GUCCI

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Presentation Description

introduction, Swot analysis and unique selling point of the high end brand Gucci.

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Presentation Transcript

GUCCI:

GUCCI

Introduction:

I ntroduction Founded in F lorence in 1921, G ucci is one world’s leading luxury brands, products and distribution high-quality luxury goods. Gucci manufactures all products in I taly. The company directly operates stores in major markets throughout the world and wholesales products through franchise stores, duty-free boutiques and leading department and specialty stores. In 2009, Gucci generated 2266 million euro in revenues and finished the year with 283 directly operated stores.

Unique selling proposition :

Unique selling proposition Product’s Quality, Style & Design Direct Operational Stores(DOS) : exclusivity of the product is enhanced.

Strengths :

S trengths Strong brand name Strong presence in the international market. Diversification strategy with a large portfolio of brands. More control over the distribution channel.

Weaknesses:

W eaknesses Unstable management/interest conflict between family owners can arise. Weak financial base ( decline in margins, high debt) Weak profitability from other brands than Gucci.

Opportunities:

O pportunities Enter high potential growth markets in Asia, particularly India and China. Consolidation of other brands ( build competitive advantage in different business segments)

Threats:

T hreats Takeover by PPR who owns a 68% stake in the capital of Gucci. Threat of competition from medium brands that have the potential to move towards premium brands in the future eg . Zara & Gap

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