Do you think Jim Sinegal has been an effective CEO? What grades would you give him in leading the process of crafting and executing Costco’s strategy? What support can you offer for these grades? Refer to Figure 2.1 in Chapter 2 in developing your answers. 4.
Key factors promising a hopeful market environment - High-end world personal luxury industry performs well in economic uncertainty. - Key players have already invested to reduce cost and upgrade productivity. - Emerging markets strongly drive up overall expenditures on personal luxury. Key concerns over World Personal Luxury Industry - Intensified competition among key players. - Economic uncertainty and possible weak performance in key markets may overshadow the efforts made.
h. Assumes our product line is too narrow as is. Relevant Information: * Internal Environment: * Current objectives and strategy * Primary mission has been to reshape Burberry’s core brand attributes making them relevant today * Symbol of both luxury and durability (accessible luxury) * Considered one of the leading luxury brands in the world * 3 primary collections: womenswear, menswear, and accessories * Consistent brand image with a strong vision (British heritage and history of design innovation) * Building accessory business has been primary objective * Continuity products and fashion-oriented
Case study How Tommy Hilﬁger capitalizes on its most proﬁtable customers Authors Angelo Gelsumino is a partner in the Advisory Practice, Ernst & Young LLP, Netherlands and is the EMEIA customer lead Bob van der Beek is a senior manager in the Advisory Practice, Ernst & Young LLP, Netherlands Kasia Blicharz is a manager in the Advisory Practice, Ernst & Young LLP, Netherlands Tommy Hilﬁger case I Executive summary n today’s competitive global fashion market in which Tommy Hilﬁger operates, companies struggle with building sustainable and proﬁtable customer relationships. In this environment, segmentation becomes the key to effective customer proﬁtability management. It helps to optimize investments in product development, channel management and marketing communications. A fact-based segmentation establishes a method to select the most proﬁtable customers and with their underlying proﬁles helps to build targeted marketing strategies around them. This segmentation method enabled Tommy Hilﬁger to stimulate the change of its mindset from traditional productcentric thinking to a more customer-centric thinking.
Determine the CEO’s three (3) greatest strengths and three (3) greatest weaknesses. 6. Select the quality that you believe contributes most to this leader’s success. Support your reasoning. 7.
As these collaborations bring success, we may move forward with large designer names such as Carolina Herrera, Derek Lam, Vera Wang..etc. Forever 21 currently holds the position as the retailer of cheap product. The need for this improvement will have people taking Forever 21 as a serious fashion retailer that offers economically high fashion product, without the “cheap” factor. Reasons for this renovation - Gain new clients in all markets. Increase in quality of women and men’s apparel and market to clientele ages 25-45.
Assess Estée Lauder’s strategy for China. Does it make sense to focus on premium brands, or should the company launch a mass-market brand? The Estée Lauder is viewed as aspirational. Estée Lauder has done market research finding that the demand for luxury cosmetics is growing rapidly in China, especially targeting new cities such as tier-two and three cities. Chinese consumers are price sensitive but they are willing to invest in products that are relatively expensive because they are confident about the future.
What transfer pricing model is in the best interest of Global Investors, Inc.? 2. If management evaluation and compensation were the primary purpose of the transfer pricing system, how should the choice of the transfer pricing method be made? 3. How should Bob Mascola run the transfer pricing task force meeting that will include GI’s CEO?