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Strafe Outerwear vs. Recreational Equipment Inc.A Case Analysis of Two Outdoor Outfitting CompaniesLauren CudneyJace KhoslaJake NicholsJackson Stevens

+REI, An Overview

Fortune’s Top 100 Companies to Work For

Over 9,500 employees

2010 Sales: $1.66 bil. ($1.46 bil. in 2009)

Founded in 1938 as a Co-op

CEO: Sally Jewel

+REI & Dynamic Change

Founding – Group of friends trying to get gear from Europe (1938) Co-op from the beginning to benefit the members

Whittaker claims company from founder Expansion started along western states Transformed REI into a business from the small local

organization

New flagship = true establishment in the outdoor industry

Had insane technology and features that no other retail outlet could boast

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1930s 1938

x21+ =

19411971

1983 2001

+REI & Dynamic Change (cont.)

Co-op $20 to join for life 10% back in dividends every year

Green vest experience Customer service is foremost

Want to give you the best products. If they can’t, they’ll tell you who can.

+REI & Sustainability

3BL zero waste-to-landfill by 2020 energy efficient stores The REI foundation

Employee relations Discounts on gear Encourage staff to go on trips together to experience

what they sell Staff is down to earth and willing to help with any aspect

of the store

+Triple Bottom Line

• Website• Volunteeris

m• Education• Climate

Neutral• Zero Waste-

Landfill• Co Op• Environmental

Stewardship Focus

• Green Vest• Explore Outdoors• Discounts

+Creativity & Innovation

‘Staycations’ 2009: 64% decease in profits

Denver and Seattle flagships

Store openings across the country Failed opening in Japan

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+Strafe, An Overview

New startup

10 employees

No sales to report

Founded in 2010

CEO and Founder: John Gaston

+Strafe & Dynamic Business Change

Sponsors of skiers in the amateur level

Promoting at resorts

New interactive website

Ski blogs

+Product Differentiation

3 layer Gelanots Softshel jacket catered to backcountry skiing and snowboarding. Lightweight and functional design, and a longer, slimmer

cut keeps you comfortable and dry in any conditions.

Tech features and materials

Caters to advanced skiers

+Nomad

•Helmet compatible hood with 3-point adjustment•Removable powder skirt with snap system integration•18” pit vents•Mesh skin pockets•Wrist gaiters•Articulated storm cuffs

+Creativity & Innovation

Work environment

Team member connections

Flexibility

Growth

Sustainability

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