External & Global Environment of Louis Vuitton in Japan Case Study Analysis

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Unit 4 External & Global Environment of Louis Vuitton in Japan Case Study Analysis Kaplan University School of Business MT460 Management Policy and Strategy Author: Professor: Ernest Norris Date: June 9, 2014 External & Global Environment of Louis Vuitton in Japan Introduction This case study is on the external and global environment of Louis Vuitton (LV) in Japan. For many years, Japan has been Louis Vuitton’s most profitable market but the economic crisis has had a negative effect on sales; sales have declined in the past few years. According to Tokyo Fashion News in November of 2008, LV has “seen more than a 5% decline in sales in Japan so far this year” (para. 3). They…show more content…
Depending on the success of the marketing campaign in the smaller cities, the company should move to the larger cities where they have stores in order of population starting from smallest to largest. If these campaigns are successful, they could consider moving outside of Japan into China. Conclusion While Louis Vuitton is very popular in Japan, the decline in the economy has affected sales. Because there are so many other luxury stores in Japan, the company should focus on the larger, middle class segment of the population. By offering a lower priced, quality product the company could gain market share by attracting more customers from a larger population of people. Offering these products online opens the door for customers that do not live in an area where their stores are located. References Louis Vuitton Japan Lowering Prices. (2008, November 29). Tokyo Fashion News RSS. Retrieved June 9, 2014, from http://tokyofashion.com/louis-vuitton-japan- lowering-prices/ Chadha, R., & Husband, P. (2006, January 1). The Cult of the Luxury Brand: Inside Asia's Love Affair With Luxury. . Retrieved June 9, 2014, from

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