Chanel : A Fashion House Essay

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Home of the best-selling fragrance in the world and worth an estimate of $1.5 billion, Chanel is a fashion house that begun in Paris, France by the infamous CoCo Chanel. Chanel is a brand that rose to its success with the launch of the perfume Chanel No. 5. Since the success of the fragrance, Chanel has begun to capitalize on offerings which include luxury goods, ready-to-wear clothing, handbags, perfumery, and cosmetics. Chanel is now a global fashion house that operates in The United States, United Kingdom, France, Asia, Australia, and New Zealand. With cosmetics being the youngest addition to Chanel’s long list of product lines, approximately 40% of the company 's revenue is generated from the combination of the Cosmetics and Fragrance division of the brand. The now owner, Alain Wertheimer, insists Chanel remains a private company, and focuses on the long-term investment aiming at growth and not at quick returns. Chanel staying private also drives the exclusivity of the brand, for the company cannot be burdened with any outside shareholders. Chanel’s makeup products began in the 1920’s with the creation of the first lipstick to satisfy Coco Chanel’s own needs. Important to realize, brand positioning is a key aspect of any company’s success. Chanel positions their brand by creating a distinct brand image, differentiating their product line, and value-basing their goods. The positioning throughout all of Chanel’s products lines (i.e. leather goods and ready-to-wear) are

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