KappAhl is a leading Nordic fashion retailer with stores in Sweden, Norway, Finland and Poland. It has a distinct product concept—value-for-money fashion with wide consumer appeal—and a clearly defined target market focusing on women aged 30-50 who buy clothes for themselves and their families.

Like other large clothing chains in the Nordic region, it has been gaining market share at the expense of local chains, independent stores and department stores. Greater market share, store expansion and substantial improvements in efficiency have enabled KappAhl to achieve new records in sales and profitability. In 2006 the company beat another sales record and achieved its highest profit ever.

Following a financial turnaround and a refocusing of the business, KappAhl has found itself in a virtuous circle. Higher profits are paving the way to further store expansion while an increase in sales, in turn, is feeding into profits.

It is not surprising that KappAhl’s management is upbeat about the company’s prospects, and is confident that it can achieve its overriding objective—namely, to become the market leader and most profitable fashion chain in the Nordic countries for its chosen customer group.

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