ICW Jordann - To Dr Frank Jiang COMM 4351 From Jordann Kaye...

To: Dr. Frank Jiang, COMM 4351
From: Jordann Kaye, B00482374
Case: Levi’s Personal Pair Proposal
Date: October 25 th , 2010
Issues:
Levi Strauss must make a very important strategic decision in the future. The issue that
must be decided is how to best continue with their current competitive strategy and
maintain their position as the largest source of blue jeans in the world. Levi Strauss has
built their organization on the concept of a premium jean for a premium price, and this
strategy has served them well in the past. The company cannot ignore market trend shifts,
however, and the trend toward mass customization for low prices is too powerful to
ignore.
Levi Strauss must decide whether to continue making premium jeans, or to join the ranks
other denim companies such as Wrangler in a low cost price war for market share. The
company has at least some reason to change their winning strategy: growth has slowed in
recent years, with a most concerning drop in the last year of 35 percent.