4da9a3a7-02f4-4f9a-b2c7-243bee18bf2e

4da9a3a7-02f4-4f9a-b2c7-243bee18bf2e - Strategic Management...

Info icon This preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Strategic Management – Gucci Case Analysis 1 Strategic Management – GUCCI CASE ANALYSIS by RKC MBA Student Presented to Prof. David Duffill Strategic Management Robert Kennedy College, University of Wales October 24, 2010 Word count: 4221
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Strategic Management – Gucci Case Analysis 2 Table of content 1.EXECUTIVE SUMMARY ......................................................................................................................... 4 2. LUXURY GOODS MARKET OVERVIEW & COMPETITIVE POSITIONING ............................ 5 2.1 L UXURY G OODS M ARKET – K EY SUCCESS F ACTORS ...................................................................................... 5 2.2 L UXURY G OODS M ARKET – C OMPETITIVE P OSITION M APPING ........................................................................ 6 3.1 G UCCI IN 1990 .......................................................................................................................................... 9 3.2 G UCCI IN 1994 .......................................................................................................................................... 9 3.3 G UCCI IN 2000 ........................................................................................................................................ 10 3.4 C RITICAL M OVES THAT REPOSITIONED G UCCI ............................................................................................... 11 4. GUCCI’S LATEST STRATEGIC MOVES .......................................................................................... 13 4.1 A NALYZING G UCCI S MOVE USING O HMAE S S TRATEGIC T RIANGLE ................................................................ 13 4.2 A NALYZING G UCCI S MOVE USING P ORTER S G ENERIC S TRATEGIES ................................................................ 13 4.3 A NALYZING G UCCI S MOVE USING A NSOFF S C ORPORATE S TRATEGY .................................................................................................................................................................... 14 5. RECOMMENDED MOVE FORWARD STRATEGY ......................................................................... 15 5.1 S TRATEGIC I NTENT ................................................................................................................................... 15 5.2 S TRATEGIC A SSESSMENT ........................................................................................................................... 15 5.3 P ROPOSED G UCCI S S TRATEGY GOING FORWARD ........................................................................................... 16 5.3.1 Recommendations for Strategic Intent ......................................................................................... 16 5.3.2 Recommended Strategic Actions .................................................................................................. 16 6. CONCLUSION ......................................................................................................................................... 18 Exhibits FIGURE 1: SALES & OPERATING MARGIN IN 1999 – SOURCE: HBS CASE 9-701-037 .............. 5 FIGURE 2: SPREAD OF LUXURY PRODUCTS – SOURCE: HBS CASE 9-701-037 ......................... 6 FIGURE 3: LUXURY COMPANY POSITIONING MATRIX ................................................................. 6 FIGURE 4: LUXURY COMPANY COMPETITIVE ASSESSMENT ..................................................... 8 FIGURE 5: GUCCI IN 1990 – STRENGTH, WEAKNESS, OPPORTUNITY & THREAT (SWOT) ANALYSIS ...................................................................................................................................................... 9 FIGURE 6: GUCCI IN 1994 - SWOT ANALYSIS ................................................................................... 10 FIGURE 7: GUCCI IN 2000 - SWOT ANALYSIS ................................................................................... 11 FIGURE 8: OHMAE'S 3C MODEL ........................................................................................................... 13 FIGURE 9: PORTER'S COMPETITIVE ADVANTAGE (SOURCE: STRATEGIC MANAGEMENT, 2000. PG143) ................................................................................................................. 14 FIGURE 10: ANSOFF'S CORPORATE STRATEGY (SOURCE: STRATEGIC MANAGEMENT, 2000. PG 137) ................................................................................................................................................ 14 FIGURE 11: STRATEGIC ASSESSMENT FRAMEWORK. SOURCE: STRATEGIC MANAGEMENT, 2000. PG 83 .................................................................................................................... 15 FIGURE 12: PRODUCT VS BRAND MATRIX ..................................................... 16 FIGURE 13; PORTER'S FIVE FORCES .................................................................................................. 18
Image of page 2
Strategic Management – Gucci Case Analysis 3
Image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Strategic Management – Gucci Case Analysis 4 1. Executive Summary The year is 2000, Gucci Group is at a cross road and its strategic decision at this juncture will define the future of the world’s fourth largest US$1.2 billion luxury group 1 . Gucci is a 77 years old group, established in 1923 in Florence selling luggage imported from Germany. It has transformed itself over the last 77 years and moved from a family owned entity to a public listed company. After 77 years of its existence, it now sells a wide range of luxury goods starting from leather goods, fragrance, cosmetics, shoes, watches, apparel, jewelry, silk ties & scarves etc. More importantly, what started as a single product, single brand company that was focused on small leather goods has now transformed itself into a multi-brand, multi-product group with worldwide presence through its recent acquisitions of Sergio Rossi and Sanofi Beauté.
Image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern