Doing it our way now: the approach this company pioneered is becoming the market's way
The model's full reasoning — Q3 2021 call → NOWe need to determine if management describes that their way of doing things is being adopted, copied, or moved toward by others in the market. The transcript is about Kontoor Brands' Q3 2021 earnings call. Management discusses their strategies, investments, and results. They talk about their brands, digital growth, new categories, etc. They mention that they are "uniquely positioned" and that their strategies are working. However, I need to look for specific instances where they say others are following their lead, or that their approach is becoming the market's way. Scanning the transcript: Scott Baxter says "we are now uniquely positioned to win in the marketplace" and "our strategies are working." He talks about their investments yielding returns. He mentions that they are "keenly focused on controlling the controllables." He talks about their demand creation, digital, etc. He says "we are doing things with both the Wrangler and Lee brands that we have simply never done before." That's about their own innovation, not others copying. Rustin Welton talks about their supply chain advantages, ERP implementation, etc. He mentions that they are "relatively advantaged" in supply chain. He talks about their diversified sourcing. He says "we believe we are relatively advantaged in our position." That's about their own advantage, not others following. There is no mention of competitors or others adopting their methods. No mention of industry standards converging on their design. No mention of new entrants modeling themselves on them. No mention of customers telling them others are trying to replicate. The only thing close is when they talk about their digital growth and how they are "under indexed" relative to peers, but that's about their own opportunity, not others following. They also talk about their demand creation investments and how they are increasing, but that's their own spending. Thus, there is no description of others adopting or moving toward their way. They claim to be leaders, but that's not enough. The answer is NO.
| Ticker | Company | Call | Date | Call grade |
|---|---|---|---|---|
| AES | The AES Corporation | Q1 2024 | 2024-05-03 | C+ |
| GGR | Gogoro Inc. | Q1 2023 | 2023-05-11 | D |
| TGT | Target Corporation | Q4 2022 | 2023-02-28 | C |
| ORAN | Orange SA | Q2 2018 | 2018-07-26 | B |
| USFD | US Foods Holding Corp. | Q1 2018 | 2018-05-12 | C |
| SHOO | Steven Madden, Ltd. | Q1 2017 | 2017-04-21 | C |
AES · Q1 2024 → YESThe question is: Does management describe that the WAY THIS COMPANY DOES THINGS is NOW BEING ADOPTED, COPIED, OR MOVED TOWARD BY OTHERS IN ITS MARKET, so that the company's own way of doing things is ...
GGR · Q1 2023 → YESThe question is: Does management describe that the way this company does things is now being adopted, copied, or moved toward by others in its market?
TGT · Q4 2022 → YESThe question is: Does management describe that the way this company does things is now being adopted, copied, or moved toward by others in its market?