| Gap Inc. is a leading international clothing | | | | inspirational design. |
| retailer offering attire, accessories and | | | | |
| personal care products for men, women, | | | | Gap's competitors for apparel, accessories, |
| children and babies. They produce under | | | | and personal care products are such famous |
| brands such as Gap, Banana Republic and Old | | | | American brands as Abercrombie & Fitch, |
| Navy. Also Gap brand includes Gap, GapKids, | | | | American Eagle Outfitters, DKNY, Polo Ralph |
| babyGap, GapBody and Gap Outlet. They have | | | | Lauren, and Tommy Hilfiger. Those companies |
| their headquarters in the San Francisco Bay | | | | are manufacturing similar products, although |
| Area, the product development offices are | | | | they are targeting a slightly different |
| located in New York City, while distribution | | | | customer market. Gap however has to take a |
| operations and offices dealing with sourcing | | | | lot of effort to stay aloof among them with |
| activities can be found around the globe. | | | | pricing policies, quality and design in order |
| | | | to retain their customers and try to gain new |
| Gap Inc. has created a "Code of business | | | | ones. The external threat from the new |
| conduct" in which essential issues of | | | | entries is a minor one because of number of |
| conducting a business, employees' behaviors | | | | reasons. The clothing/accessories market is |
| and corporate culture are outlined. It | | | | quite difficult to enter, and it takes time |
| contains the letter to employees which states | | | | to establish a brand name and gain customer |
| the main principles that operate in Gap Inc. | | | | loyalty and trust, so in this instance Gap is |
| The company was originally founded and to | | | | almost safe at least for some time. |
| this day is maintaining the principle of | | | | |
| conducting business in a responsible, honest | | | | Gap Inc. has stores around the globe and |
| and ethical manner. Currently Gap Inc. | | | | naturally employs people from many foreign |
| remains committed to setting and meeting the | | | | countries. While manufacturing and |
| highest standards of business conduct, | | | | distributing its products, Gap Inc.'s |
| because for them nothing less will do. They | | | | Sourcing and Logistics group, along with |
| also make such commitments to their | | | | their buying agents, draw up production |
| shareholders, neighbors, customers and one | | | | schedules and place orders with approved |
| another not only because it is a legal duty, | | | | third-party factories. This process takes |
| but because it's the proper thing to do. The | | | | place in more than 50 countries where Gap |
| company claims that their reputation depends | | | | products are made. Clearly Gap involves many |
| on the integrity and excellence in everything | | | | intermediaries in making its product, |
| they do. Clearly such statements shape | | | | designating much power and responsibilities |
| company's overall vision of how they operate | | | | to the factories and suppliers. It purchases |
| and what they expect from their employees. | | | | from more than 1,000 vendors in 3,600 |
| This code was designed to promote an ethical | | | | factories in more than 50 countries and |
| work environment, with all the necessary | | | | approximately 13 percent of its products is |
| issues descried in it such as reporting the | | | | sourced from China alone. The company also |
| violations, responsibilities, laws that apply | | | | has a comprehensive and publicly available |
| to different countries in which the company | | | | Code of Vendor Conduct and has instituted |
| operates. | | | | excellent internal monitoring programs with |
| | | | vendor compliance officers. Gap company was |
| Gap Inc. was founded in 1969 by Donald and | | | | the first U.S. apparel manufacturer that |
| Doris Fisher in San Francisco, California. | | | | developed an independent monitoring program |
| When they started there was only one store | | | | by agreeing to let representatives of local |
| and a couple of employees. Today, they are | | | | nongovernmental groups monitor its supplier |
| one of the world's largest specialty | | | | factories in El Salvador. Gap also supports |
| retailers, with fiscal 2004 revenues of $16.3 | | | | human rights initiatives through its supplier |
| billion. They are producing and selling | | | | education programs and a number of other |
| clothes to men, women, kids and babies all | | | | projects and is a participant in the UN |
| over the world. Such brands as Gap and Banana | | | | Global Compact. Social responsibility for Gap |
| Republic are aimed at customers with higher | | | | Inc. is a big concern and it engages in many |
| incomes who are willing to buy high quality | | | | practices to help solve environmental |
| clothes, although it is not priced too high. | | | | problems. It has number of helpful |
| Old Navy brand was created to fit the niche | | | | environmental projects, including a unique, |
| of customers such as families willing to have | | | | environmentally efficient designed building |
| good looking and quality attire, but pay less | | | | at its headquarters. Their programs |
| for it. Many people shopping at Gap are | | | | incorporate recycling initiatives for stores, |
| customers in Old Navy as well, because the | | | | use of wood from certified-sustainable |
| company's signature in making clothes can be | | | | forests for the flooring at its stores, as |
| easily traced. In recent years the company | | | | well as energy efficiency in lighting. |
| has began production of colognes and other | | | | Company's considerations with environmental |
| toiletries which are suitable for different | | | | issues are also addressed in store design and |
| seasonal collections and can be matched with | | | | construction; Gap Inc. also does not conduct |
| certain clothes. Thus Gap stores, offer a | | | | or endorse animal testing on its products. |
| full range of products from underwear and | | | | |
| perfumes to sports apparel and winter | | | | Company's internal policies are accordingly |
| clothes. | | | | well designed and suited to meet their |
| | | | employees' expectations. It offers paid |
| As already was mentioned the Gap Inc. | | | | volunteer time for headquarters employees, |
| customers are successful people who are | | | | and ensures full medical and dental benefits |
| looking for high quality and reasonable | | | | for domestic partners, as well as a various |
| prices. With Old Navy brand it is more of a | | | | family-oriented benefits. Throughout the |
| younger audience with less income to spend, | | | | company women hold a considerable number of |
| Gap itself aims at middle class buyers | | | | management positions, including the two women |
| wanting a stylish look and excellent customer | | | | who are among the company's top eight |
| service treatment. Banana Republic brand is | | | | executives; there are also four women on the |
| the most expensive and the most chic one out | | | | 15-member board of directors. Among programs |
| of all presented by Gap Inc. People shopping | | | | supported by Gap are those focusing on |
| at Banana Republic are looking for latest | | | | helping unappreciated youth, with an emphasis |
| styles, comfort and still reasonable prices | | | | on academic achievement. Health and human |
| for the quality they receive. Generally | | | | services, including HIV/AIDS prevention and |
| company's customers are young and middle aged | | | | education, community services and the arts |
| people eager to try something new every | | | | are areas of company's interest and |
| season, enthusiastic about color and | | | | sponsorship. |