Burberry's Resources and Capabilities
The Analysis of Burberry’s Sustainable Competitive Advantage base on its Resources and Capabilities
Introduction
Burberry is a British luxury brand founded by Thomas Burberry in 1856, which design, sources manufactures and distributes high quality apparel and accessories for men, women and children. Burberry “has been defined by an overt Brutishness, a trio of instantly recognizable icons (the trench coat, the trademark check, and the ‘prorsum’ knight logo), and a deft creativity that ensure its designs are timeless.” (Vollmer and Premo, 2012)
In 1998, Burberry has been described as “an outdated business with a fashion cachet of almost zero.” (Strategic Direction, 2005, P22) the product of trench coat of Burberry is a fashion classic, almost every designer tried to imitated, but still remind people about Burberry. Furthermore, the check pattern has become Burberry’s own signature, it use as the lining for the trench coats and scarf’s pattern for men and women. (Sanghvi, 2011)
In 1891, Burberry opened the first store in London and international store was opened in Paris by 1910. In 1920 Burberry entered Japan market and cooperated with local retailers.
In the past years, Burberry was quite successful, various resources and capabilities having been invested and improved, also different kinds of strategy were applied for its business. In this essay, three main points will be discussed as follows: * Identifying Burberry’s resources and value * Appraising Burberry’s resources and capabilities to analyse organisational competence * Finally, developing Burberry’s strategies.
Identifying resources
“Resources are the productive assets owned by the firm.” (Grant, 2005) There are three types of resource: Tangible, Intangible and Human resource.
Tangible resource is quite easy to identify, which includes financial resources and physical asserts. It can be seen from Burberry’s Balance sheet, from 2008 to 2012, the net asset of Burberry increased each
Introduction
Burberry is a British luxury brand founded by Thomas Burberry in 1856, which design, sources manufactures and distributes high quality apparel and accessories for men, women and children. Burberry “has been defined by an overt Brutishness, a trio of instantly recognizable icons (the trench coat, the trademark check, and the ‘prorsum’ knight logo), and a deft creativity that ensure its designs are timeless.” (Vollmer and Premo, 2012)
In 1998, Burberry has been described as “an outdated business with a fashion cachet of almost zero.” (Strategic Direction, 2005, P22) the product of trench coat of Burberry is a fashion classic, almost every designer tried to imitated, but still remind people about Burberry. Furthermore, the check pattern has become Burberry’s own signature, it use as the lining for the trench coats and scarf’s pattern for men and women. (Sanghvi, 2011)
In 1891, Burberry opened the first store in London and international store was opened in Paris by 1910. In 1920 Burberry entered Japan market and cooperated with local retailers.
In the past years, Burberry was quite successful, various resources and capabilities having been invested and improved, also different kinds of strategy were applied for its business. In this essay, three main points will be discussed as follows: * Identifying Burberry’s resources and value * Appraising Burberry’s resources and capabilities to analyse organisational competence * Finally, developing Burberry’s strategies.
Identifying resources
“Resources are the productive assets owned by the firm.” (Grant, 2005) There are three types of resource: Tangible, Intangible and Human resource.
Tangible resource is quite easy to identify, which includes financial resources and physical asserts. It can be seen from Burberry’s Balance sheet, from 2008 to 2012, the net asset of Burberry increased each