The world’s largest luxury commodity retail group, Louis Vuitton Moet Hennessy (LVMH) functions on the basis of four parameters viz
The detailed analysis shows that the firm cannot be beaten despite the tough competition and hence promises a bright future. Thus the report essentially points out the strategic position of the firm and its present and future prospects. The world’s largest luxury commodity retail group, Louis Vuitton Moet Hennessy (LVMH) functions on the basis of four parameters viz. its product line, the pattern of distribution, style of communicating its product offerings to a large number of consumers and its price points.
The luxury goods group renders greater impact on the first three activities for which the stress rendered by charging high prices gets mediated. Louis Vuitton had used its distribution and communication styles to lure huge groups of customers to its beautifully ordained stores spread along the region. Furthermore, the company spends a lot on advertising activities to create mass awareness of its products and shops. The price strategy followed by Louis Vuitton helps the company earn a huge margin of around 40 to 45 percent.
A comparison drawn on the revenue margins of other luxury brand companies reflects that Louis Vuitton stands far ahead in the race. The world-renowned luxury goods brand states that the maximum number of consumers belongs to the middle-level groups while the rich elites constitute only a niche segment. However, Louis Vuitton observes that owing to the event of recession the structure of consumer spending has countered a radical change. The consumers of the luxury goods retail chain who were not price-sensitive previously became highly aware of the changing economic situation.
This resulted in a huge drop in sales of such luxury commodities, which came to be observed as objects of lesser importance. Owing to the change in the market condition brought about by recession the company felt the need to redesign its products to focus on their basic usage parameters rather than making it gaudy. .
GET SOLUTION FOR THIS ASSIGNMENT, Get Impressive Scores in Your Class
TO BE RE-WRITTEN FROM THE SCRATCH
GET SOLUTION FOR THIS ASSIGNMENT
TO BE RE-WRITTEN FROM THE SCRATCH
- Original and non-plagiarized custom papers- Our writers develop their writing from scratch unless you request them to rewrite, edit or proofread your paper.
- Timely Delivery- primewritersbay.com believes in beating the deadlines that our customers have imposed because we understand how important it is.
- Customer satisfaction- Customer satisfaction. We have an outstanding customer care team that is always ready and willing to listen to you, collect your instructions and make sure that your custom writing needs are satisfied
- Confidential- It’s secure to place an order at primewritersbay.com We won’t reveal your private information to anyone else.
- Writing services provided by experts- Looking for expert essay writers, thesis and dissertation writers, personal statement writers, or writers to provide any other kind of custom writing service?
- Enjoy Please Note-You have come to the most reliable academic writing site that will sort all assignments that that you could be having. We write essays, research papers, term papers, research proposals. LO1 Identify, understand and critique the role and function of marketing within both “for-profit” and “not-for-profit” organisations
Get Professionally Written Papers From The Writing Experts
Comments
Post a Comment