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In October 2018, Calysta Bradshaw, the newly elected president of the Paul J. Hill Business Student Society (BSS), faced a challenging opportunity to dramatically improve the success of the BSS's apparel venture. Reviewing what had transpired during the previous year along with the current challenges and opportunities, she contemplated her vision and strategic direction for the coming year. She faced several decisions: Was it possible to dramatically improve the revenue from school apparel sales? Should the product line be branded under the Hill Business School logo or the BSS logo? What should be included in the clothing line? What strategy will be most likely to succeed? What resources and actions will be required to execute the strategy? Bradshaw thoughtfully considered a number of strategies that might lead to greater student engagement. Ultimately, she hoped to create a culture within the faculty in which successful graduates would become passionate alumni, offering ongoing engagement and financial support to the Hill School of Business. In particular, she wondered whether the business school apparel line could be a means for students to develop stronger connections to the school. The historic BSS business model with respect to the clothing line had generated some success; however, Bradshaw wondered whether the potential existed to achieve more. Bradshaw had a lot more questions than answers as she set to work. THE BUSINESS SCHOOL The Paul J. Hill School of Business was the undergraduate school within the Faculty of Business Administration at the University of Regina in Regina, Saskatchewan, Canada. The school was named after Dr. Paul J. Hill, who had given to it a generous gift. The Faculty of Business Administration also included the Kenneth Levene Graduate School of Business and the Centre for Management Development. The school was proud of its exclusive partnerships with a network of world-class institutions. It had a strong symbiotic relationship with business, government, and non-profit organizations, as well as its surrounding community. e vibrant and had grown to exceed 1,500 students by 2018 , approximately 20 per The school had become vibrant and had grown to exceed 1,500 students by 2018 , approximately 20 per cent of whom were international students. Creating opportunities for experiential learning was a key focus. Managing the BSS and, more specifically, the apparel line, was one of those opportunities. Bradshaw recognized that the apparel industry was mature, providing consumers with an abundance of competitive alternatives and fashion choices. Barriers to entry were low, and competitors were plentiful. Discounting and razor-thin margins were the norm. Styles were in continual flux. What was popular one year was often out of fashion the next, making inventory management a particular challenge. Advances in technology had opened access to the global shopping mall; this mall could be entered through one's personal smart phone. Classic brick-and-mortar stores were increasingly finding it difficult to compete with the prices, selections, and low-cost operating structures afforded to their online rivals. Even-long-term classic retailers, such as Sears and Macy's, were closing stores due to the shifting purchase habits of consumers. Bradshaw picked up her phone and quickly scanned a few fashion-forward digital boutiques (Conspiracy. Gubb \& Mackie, Genny, and Tom Ford). She then glanced over at her light summer jacket, which was draped over an adjacent chair. Not surprisingly, the label indicated that the jacket had been manufactured in China. Most apparel manufacturing now, it seemed to her, occurred in Asis. High manufacturing capacity counterpointed with improved quality and low wage inputs made it difficult for North American and European factories to compete but for the more exclusive haute couture. Yet, a small number of North American manufacturers remained, specializing in low custom orders but at comparably high wholesale prices. From her cursory Google searches of the industry, Bradshaw discovered that most apparel brands did not have their own manufacturing facilities; rather, they contracted their manufacturing out. Phillips-Van Heursen was an example of a brand that employed this practice. Bradshaw also noted that celebrities could strengthen the desirability of an apparel brand. Mary-Kate and Ashley, Mark Jacobs, Nicole Richie, Dolce and Gabbana, and Stella McCartney did exceptionally well with their product lines-tying in cache with name recognition. Customers of apparel had endless options in terms of price, quality, and selection. The industry was mature. Shoppers were accustomed to purchasing at deep discounts and expecting generous return policies. Young and educated consumers, epitomized by business students, were increasingly shopping online. And, beyond purchasing elothine for fashion. discerning youne business students had a plethora of substitutes on which Customers of apparel had endless options in terms of price, quality, and selection. The industry was mature. Shoppers were accustomed to purchasing at deep discounts and expecting generous return policies, Young and educated consumers, epitomized by business students, were increasingly shopping online. And, beyond purchasing clothing for fashion, discerning young business students had a plethora of substitutes on which they could spend their discretionary dollars. Deep discounting was the classic maneuver used to attract customers, furn dated inventory into cash, and cover month-end payables. There had been some nano-tech innovations in fabrics. The most competitive edge in the industry seemed to lie in distinct branding, low-cost structures, and niche product categories. If a brand succeeded in achieving a "must have" status, economies of scale and tall margins were a result. A substantive portion of profits were then reinvested into image making, often with celebrity endorsement, thus further elevating the brand's persona and visibility to the target clientele. Top retailers competed to carry prestigious brands in their stores. Brand mavens could then demand preferred space in retail boutiques to showcase their products. They could also demand volume retailer purchases in product depth and breadth. If retailers held an edge on supply chain power, they typically negotiated aggressively to drive down manufacturer wholesale costs and demand more favourable payment terms and end-of-season return policies on unsold inventory. This was ustally the reality for brands that had not yet attained cult status. THE BUSINESS SCHOOL APPAREL MARKET As Bradshaw thought further about the challenging apparel industry, she realized that many students purchase primarily for utility, while others buy for style or brand cache. Utility shoppers made their purchase decisions based first on price, followed by quality, fit, shopping convenience, and design. Business students experiencing financial pressure were often inclined to take a price-sensitive, utilitarian approach when purchasing apparel. Some utility shoppers were simply not fashion-conscious. For them, a hoodie that was inexpensive yet durable and sufficiently warm to take a brisk stroll through the park in October or November was optimal. At the other end of the spectrum, some business students had more money to spend on clothing. If they were motivated by fashion and brand cache, they could afford to spend more on apparel. Bradshaw considered herself a fashionista and thought about favourite brands that she and some of her friends woreSeven for all Mankind, Citizens of Humanity, Michael Kors, and Diesel, among others. Her sense was that business students were more fashion-conscious than other students at the university. She also wondered whether marketing students tended to be more image-focused than colleagues in other business majors, though this was speculation. She had no hard data. Bradshaw's best guess was that most local Hill students came from middle to upper-middle income backgrounds. Her assumption was that they could and would purchase from the apparel line if the right products were made available. She was less certain of the economic backgrounds of foreign students' families. Foreign students' tuition costs were relatively high compared to what their Canadian counterparts paid. If tuition was paid in depreciating foreign currencies, it was particularly expensive. Bradshaw surmised that these students' discretionary purchases might be limited. Recalling an of repeated comment from one of her professors, something about "there is always a bell curve," Bradshaw guessed that most business students fell somewhere between the fwo spectrums. They desired somewhat fashionable clothes, but at an affordable price. THE BSS APPAREL BUSINESS MODEL Bradshaw's thoughts turned to the BSS Apparel Lime. It had operated as a niche micro-business since at least 2005 . Historically, members of the BSS executive team had directed and managed operations through THE BSS APPAREL BUSINESS MODEL Bradshaw's thoughts turned to the BSS Apparel Line. It had operated as a niche micro-business since at least 2005. Historically, members of the BSS executive team had directed and managed operations through an appointed lead. Most of the work had been executed by third- and fourth-year business student volunteers. There were many demands on their time, especially that of the over-achievers; there were classes to attend, term papers to write, exams to study for, co-op work-terms or part-time jobs, and other personal interests, such as sports and hobbies, in addition to time spent with family and friends. Most of the BSS executive team would turn over from year to year. This made it more difficult to retain knowledge and the continuity of operations with the apparel line. Bradshaw was aware that there had not even been a grand vision, a sorted out competitive strategy, or hard goals as to what was to be achieved. There seemed to be an underlying perception that selling branded apparel was something that business schools do. The BSS historically had a pricing policy of selling at just over cost, suggesting a not-for-profit cost recovery business model. Bradshaw again thought about the historic lack of a fine-tuned business model to drive the apparel line's success. Not surprisingly, financial records were weak during that time. The costs of cash-flowing the apparel line had come from BSS funds. As near as Bradshaw could piece things together, annual revenues had never exceeded a few thousand dollars. An estimated average selling price of CAS30 suggested that one hundred or so items had been sold-implying a very small uptake. Because products had been sold marginally above cost and were given some carry-over, there were no profits to speak of. Bradshaw wondered whether the apparel line could potentially succeed if it was run like a niche boutique online business

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