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Objectives •Put the benchmarking of excellence within the company and outside. •Evaluate the quality standards and set rules for LVMH GROUP •Discipline the employees to achieve these standards in a short period. •Customer satisfaction is one singular aim. •The formulation and implementation of the market communication strategies. •The social activities that are visible to the public and it must be overseen and executed with great care LVMH donates a total some of 200 M euros to the fund dedicated to the restructures Notre-Deme de Paris II. Corporate Governance -The primary decision-making bodies of the LVMH group are the Board of Directors and the Executive Committee.
-The Board of Directors is made up of a maximum of eighteen members, selected based on their professional experience and qualifications, and according to diversity criteria such as balanced representation in terms of gender, nationality and age. At least one—third of its members are appointed from among prominent independent persons with no interests in the Company. Board of Directors: ORGANIZATION The priority objectives of the Board of Directors, the strategic body of LVMH, are to increase the value of the company and defend its social interest. Its principal missions are to adopt the major strategies of the company and the Group, monitor the implementation of those strategies, verify the fair and accurate presentation of information about the company and the Group, and protect its corporate assets. EXECUTIVE COMMITTEE: The Executive Committee, comprised of executive, operational and functional directors, defines strategic objectives on the basis of the orientations decided by the Board of Directors, coordinates their implementation, ensures that the organization adapts to changes in the business environment, and oversees both the definition and the accomplishment of the responsibilities and delegations of authority of Executive Management.
Stock of LVMH Moet Hennessy Louis Vuitton SE (LVMH.PA):
The stock price history CAPITAL STRUCTURE
III. External Environment: Opportunities and Threats (SWOT)Macro-Environmental Analysis -Political Factors -Policies, business rules and regulations affect the luxury industry. International policies such as Anti-Counterfeiting Trade Agreement (ACTA) have been developed to -harmonize anti-counterfeiting legislation around the world. However, some policies in its major markets such as UK and China have had negative impact on the industry such as the 2009 UK’s increase in value added tax by 2.5%-decreased disposable income and thus decreased spending on luxury products. China ban on sales of luxury goods affects LVMH negatively especially following the Crackdown on Corruption and Government Spending -The process of Brexit from the European Union, European firms that do a lot of business with the U.K. are preparing for the worst. Their frenzied activity reflects the growing likelihood that Britain will drop out of the European Union without a deal on March 29, resulting in higher import duties and border delays.