1. Analysis of the company's history, development and growth Founded in 1969 by Donald Fisher and Doris Fisher, Gap Inc is the largest clothing and accessories retailer in America. The clothing store began in San Francisco, California, where the Fishers opened their first store because they were frustrated with the poor service and clothing styles offered by other retailers. The store was named Gap because it provided clothing to teenagers and college students, the "generation gap" between children and adults. Originally, Gap did not sell its own brand of clothing, only carrying the Levi Strauss & Co label on its shelves until 1978. By that time Gap had opened more than 300 stores and was selling its own increasingly popular brand under the label Gap. While producing products under its own label, Gap saw its dominance begin and eventually stopped selling Levi's altogether in 1992; this move allowed Gap to lower transaction costs and reduce supply threats created by Levi's. For years, Gap has been popular for its T-shirts, khakis and basic sweaters, generating the kind of cash-generating revenue that has helped fuel its explosive growth in the market. 90s. But as competitors began offering similar styles and prices and clothing sales began to lose momentum, Gap moved away from the basics and tried to move forward with unique fashions. The strategy failed, and Gap subsequently alienated its 20- to 30-year-old customer base with offbeat fashions that appealed to younger consumers or missed them entirely. Gap chose to chase trends instead of building on its strengths.2. Identify the company's internal strengths and weaknesses Strengths Branding The Gap's multiple brands have become some of the most recognizable labels... center of paper... d affiliations. Currently the brand represents nothing. They should focus on what the brand stands for rather than any popular trend. Partly because of its advertising, the Gap was perceived as cool and low-key in the early 1990s. If they could find a way to leverage its reach to influence culture, in turn restoring its credibility among young consumers. Ultimately, it's the product that really matters: By changing the product line to reflect Gap's original ideals, the company will be one step closer to survival. References Textbook, Strategic Management: An Integrated Approach Case 13, Gap International: A Specialty Apparel Retailer C200-229 Wikipedia Online-The Gap "Gap Hires Egon Zehnder to Find New CEO" (reprint), Associated Press, March 5, 2007 ."Gap explores alternatives, including possible sale: CNBC's Faber," CNBC.com, January 8 2007.