Analyze of Louis Vuitton Case Study Essay

866 Words May 18th, 2014 4 Pages
Overall strategy of LVMH LVMH’s website states the following as their missiom statement, “The mission of the LVHM group is to represent the most refined qualities of Western ‘Art de Vivre’ around the world. LVMH must continue to be synonymous with both elegance and creativity.Our products, and the cultural values they embody, blend tradition and innovation, and kindle dream and fantasy. “ In 1987, Racamier agreed to a merger with Moët Hennessy, a company that was much more larger than LV, to form the Moët Hennessy Louis Vuitton group. Bernanrd Arnault, ranked as the fourth richest man in the world ( by Forbes, 2007) , was invited to invest in LVMH by the company’s chairman, Henri Racamier. Investing through a joint …show more content…
Thanks to the development strategy of the brand and expanding international sales network, LVMH has had a strong dynamic since its creation in 1987. Likewise, LVMH is conducted through a series of actions which are carried out by the Environment. The group is also involved in cultural activities, humanitarian action, and provides support in the education of young artists and designers.

By taking a deeper view into priorities and following up the mission of LVMH group, ther are five priorities which are reflecting the fundamental values, also shared by all Group stakeholders:
1.Be creative and innovative
2. Aim for product excellence
3. Bolster the image of brands with passionate determination
4.Act as entrepreneurs
5.Strive to be best in all we do

Louis Vuitton Moët Hennessy’s corporate strategy is a conglomerate diversification with business lines in fashion and leather goods, watches and jewelry, perfumes, wines and spirits, retail stores and more. While in recent years conglomerates have not been able to to sustain high-level performance, LVMH has because its business are not so dissimilar that management logic and performance measures won’t stretch. LVMH’s competitive advantages are what set it apart from competition. One source of Louis Vuitton’s strategic capabilities is in its brand, names, reputation, and marketing

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