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only low in revenues but also in profits too while wine and spirits are good in margin despite having low sales. It is not wise and doesn’t make sense to compete in all of the current segments but one factor which is due to new markets like Asia where people are buying watches and jewelry if its associated with LV.-Out of its Wine and Spirits, Fashion and Leather Goods, Perfumes and Cosmetics, Watches and Jewelry, Selective Retailing, and Other we think that fashion and Leather goods is most important for LVMH’s future growth and profitability as we can see that LV is very much strong in that area. Vuitton brings a machine-like discipline to the selling of fancy leather goods and fashion. It is the only leather-goods firm which never puts its products on sale at a discount. It destroys stock instead, keeping a close eye on the proportion it ends up scrapping.- Unlike most other luxury makers, Vuitton never gives licenses to outside firms, to avoid brand degradation. Its factories use techniques from other industries, notably car making, to push costs down ruthlessly and to allow teams of workers to be switched from one product to another as demand dictates. It has adopted methods of quality control, too: one quality supervisor came from Valeo, a French auto-parts supplier. The result is long-lasting utility, beyond show, which is valuable in difficult times.- we can say that it enjoys its brand position in this segments due to its own manufacturing and innovativeideas and very active participation in the fashion and other relevant events.Yes, watches and jewelry is the segment which is lower revenues and lower margins. In this segment things are changing rapidly specially in watches where techniques becoming more important day by day. There are so many competitors in the markets apart from global to local that it becomes very difficult to penetrate in the growing market like Asia and others. Also for traditional upper class there are many brands like Tag huer among others which make sense for them to choose one over LV products. Its like watches of Tag, Suit of Armani, shoes of Jimmy choo and Bag or leather jacket of LV. One thing which