Swot Analysis Coaching

1565 Words 7 Pages
LASA 2—Company Analysis Report
Strategic Overview:
Coach, Inc. (COH) started out in 1941 as a family-owned business manufacturing handbags in a Manhattan workshop. In 1985, Coach was bought out by Sara Lee. In 2000, 19.5% of Coach’s outstanding shares were sold to investors and the company was listed on the New York Stock Exchange. In 2001, Sara Lee then sold the remaining Coach shares to existing shareholders via an exchange offer. Sara Lee has since split into two companies, one of which now forms part of Hillshire Brands (HSH). (Analysis of Coach Inc)
Business Level Strategy
Coach uses product differentiation as their business level strategy positioning itself as an ``accessible luxury brand``. Its defense against new entrants is that they
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Coach uses exporting, licensing, strategic alliances, and acquisitions as an entrance to the global trade.
Cooperative Strategies Coach takes advantage of cooperative strategic alliances with companies to help enter markets and overcome uncertainties. Coach benefits by taking advantage of its manufacturers core competency of manufacturing quality products at an inexpensive price. Coach has reduce their risk of entering markets by having joint ventures.
Marketing Strategy
Coach (COH) is one of America’s pioneering companies that offer luxury goods at an affordable cost. Although expensive, provide with luxury products. This strategy reaches the working class and the younger consumers
Organizational structure
Coach utilizes top-down management styles, allowing upper management to decidie on changes and lower management implementing the plan. Managers and workers empowered to act on their own judgment with self-directed work teams.
Analysis of the Supply Chain:
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Coach`s customers have a loyal connection with the brand due to its history, price, and quality. To keep their image relevant they spend a total of $245.2 million on advertising, marketing, and design costs, and specifically $89.2 million related to marketing and consumer communications.( Analysis of Coach Inc)
Plan to Improve Operating Processes
Branding
Packaging for Coach needs to be more luxurious to rise to the competition. Starting with the bag, yes its high quality paper, but a few additional touches will increase the customer experience. Such as adding a flap on the bag and using a receipt envelope, and instead of just tossing it in a bag. Shoe boxes just not only include branded tissue paper, shoe bags add a touch of elegance.
Innovative design Coach has brand identity, but introducing more elegant bags and clothing would tap into another market. As of now, Coach is sporty, trendy, yet somewhat casual. Introducing a more sheik line of apparel could bring in revenue from a market of consumers that frequent the Prada and Dior stores.

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