This website uses cookies to ensure you have the best experience. Learn more

Gucci Case Analysis

1625 words - 7 pages

CHAPTER IPROBLEM OVERVIEWCompany ProfileGucci is an Italian fashion and leather goods label. It was founded by Guccio Gucci (1881 - 1953) in Florence in 1921. Gucci is considered one of the most famous, prestigious, and easily recognizable fashion brands in the world.French HYPERLINK "" \l "cite_note-1" \o "" Gucci belongs to the conglomerate company Pinault-Printemps-Redoute (PPR). Gucci is the second biggest-selling fashion brand after Louis Vuitton-Moet Henessy (LVMH). Most importantly Gucci is the biggest-selling Italian brand in the world. Gucci operates about 425 stores worldwide and it wholesales its products through franchisees and upscale department stores.Problem OverviewGucci historyGucci pas dipegang Maurizio Gucci: byk masalah krn kemampuan manajerial minim. ex: Distribusi tdk lancer, Gucci pernah di plot jadi barang murahan, cash flow negative, cost terlalu tinggi.Maurizio diganti de sole: Gucci turnaround dari jelek ke bagusmelakukan: reorganisasi dan remarking the brand, masalah di atas tercover.Tahun 1999, Gucci ingin jadi multibrand group krn pengin expand business to reach profitable growth. akuisisi terbesar dan pertamanya adalah YSL. ternyata YSL justru gak bikin desain sendiri pas diakuisisi Gucci dan ternyata setelah itu YSL contribute loss.Gucci was formerly a family owned business in Italy. Inside that company, there was a lot of family problem that distracted its management. Maurizio Gucci was one of Gucci successor that runs the company. Under Maurizio control, Gucci's management deteriorated. Because Maurizio lack of management skill, he hired Domenico de Sole as consultant. Then, after Maurizio death, de Sole replaced his position.Under de Sole management, Gucci performance was better. De Sole immediately started work on reclaiming Gucci's image as a luxury brand, which had been cheapened in the 80s. In 1999, LVMH tried to acquire Gucci, but Gucci did several efforts to avoid this acquisition. Thus, LVMH was unsuccessfully acquiring Gucci, and Gucci had an agreement of alliance with PPR. After its alliance with PPR, Gucci acquire Sanofi Beauté , which it split into two companies: Yves Saint Laurent Couture and Yves Saint Laurent Beauté . But by the time Gucci acquired YSL, it was no longer designing its own ready to wear and many observers seen its haute couture as a recycled of old designs.Thus. Besides that, at that time the outlook of luxurious goods image is deteriorated. YSL beaute and couture contributing losses to Gucci after its acquisition.CHAPTER IIPROBLEM DEFINITION & DIAGNOSISProblem DefinitionMain ProblemDoes the acquisition made by Gucci bring more benefit than harm to the company?Problem DiagnosisMain ProblemThe fact that acquisition can break the company needs to be carefully considered by Gucci.Diagnosis:YSL bring more harm than benefit to Gucci.Symptoms:YSL Couture contribute its losses to Gucci after the acquisitionYSL Beaute didn't meet the the...

Find Another Essay On Gucci Case Analysis

Gucci - Global Luxury Goods The essay analysis Gucci as a global provider of luxury goods from a marketing point of view

2302 words - 9 pages image to its customers around the world. To uphold the consistency, Gucci has centralized marketing operations to Florence, which provides all creative material, and controls all aspects of marketing.The main marketing strategy of Gucci is "designed to maintain a high profile and consistent visibility". This involves constant marketing of its products and image, which keeps the company constantly discernible to customers and the fashion world

Value Chain at Louis Vuitton Essay

1097 words - 4 pages Competitive advantage at Louis Vuitton and GucciIntroduction to The case: Names first(2) This case explores the competitive advantage in the world of high fashion luxury goods. Does the advantage come only from the brand name or there are other advantages? Louis Vuitton and Gucci are brand names which are always associated with high fashion and are among the most successful international fashion houses.(3) The first part of the presentation

Finding Opportunities in Emerging Markets

1451 words - 6 pages conducting operations within such markets. This analysis will evaluate and compare the core resources and capabilities (R&C) of successful firms from both emerging multinational economies versus those within developed countries. This analysis will conclude with a role play of the potential ethical dilemmas leaders face, running a multinational firm within an emerging market. This role play will assume a new leader is faced with taking over

Financial Analysis of Matalan and House of Fraser

2501 words - 10 pages Investment Analysis Matalan & House of Fraser Introduction In this essay I would like to elaborate on the investment analysis of two companies, open a space of possibilities in discourse and practices in order to determine which of the two companies to invest in. The essay will commence with a brief overview of the two companies that are being considered. The latter part of the essay will explain and critique the financial

Eyeglass Online-Shop "Eye-Caramba"

2412 words - 10 pages Table of contents:Table of content: 2Prologue 3"Eye Caramba"-s description of products and services 5PRODUSCTS OF EYE CARAMBA 5Target group and market analysis 8THE TARGET GROUP 9THE POLITICAL AND LEGAL ENVIRONMENT 10THE ECONOMIC ENVIRONMENT 10THE SOCIAL ENVIRONMENT 11THE TECHNOLOGICAL ENVIRONMENT 11Industry structure and markets (Porters 5 Forces) 12INDUSTRY OF RIVALRY 12BARRIERS OF ENTRY 13SUBSTITUTE PRODUCTS 14BARGAINING POWER OF BUYERS AND

You are what you wear

1849 words - 8 pages the socio-economic circle. Fashion are not just simply concern as the clothing you wear, it is more about for a person to blend in the same pursuit or become one in a particular group of people. During the 8 lectures, I learnt a lot of information in the design area. The most impressive lecture is “Style and Popular taste” by Dene October. This essay follows a case-study design, with in-depth analysis of this lecture. Dene mentions about the

History of the American Department Stores

3420 words - 14 pages the poor performance of department stores is ongoing, there are multiple case studies available of prominent stores such as J.C. Penney and Sears which shows how struggling stores are coping and what strategies are being implemented in an attempt to effect change. The limitations in this area are in regards to primary research. Due to the fact that this thesis is focused on the American market, it is imperative that interviews take place with


3883 words - 16 pages practice approach to successfully launch marketing of the Exciting new products in Vietnam. Here are some of the issues will be discussed in the report on marketing new products in Vietnam:- Analysis of external and internal factor of Sunshine Vietnam.- Explain the various elements of the marketing concept.- Analysis the benefits and costs of a marketing orientation for Sunshine.- Identify and explain macro and micro environmental factors which

the computer and its uses

9654 words - 39 pages products. Sanyo is now reacting to 30 this demand for a snob alternative to the Burberry products made in its factories across Asia by opening a flagship store in 35 Tokyo's Ginza, where it sells Burberry products imported from Europe. In interviews with the FT, many executives say the top (40) luxury brands will continue to be seen, particularly in Asia, as European. Domenico De Sole of Gucci says: 'The Asian consumer 45 really does believe - whether

Marketing a Virgin trains

9030 words - 36 pages ........................................................................................................... 23.2 Virgin Trains..................................................................................................... 23.3 Situation Analysis............................................................................................ 24 Market Research Plan............................................................ 25 Market Research

When the Bubble Burst

1539 words - 6 pages By the time I arrived state side from my second tour in the Middle East the housing bubble had already burst. I noticed a drastic change in the way that many of my friends and family were living. Several of my friends that worked in real estate had sold their boats and seconds houses. My own stock portfolio had lost a third of its value. My sister and her husband had defaulted on their home mortgage leaving them scrambling for a place to live. I

Similar Essays

Gucci Essay

753 words - 4 pages Starting from mid November to late March I prepare myself to endure a numbing sensation whenever I leave the comfort of my home. This numbing sensation of course is stemmed from our bitterly freezing winters that we get here every year in Montreal. And it is for those months where every morning I ask myself, why on earth do I live in a city with Artic like winters? A constant thought that passes through my mind while walking in this frigid

Gucci Essay

3723 words - 15 pages significantly, to render what was beyond human understanding into a form that the human mind could grasp. In order to accomplish his tasks, Hermes had to be conversant with the idioms of both gods and men. He makes manifest the divine thought, translates the infinite to the finite, the divine spirit into sensory phenomenon and therefore he denotes analysis, measure and particularity. On this issue, Ralph Madu says Hermes had to understand and

Gucci Products Essay

693 words - 3 pages GucciDon CarterGrand Canyon UniversityGucciIntroduction: Gucci is a retailer of luxurious fashion accessories from Italy. Gucci was founded by Guccio Gucci in 1921. (Gucci, 2010) Although Gucci is involved with many different markets such as automotive interiors, watches, scarves, etc. it is their line of leather goods which they are known for best. It is these leather goods such as shoes and handbags that will be the focus of this paper.When

Analysis Of Sara Gay Forden's The House Of Gucci

783 words - 3 pages Though some would judge a book filled with high fashion faux paus and captivating drama, as unworthy to be noted as a book of historical importance, The House of Gucci is an accounting of one of the greatest fashion houses of the 20th century. Sara Gay Forden, the author of The House of Gucci, places you on a roller coaster of highs and lows, births and deaths, divorces and marriages, and bankruptcy and capital power. She manages to integrate a