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Timberland Case Study Example

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Chapter 4 Case Study: Timberland – From Bootmaker to Earthkeeper

Yuki Mae Masuda, MGMT 1120, A06

January 17, 2019

Dr. Richard Ford

Table of Contents

Chapter 4 Case Study: Timberland – From Bootmaker to Earthkeeper        3

CREST Analysis        3

Stakeholder        6

Innovation        6

Sustainability        7

References        9

Chapter 4 Case Study: Timberland – From Bootmaker to Earthkeeper

The Timberland Company is a well-known shoe company that not only create durable products, but also trendy and affordable. Timberland has become a part of the ongoing fashion trend in the past, and now the present. It has created many different fashion statements that are used in both the work force and day-to-day endeavors.

CREST Analysis

Economic Environment

To be able to keep growing and maintaining a successful business, Timberland must be able to identify conditions that will bring out the best in their product. When VF Corporation bought The Timberland Company, the previous owner of the company¬– Jeffrey Swartz is taking a risk in investing his family-owned company to a wealthy and successful corporation. Therefore, if the Timberland company did not succeed, to VF Corporation, it is merely just one business failed in comparison to their many other successful ones. Moreover, more economic conditions have affected their way in managing their business and finding a way to increase their profit. Terms such as, who are they going to target as their prime consumer? In Timberland’s case, they were able to fix that question by creating more products that attract different individuals.

Legal-Political Environment

        There are many ways that the legal-political condition can affect the way a Timberland manages its own business. With Timberland opening internationally, they must know the legal policies in each country they decide to reside a factory in. Many states have different systems that do not abide by Timberland’s Code of Ethics. Countries like China, who are still allowing child labor to be used in factories. This is something that Timberland must consider when they open productions in other countries. Some countries also ban the use of specific items or materials that could potentially be something necessary to make Timberland’s products. As a result, questions like “What are we able to produce in a specific country, without interfering with their legal policies?” For the company to expand their business and profit, they must be flexible concerning making their products without fluctuating the quality of their products.

Socio-Cultural Environment

        Aside from being known for the environmental efficiency use of materials, Timberland is also known for its socio-cultural advances in improving their business. For instance, “in 1986, Sidney Swartz (Nathan's son and Jeffrey's father) extended the Timberland Brand internationally and added clothing, accessories, and women's and children's shoes to the product lineup” (Schermerhorn; Wright; Bachrach, 2018, p.388). By creating a variety of products to attract different individuals, it will help boost profit making and increase demand for products. This can affect the socio-cultural environment, as it focuses on trends. Having a Belief system that focuses on the environment, work ethics and distribution of wealth, Timberland enables a "safety net" in cases of troubles with different challenges; such as, environmental factors. Nowadays, many individuals are buying an eco-friendlier product to help reduce carbon footprint. With Timberland having the belief of ecological sustainability, people will be more attracted to purchase products.

Technological Environment

        Technology has come far regarding many ways. There is a new development of transportation, communications, and media –such as an advertisement. Part of running a business is considering the technologies a company would use. With the fast development of technology, Timberland must have knowledge of how to use it. Another issue with technology is the usage of online ordering. Many individuals are now using their technology to purchase items online. With that in mind, Timberland should take actions to create a plan on constructing a way to transport their products (shipping) and the framework of their online shopping website. An advertisement is another use of technology. Many companies use media as a mode of publication. For example, big companies like Adidas can use YouTube as a platform to showcase their product. Another example is Nike and Apple. They both partnered in the creation of a series of new Apple Watch, which became a popular demand targeting youth. This is an excellent example that Timberland should follow and take notes of. Expanding in a different mode of products can result in a high success.

Natural Environment

Natural environment holds an important role in running a business. Most materials used to create or produce products are taken from the natural environment. Therefore, it is essential that businesses are to maintain a sustainable approach in using the environmental resources. For Timberland, it is the biggest challenge that they are faced with. Timberland is well known for its Earthkeeping campaign. “Earthkeeping initiatives include using partially or wholly recycled materials in manufacturing, using reclaimed materials in retail stores, and giving employees 40 paid hours each year to volunteer in their community” (Schermerhorn, J. R., Jr., Wright, B., & Bachrach, D. G., 2018, p. 388). To be able to maintain that reputation, they must be able to efficiently use recycled materials in creating their products. For them to do so, they require to have machines that can effectively use all the materials with minimum waste. They must also look into their machines, knowing that these machines are ecofriendly and does not help with producing green house gasses.


        Stakeholders are an important aspect of a business. These individuals are the business’ customer, supplier, competitors, regulators, and owners. They are the ones that provide services, materials and the profit of the business. With that in mind, many stakeholders have needs that must be met. For Timberland’s business to thrive, they must be able to satisfy all of their stakeholder’s requirements. Timberland must be able to give the demands of the customers. They must be able to keep up with the trends, to able to make more profit. In regard to their suppliers, they must be able to provide them the service they need. As an example, giving them a portion of their profit for their suppliers to continue supplying them high-quality materials and standard materials that are abiding by their social responsibility. As for Timberland’s competitors, they must be able to respect one another’s business strategies. Without their competitors, Timberland will not be able to give any assurance to their customer that they are getting the high-quality products and services they deserve. All of these aspects must be met in order for Timberland’s business to continue in the future.



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