
Strayer University

BUS499 Business Administration Capstone

Professor Joseph Keller

May 8, 2020

Week 3 Assignment 1

The corporation chosen for assessment in this paper is American Eagle Outfitters Inc. (AEO) the company deals in teen fashion clothes in the American market. AEO is a multinational company with trading roots in many regions. This trait makes AEO the perfect company choice for dissection in this assignment. This paper indulges in the globalization aspect of AEO, how technology has impacted the company's growth, the real importance of AEO's mission and vision statements, and the models leading to the organization's success.

Globalization
American Eagle Outfitters was founded almost 43 years ago in 1977. The company began as an accessory store for women and men footwear with other retail chains in over 36 states in the 1980s. AOE’s growth was fueled by consistent and fruitful integration into new markets all over the USA. A globalization strategy implemented by the shareholders at the time involved focusing the company’s sales on clothes outfits instead of footwear. This focus has dramatically influenced the organization's capability to produce quality and customer targeted outfit products. This tactic aided in the company's advancement to 803 company-owned stores as of February 2020 (American Eagle Outfitters Inc FORM 10-K, 2020). Another effective strategy that helped AEO's journey to global market indulgence is when the company joined the stock exchange in 1994. American Eagle Outfitters is a major player in the American and global market. A giant among competitors, AEO ranges in the likes of Nike in the market. The company has impacted the competition by acquiring a niche market of teenagers and occasionally 25-40-year-olds who also fantasy wearing the company’s products. Globalization into other countries and markets have changed American Eagle Outfitters in the following ways. It has finessed the company’s market entry techniques through the use of past market entry experience.

Additionally, globalization has increased the company’s revenue to over 2 billion in the 2020 fiscal year. Last but not least, globalization has impacted AEO by providing extensive access to resources, technology, capital, new market, and human capital. The companies identify that globalization has enhanced its acquisition of raw materials for its finished products. American Eagle Outfitters acquires its raw materials from multiple merchants all over the world. The company applies a tactic of not buying more than 10% of raw material from a single manufacturer. Hence, the company not tied to exclusive rights for a manufacturer.

Technology
American Eagle Outfitters is a versatile organization moving as fast as the technological world is moving. The company has advanced over into e-commerce and dominated the scene. With digital platforms in over 81 countries, the company offers its products to customers via a digital channel like www.toddsnyder.com . This site is one of the digital channels used by AEO to target markets in each market segment. Moreover, this is a technology that has advanced and enhanced the indoor experience of customers by replicating physical stores on online channels. The company has perfected the art of digital commerce by studying customer buying patterns and working to fulfill customer needs. The company also recently advanced into Oracle cloud computing technology to enhance the companies employee transfer process. Efficient cloud computing services from Oracle have improved the companies online presence by reducing downtime and system maintenance problems. Customers can now engage in AEO’s digital channels with seamless ease when purchasing products. The use of cookies on the companies official website has opened up avenues for the company to improve the customer's buying experience. Through the use of these cookies, the company can offer streamlined and relevant information to its customers based on their location and buying patterns.