The purpose of this essay is to investigate the measure of organizational development and measure of awareness as applied to executives of public and private company.This essay is to evaluate the organizational behaviour issues that are faced by Bulgari, the Italian luxury brand is known for its glamorous gemstone jewelry, luxury watches, perfumes and leather goods.The objective of the research is the analysis of Bulgari’s organizational behavior, by diagnosing the main afflicted issues within the organization and by recommendation potential actions to undertake.
In the final section, we will evaluate the acquisition of Bulgari by LVMH--Moet Hennessy--Louis Vitton and discuss the organizational structure change of Bulgari’s, analysis …show more content…
Before the merger with Louis Vuitton Moet Hennessy, was 51% owned by the Bulgari family, the rest parts was floating. Bulgari was marked by a industrialization development, particularly in jewelry but also on leather goods in the last decade. In 2011, the largest luxury goods company Louis Vuitton Moet Hennessy purchased the Bulgari family’s 50.4% stake for 1.87 billion euros in stock. After the merger, Bulgari Chief Executive Officer Francesco Trapani joined Louis Vuitton Moet Hennessy’s executive committee as head of watches and jewelry, and then Bulgari family became the second largest family shareholder of the Louis Vuitton Moet Hennessy Group. Following the merger, Louis Vuitton Moet Hennessy will consolidate its position on this segment, by almost duplicating its sales level on watches and jewelry.In addition, by being part of a conglomerate, Bulgari will improve its exposure to the Asia Market, Additionally, the company will also profit from Louis Vuitton Moet Hennessy expertise. Moreover, the companies have some common segment that even if bringing added value to the deal are considered …show more content…
Bulgari could provide strong support for Louis Vuitton Moet Hennessy Group to grab emerging market. Bulgari’s product has established the market abroad and held a place in emerging market. Bulgari entered the Chinese market in 2003 and captured the large market share rapidly, the selling condition ranked fourth in 2011. Bulgari owns a positive market foundation in the Chinese market that will assist LVMH to capture Chinese luxury market, especially the rapid growth of the watch and jewelry business, and as a fulcrum, leveraging the Group's overall business, and to this effect to enlarge the global competition with other luxury brands in.At the same time, LVMH offer Bulgari more selling distributions and channels.On the other hand, in combination with Louis Vuitton Moet Hennessy Group greatly enhanced Bulgari’s watch and jewelry business, significantly improved its cosmetics and perfume