Core Issue Identified:To create brand recognition for differentiation of Classic Knitwear’s products, hence improving gross margins.

Strategies for addressing the core issues:1. Launch new products under the brand name of Classic Knitwear.Pros: Would create a loyal customer base once there is sufficient unaided recognition of brandCons: Would require a lot of initial investment into brand building and proliferation Risky move, considering that market would be hesitant in trying a novel product

2. Launch new product by capitalizing on the brand image of an existing market player such as Guardian.

Pros: Would let Classic access new markets without the risk of rejection by marketCons: Would not create unaided recognition of Classic’s product in this process, the other brand

presence would overshadow Classic If Guardian breaks off the licensing agreement at any point in time, Classic would suffer

3. Launch a new product with a new brand image, along with an existing market player to create aided product recognition.

Pros: Classic can gain acceptance into market due to existing market presence of the other brand Allow Classic’s own brand to gain recognition and can enable launch of new products in

futureCons: If the launch does not go well, Classic would have to invest a lot in makeover

We would hence go for the following analysis: Product Decision Analysis

PRODUCT DECISION ANALYSIS

Product Attributes: Insect-repelling Available in variety of popular outdoor styles

Branding:Brand name-Option 3 - To counter the threat of Guardian breaking off and affecting the brand recognition of Classic, we propose to name the brand in a manner that retains customer loyalty for the product quality and attributes.Hence Guardian-Classic can be a proposed name.The positioning of this name can be done as –

A good quality comfort product With insect repelling EPA Category IV features For outdoor activity enthusiast