New entrants could easily enter the market by offering a similar wide size range, but establishing brand loyalty and unique designs can be a barrier.
Risk: moderate
Power of Suppliers
Low risk as size range is a product attribute that does not depend on suppliers but on the brand's own offering strategy.
Risk: low
Power of Buyers
Buyers have high power as they can choose from other brands offering plus-size options, making it crucial for Karelle's to maintain quality and design uniqueness.
Risk: high
Threat of Substitutes
Substitutes are available in the form of other brands offering plus-size clothing, but Karelle's unique designs help mitigate this threat.
Risk: moderate
Competitive Rivalry
High rivalry due to numerous competitors targeting plus-size markets, although few offer the same size inclusivity as Karelle's.
Risk: high
Unique Designs with Co-owner Involvement
New Entrants
Unique designs and co-owner involvement create a strong brand identity that is difficult for new entrants to replicate quickly.
Risk: low
Power of Suppliers
Suppliers have low power as unique designs are internally driven by Karelle's own team, reducing dependency on external design resources.
Risk: moderate
Power of Buyers
Medium power since buyers seeking unique designs may find fewer alternatives, but they can still switch if designs don't meet their expectations.
Risk: moderate
Threat of Substitutes
Substitutes exist in the form of other unique design offerings, but the personal touch by the co-owner offers differentiation.
Risk: moderate
Competitive Rivalry
High rivalry as many competitors focus on unique designs, but Karelle's involvement of co-owners in design is a differentiating factor.
Risk: high
Local Production in Ukraine
New Entrants
Setting up local production is a significant barrier for new entrants, providing Karelle's with a competitive edge in terms of supporting local industries.
Risk: low
Power of Suppliers
High power as local production may rely on specific suppliers, and disruptions could impact production significantly.
Risk: high
Power of Buyers
Medium power since buyers may value products made in Ukraine, reducing their inclination to switch to products without local production stories.
Risk: moderate
Threat of Substitutes
Substitutes from brands with similar ethical production stories exist, but Karelle's local focus distinguishes it.
Risk: moderate
Competitive Rivalry
Medium rivalry as few competitors produce locally, providing Karelle's a niche market advantage.
Risk: moderate
