Louis Vuitton Production And Distribution Model

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Luxury is as old as civilization, it can be everything distinguished from ordinary. LVMH is the major player among many companies and in the luxury industry, it controls some of the most well-known luxury brands.
LVMH Moët Hennessy Louis Vuitton SE, better known as LVMH, is a French multinational luxury goods conglomerate, headquartered in Paris, France. The company controls around 60 subsidiaries that each manage a small number of prestigious brands, including Wines & Spirits, Fashion & Leather Goods, Perfumes & Cosmetics, Watches & Jewelry and Selective Retailing. Some of the world well-known brands are included, from fashion brands such as Louis Vuitton, Christian Dior, FENDI and Givenchy, to Wines and spirits such Moët CHANDON and Hennessey.
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Before 2005, “it took 20 to 30 craftsmen to put together each Louis Vuitton "Reade" tote bag. Over the course of about eight days, separate workers would sew together leather panels, glue in linings and attach handles.”(Passariello). For years, Louis Vuitton had focused mainly on the craftsmanship, image of the brands and design of products, which had led the products being sold out too quickly and hardly maintain the stores fully stocked. In traditional Louis Vuitton production mode, every factory workers only specialize in one thing, such as stitching or cutting, which proved to be the way of low efficiency. Borrowing the manufacture mode from Japanese Motor Corporation, and being suggested by outside consultant, Louis Vuitton created the production system that improved the efficiency as well as maintained the quality standard. The first step that company took is to train its workers to handle multiple tasks, and then arrange them into a more efficient assembly …show more content…
It is carried out by the executive committee at each House and is based on nine key elements of environmental performance. Among these nine issues and elements, four five of them are selected as essential for each maisons. For instance, the Watches& Jewelry should be more concerned with the protect ecosystem and natural resources than limiting greenhouse gas emission since they meanly deal with precious stone and metals. Bulgari, a luxury jewelry company since 1884, has integrated the LIFE program. now Bulgari are taking actions to respond following challenges: secure access to raw materials; conformity and traceability of raw materials; social and environmental responsibility of suppliers; CO2 impact generated by actions taken; environmental excellence of

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