On May 12, 2016, the founder and development manager of Democrata, was considering the future of his clothing store, in light of an increase in visitors to the area from different regions of Lebanon. Democrata was a clothing and apparel store founded in 1974, providing the latest fashion trends to both women and men. It offered major brands and basic casual and formal wear at competitive prices for customers in all income ranges. With success and affordable prices in northern Lebanon, Democrata grew to attract customers from all over the country. The idea of growth had always interested the development manager, who was seeking the best way to generate organic growth in the business. However, he had to consider the challenges facing the apparel industry. What were Democrata’s competitive advantages? How strong was its financial position? What growth strategy would be right for Democrata?
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