Therefore, in-depth understanding f case guidelines is very important. Order Qualifiers and Order Winners 5. Firstly, the introduction is written. These advantages of Japanese market will be discussed further in Question 3. Publication Date: October 15, 2010.
This paper will discuss opportunities and challenges that have been realized by the Louis Vuitton brand while located in Japan, and the specifics to the Japanese luxury market. Although these countries offer significant promise, access will come at the cost of fierce competition, potential of counterfeiting and international trade barriers. Publication Date: Oct 15, 2010. High pricing does not always prove about high quality of the item and brand name. Also, manipulating different data and combining with other information available will give a new insight. However, introduction should not be longer than 6-7 lines in a paragraph.
Task specification Read the real business situation analysis for Louis Vuitton below. Secondly, after identifying problems in the company, identify the most concerned and important problem that needed to be focused. What were the keys to a successful business model Louis Vuitton, in the Japanese market? As a consequence, establishing an average price was a strategic reaction to the external economic environment. What were the other entry strategies it adopted later to strengthen its presence? The production was completed through teamwork, and the employees were trained to be autonomous and multi-skilled so that the problems of the product could be found by the front-line workers and solved timely with their knowledge and experience. In recent decades, Japan was the most lucrative market Louis Vuitton, but it seems that the global economic crisis has led to a decrease in sales. For example, using Aquafina in substitution of tap water, Pepsi in alternative of Coca Cola. However, poor guide reading will lead to misunderstanding of case and failure of analyses.
Although these countries offer significant promise, access will come at the cost of fierce competition, potential of counterfeiting and international trade barriers. This allowed them to conduct business without a Japanese distributer. What have been the keys to Louis Vuitton's successful business model in the Japanese market? The brand is also opening stores in small towns, where temptation logo still works. However, with the involvement of number of international luxury brands in the country, the shape of the luxury market in India has undergone a dramatic transformation. The brand became famous for its exclusive leather bags and trunks. The New York Times, 03 Feb. References: Louis Vuitton Japan Lowering Prices.
In the last decade, Japan has been Louis Vuitton's most profitable market, but the global economic crisis has presented challenges. The Maharajahs have been very familiar with Louis Vuitton since the late 19th century. This relationship between the Maharajahs and the Louis Vuitton brand allowed the decision of entering the Indian market…. Over the years, Japanese consumers have shown enthusiasm and passion for the famous brand. The brand is also opening stores in small towns, where temptation logo still works.
Among the competitors are Rolex, Cartier, Gucci, Chanel, and Prada to name a few Table 1. Sorry, but copying text is forbidden on this website! Counterfeit bags were also offered to the customers. Facing a weak economy and a shift in consumer preferences, Louis Vuitton has its own unique strategy to adapt to the Japanese market. In essence, the Louis Vuitton difference is value, not price—this being absolute value, not relative value. What were the keys to a successful business model Louis Vuitton, in the Japanese market? They are constantly improving quality of the product to please the customer. Overall, the major luxury goods consumption countries have relatively stable political environment in recent years. It is better to start the introduction from any historical or social context.
These goods consist of wines and spirits, watches and jeweler, perfumes and cosmetics, and fashion and leather goods. Does a high-end brand have a market in a low income country? Economic: The major companies in this industry are based in Europe,. They became a brand synonymous with luxury, high class, high quality and a must have status symbol amongst the rich and famous. Providing intimate one-on-one experiences and offering brand-wide scale for off-the-shelf goods are two perks that lure consumers into their stores. These advantages of Japanese market will be discussed further in Question 3. Following the death of Louis Vuitton in 1892, his son, Georges Vuitton took over the leadership of the firm.
Step 10 - Critically Examine Louis Vuitton in Japan case study solution After refreshing your mind, read your case study solution critically. But the large … Is that this vintage or phony? This requires the luxury brands to add more value to the products as well as to lower the costs and charges. This value may create by increasing differentiation in existing product or decrease its price. Rare and valuable resources grant much competitive advantages to the firm. Consequently, the grey market can be formed in the countries which have high price differences.