Shopbop.com, a subsidiary of Amazon, is a US-based online retailer who specializes in contemporary and luxury women's clothing and accessories. Since its launch in 2000 as a modestly sized online boutique specializing in hard-to-find denim lines in Madison, WI, Shopbop has grown to become one of the leading fashion retailers in the world.
Curated with a chic, modern woman in mind, Shopbop offers a comprehensive collection of designer apparel and accessories to suit every style and occasion. In 2006, BOP LLC was acquired by Amazon.com, Inc., the world's largest internet retailer, enabling Shopbop to expand its services to enhance the customer experience.
Shopbop engaged a team of Nicholas Center students to give a recommendation on the best way to gain access to high-end designer supplier contracts through acquisition of online boutiques or through the hiring of additional top-tier buyers. The Nicholas Center team assessed the size and competitive landscape of the high-end, designer clothing market and developed a methodology for identifying and valuing potential acquisition targets.
The team then presented a recommendation to Shopbop comparing the buy (acquisition of online boutiques) vs. build (hiring of additional buyers) scenarios.