Product details

This case is written for use with the teaching of strategic management. It features a Scottish textile company, STL, owned by an international holding company based in Hong Kong. STL designs, manufactures and supplies ready-to-wear garments. Its regular customers include many well-known UK high-street stores, e.g. BHS, Burtons, Next, etc. Having been in business nearly four decades, the company has a dominant local culture characterised by strong employee loyalty as well as considerable resistance to change. Currently troubled by slow market growth, fast changing market trends, growing competition from home and abroad, increasing bargaining power of both the suppliers and the customers, declining profitability, falling share prices, imbalance of organisational resources and worsening internal labour dispute, the company is in deep crisis with its fate now hanging on the balance. The key to its future survival now depends on its ability to change and adapt to the changing environment.