Rethinking Innovation: Lululemon!
The definition of entrepreneur.
Chip Wilson founded Lululemon Athletica Inc. in 1998, selling yoga apparel in a modest basement of a yoga studio. Wilson, motivated by the desire to empower customers towards living healthier lifestyles, rapidly expanded the company into some 1351 franchised and company-owned stores. Lululemon is an entrepreneurial business because of its innovative products, entrance into a high risk market, and their ability to rake in billions in merely 13 years.
What makes consumers want to purchase a pair of Lululemon’s signature pants? As stated by Professor Gateman, “Lululemon pants, Hunter boots, and white-wired headphones have become the uniform of UBC students”; marketers have brainwashed consumers that they ought to wear these products. Lululemon’s unique and patented innovative advancements has provided them with a powerful competitive edge, allowing them to expand their market from yoga to simply general fashion.
Lululemon’s initial entrance into the industry was very risky. Despite the terrible economy, Lululemon has big competitors to worry about, such as Nike and Adidas. In response, Lululemon fought back with “grassroots marketing”, a marketing strategy that targets local consumers through community involvement. Through this strategy, Lululemon stores sold clothes by day and transformed into yoga studios by night. Lululemon’s competitiveness has proven them a strong player in a risky market with big players.