Some businesses I can completely relate to. Most businesses I understand,. But there are some that completely fox me .
Take the case of the quaintly named company, Lululemon. I was, of course, blissfully unaware of its existence until I read a news item that its CEO was leaving (polite term for being fired). Naturally, with a name like that, I couldn't but help read up. Apparently this Vancouver based company is in the business of "yoga inspired" athletic gear , whatever that means. They are fast growing , but reportedly had a product problem recently which led to the CEO's exit.
The "product problem" made further interesting reading, Apparently, their Luon range of black Yoga pants was getting too many customer complaints - the product was too sheer and ,er, "showed too much" ! A particularly sensitive topic when when doing yoga which involves stretching and contortions !! The outcry was so much that they had to pull the product from the shelves in March. The CEO stayed long enough to resupply the product, hopefully this time, not "showing too much", but then had to go.
What amazes me is that this company makes a margin of 50%, selling yoga pants and the like. Products include "Wunder Under pant" priced at $92
and "Om pant" also priced at $ 92
If you want more gems such as the above visit their website here.
What foxes me is this. Who on earth wants to pay $ 92 for a "Om pant". Do yoga by all means, but concentrate on , well, the yoga. Does it matter an iota whether your pant is "om" or "not om" ?? There are many places on earth to make a fashion statement, but I doubt if a yoga session is one of them .
I am a sports nut, as regular readers of this blog would know. I have spent an insane amount of money on sports. But for rackets, bats, balls and the like which help me to play better. Not for looking like an Adonis on court (well, that would be an impossibility anyway, but you get the drift ... ). I thought the purpose of getting on to a training room, or a sports field, is, er, to train or to play.
Yeah, I know lots of people who dress up for the evening walk. This is a disease that especially affects the female of the species. The sight of a Rajalakshmi - she of the ample proportions - trying to look fashionable while huffing and puffing at 1 kmph, I can assure you, is not a sight for the Gods. You can spot a true sportsman or sportswoman from a mile away - just from their dress. Although I admit, that Pete Sampras, one of the all time greats hit new lows in dressing, wearing what I can only describe as a Kachha which a Sardarji would be proud to wear as an underwear !
Even I would blanch at that !
But seriously, you can run a very successful business by peddling yoga pants at outrageous prices ! While being called Lululemon !!
Now , that's a business I can never understand :)