External Analysis
Why does high inflation (11.1%) hurt Dr. Martens more than cost-leadership brands?
A. Their products are seasonal
B. Consumers cut discretionary spending → premium brands are hit harder
C. Dr. Martens has no vegan line
D. Sneaker competition disappears during inflation
B. Consumers cut discretionary spending → premium brands are hit harder
How do collaborations (Supreme, Rick Owens) help Dr. Martens?
A. They fix logistics problems
B. They increase revenue/image (value capture) but don’t improve delivery
C. They lower production costs
D. They eliminate channel conflict
B. They increase revenue/image (value capture) but don’t improve delivery
What caused Dr. Martens’ value destruction despite strong differentiation?
A. Misaligned operations & channel strategy
B. Weak brand identity
C. Too much product diversification
D. Excessive marketing spending
A. Misaligned operations & channel strategy
Why is the threat of substitutes severe for Dr. Martens?
A. Boots are cheaper than sneakers
B. Sneakers make up 58% of global footwear, reflecting a shift toward comfort
C. Boots are more common in summer
D. Substitutes don’t exist for boots
B. Sneakers make up 58% of global footwear, reflecting a shift toward comfort
What creates channel conflict in Dr. Martens’ omnichannel model?
A. DTC stores are closed in many regions
B. Wholesale offers higher margins than DTC
C. DTC gives higher margins but wholesale gives broader reach → conflicting priorities
D. Customers prefer buying only online
C. DTC gives higher margins but wholesale gives broader reach → conflicting priorities
Why did wholesale partners weaken Dr. Martens’ differentiation strategy?
A. Wholesale stores are smaller
B. Wholesale forces brands into cost leadership
C. Wholesale always charges higher prices
D. Wholesale reduces brand control and customer experience
D. Wholesale reduces brand control and customer experience
How does the rise of vegan & ethical trends (+36%) help and challenge the brand?
Helps the vegan line grow, but increases scrutiny on leather sourcing & sustainability expectations.
What changes when Dr. Martens shifts from Channel-First to Consumer-First?
Major transformation in Customer Segments, Channels, Customer Relationships, and Value Delivery.
Despite premium pricing, what caused the decline in the Americas?
–21% revenue drop driven by inventory issues, operational problems, and poor distribution management.
Why does increased buyer price sensitivity amplify economic threats?
Consumers trade down to cheaper options → premium boots become less competitive during downturns.
Which Business Model Canvas block was the biggest weakness in FY25?
Customer Segment targeting a narrow, niche audience limited growth scalability.
What does the –10% revenue drop reveal about heritage brands?
Even strong brands remain vulnerable when facing operational inefficiencies and external market pressures.
How does reduced discretionary spending interact with Porter’s Buyer Power to worsen performance?
Higher sensitivity + economic pressure shifts demand to lower-priced brands, weakening Dr. Martens’ premium positioning.
Why did Brexit act as both a political threat (PESTEL) and a supplier-power issue (Porter)?
Border delays + rising costs increased supplier leverage, while also creating political and operational uncertainty.
How does a product-focused business model limit scalability in volatile markets?
Heavy dependence on a few flagship products → low diversification, making the brand vulnerable when demand drops.