Swot Analysis Louis Vuitton

For years, Louis Vuitton enjoyed high profit margins from the luxury market in Japan until other competitors such as Prada and Gucci entered the market. Counterfeiting also became a threat to the firm’s brand by satisfying consumer demand at lower prices. Other external global environmental problems included highly priced products, limited availability in stores only, and a heavy dependency on the Japanese market (Pearce & Robinson, 2013, p. 14-18). Moreover, “the after-shocks of the global recession were a threat to Louis Vuitton’s luxury business in Japan”, and Japanese women became less interested in the brand’s products (Pearce & Robinson, 2013, p. 14-18). Alternatively, Louis Vuitton could “reinvent itself and regain what used to be its well-attested

Meanwhile, some consumers were also attracted by the counterfeit products, which have the same design and considerable quality. The situation of LV in Japan seems to be fierce, however, with effective solutions, LV can also seize the opportunity to sustain profitability in Japanese market rather than just survive. As it is stated in the case that Japanese consumers had been holding the desire for inexpensive luxury products from Louis Vuitton. Therefore, to solve this problem and attract more customers, LV should strive to make “inexpensive” products by increasing the value of products, lowering the costs and prices, and finally creating high value for the consumers. As the scandal of counterfeit sold on the websites in 2008 led to a decline in the sales of Louis Vuitton products, it can be viewed as a valued opportunity for Louis Vuitton to establish its own business online since it can both add selling channels and empower the company to fight with counterfeiting.

In the early fall September of 2014, I remember walking in this store that is one of the biggest names anyone can name which is Versace. Versace is a well-known Italian fashion company that you can see from well-known celebrities wearing down on the red carpet for award shows or down the streets of making an outfit statement. Going inside the store is golden which has a mix of vibrant color that you feel like a movie star while paparazzi flashing you drastically.

The consumption of luxury goods in China is mounting sharply. Not only those born to elite families, but also many common people are greedy for luxury brands (China, a Booming

in 2011, and their spending jumped by 13 percent. Compare this to single women, whose spending grew less than 2 percent, and the average Japanese consumer, whose spending dropped.5 Young men, it seems, saw the March 11 disaster as a good reason to live for the moment, and Japan’s luxury goods market appears to be a beneficiary. Finally, when we look at segmentation by income, Japanese who spend more than a million yen (about $12,000) a year on luxury goods are more than three times as likely to say they are switching to high-end brands than to low-end brands (Exhibit 3). Those who spend less than half as much are reporting the opposite.

The industry that Lululemen operates in is the Women`s Apparel industry which is a mature, large and fragmented market that has highly sensitive to the economic conditions and trends.

J. Crew started their journey in 1947 with the name of Popular Sales Club. J. Crew appeared in 1983 with the mailing of its first catalog. In 2003, Millard "Mickey" Drexler appointed as chairman and CEO at J. Crew, pushing service, quality and its innovation to the next level. J. Crew is a broadly perceived attire and adornments retailer that grasps and exclusive expectation of style, craftsmanship, quality, and client benefit. J. Crew is fully integrated multi-channel, multi-brand, specialty retailer. Most of the loyal followers were not satisfied with the new change, with numerous baffled that the organization had deserted its reliable customers who has been pulled in to its traditional styles. J. Crew went worldwide in August 2011, they

Advertising in today’s society plays a pivotal role in today’s consumer culture. With many different products out there, and variations on said products, advertising is a necessary element in selling a product. According to TIME magazine, there is a paradox built into fragrance advertising, as the seller has to persuade the consumer into buying a product whose function cannot be explicitly portrayed. More often than not, a company who are trying to sell a fragrance will use a familiar face to their audience. Actors and Actresses, as well as famed models, have been used in fragrance ads for decades. This still reigns true in today’s time. The ad I will be analyzing comes from the designer Gucci, in particular their “Guilty” line. This ad has

This behavior brings competitive advantages to the European luxury brands. Moreover, customers in different countries have different purchase behaviors. For instance, some countries’ customers are willing to move away from common recognized brand, because they want to purchase more exclusive products. Furthermore, because of the increasing speed of globalization, people are more likely willing to travel between different countries. These travelers will buy luxury good during their trips. In fact, Chinese tourists contributed over one third of sales in Europe. The luxury goods industry should notice to adjust the actual demand between local people and tourists in Europe

The overall sales of luxury goods in the year 2009 is expected to be more than US$150 billion and Asia contributes 10% to it. The concept of luxury is now not confined to only to Europe and US, the Asian subcontinent contributes majorly to it, with India and China as the newly emerging markets. Professor James Twitchell (2002) comments on the democratization of luxury and the changing consumer psychology These new customers for luxury are younger than clients of the old luxe used to be, they are far more numerous, they make their money far sooner, and they are far more flexible in financing and fickle in choice. They do not

Louis Vuitton Moet Hennessy, a luxury goods provider is looking to expand their brand dominance in Asia. In order to expand successfully LVMH must evaluate challenges that may arise and get in the way of their successful expansion. In the Asian market, LVMH must deal with political and cultural uncertainties, the threat of counterfeit products, and the increased cost of products in Asia compared to France.

Burberry Group plc (Burberry) is into the global luxury sector. It works in the designing, marketing and sourcing of outerwear, women’s wear, men’s wear, non-apparel and children’s wear categories. It distributes through a diversified network of retail, wholesale and licensing channels worldwide. The company operates its business in three ways by region, by product and by channel. Burberry distributes its products in Europe, Spain, Americas and Asia Pacific through retail and wholesale channels and with selective license arrangements. In addition, it licenses third parties to manufacture and distribute products using the Burberry trademarks. It categorizes

LVMH’s brand portfolio is a catalogue of the finest things money can buy. Arnault said, “A Star brand is timeless, modern, fast growing and highly profitable.”[iii] LVMH has positioned its brands strongly in the luxury segment offering more than 50 different brands under their five core competencies. LVMH has been successful through all of their various brands in their portfolio giving them each their independence and creativity. “LVMH is well known for leaving much operational and marketing freedom to the various brands it owns.”[iv] “LVMH has done an excellent job of brand positioning, says Ben Cavender, senior analyst at China Market Research Group. It has succeeded in securing the particularly enviable position of gaining a following among the top percentage of China’s wealthy. As the financial crisis stretches on, LVMH customers in China still have money to spend.[v] “LVMH’s brand imaging, which relies heavily on pushing its European heritage, is so successful that it has benefited other brands by proxy, says Paul French, one of the founders of Access Asia, a group dedicated to tracking regional consumer and marketing trends. “Everyone hangs on the coattails of Louis Vuitton’s brand imaging in China.”[vi]

Luxury product sales boost in the emerging marketing like China, which has extraordinary growth and strong potential consumers for the development of luxury goods in the China market. With gradually lower and lower increase of revenue in the European countries, Louis Vuitton (abridged as LV in the following sections) commits itself to set up more stores in China. However, LV is faced with the problems of declining profits in China, which urges it to adjust its entry strategy into the China market. In this case, this report will focus on distinguishing the factors that influence LV’s development in China and

Emerging markets- The 2 biggest emerging markets for luxury fashion products are China and India, which is a great opportunity for the brand to explore and