Coach Inc.
Recommendations and Justification:
First, Lew Frankfort should continue to make new, high quality handbags that will impress customers. This will help Coach to continue to grow and prosper. New designs will help attract more customers to buy Coach products. The company can only benefit with new and unique products in the market. If Lew Frankfort can continue to do this Coach can be a leader in the market, which will help the company grow. Second, brand awareness should be increased. It can be increased through social media and e-commerce sites. This will help Coach be well known around the world. The more people know about the company and it’s products the more customers it will attract. Third, Coach should protect its products against counterfeiting. Coach can do this by making sure that no patterns or fabrics are stolen so that they can be made into fakes that look similar to the authentic products. It should also pursue knockoff sellers in Asia. Knockoffs can attract customers to the shops that sell them, which will decrease the customers that shop at actual Coach shops. Fourth, Coach should continue to expand its market globally. It should increase its factory stores to help with the market. In the case it says that factory stores should be no closer than 50 miles from full price stores. This is important because it is a marketing strategy. All of this will continue to expand Coach. Finally, Coach should continue pursuing its plans to expand in Asia. Japan is an important market for luxury goods and China is suppose to become the world’s largest market for luxury goods. Coach needs to build a presence in important locations where competitors have yet to expand to.
Dominant Economic Features (PESTEL):
Total luxury market is $220 billion with an expected growth rate of about 7 to 8 percent annually through 2015 to get to $350 billion. Most of the growth will come from China and India, which are some of the countries that seem to be
First, Lew Frankfort should continue to make new, high quality handbags that will impress customers. This will help Coach to continue to grow and prosper. New designs will help attract more customers to buy Coach products. The company can only benefit with new and unique products in the market. If Lew Frankfort can continue to do this Coach can be a leader in the market, which will help the company grow. Second, brand awareness should be increased. It can be increased through social media and e-commerce sites. This will help Coach be well known around the world. The more people know about the company and it’s products the more customers it will attract. Third, Coach should protect its products against counterfeiting. Coach can do this by making sure that no patterns or fabrics are stolen so that they can be made into fakes that look similar to the authentic products. It should also pursue knockoff sellers in Asia. Knockoffs can attract customers to the shops that sell them, which will decrease the customers that shop at actual Coach shops. Fourth, Coach should continue to expand its market globally. It should increase its factory stores to help with the market. In the case it says that factory stores should be no closer than 50 miles from full price stores. This is important because it is a marketing strategy. All of this will continue to expand Coach. Finally, Coach should continue pursuing its plans to expand in Asia. Japan is an important market for luxury goods and China is suppose to become the world’s largest market for luxury goods. Coach needs to build a presence in important locations where competitors have yet to expand to.
Dominant Economic Features (PESTEL):
Total luxury market is $220 billion with an expected growth rate of about 7 to 8 percent annually through 2015 to get to $350 billion. Most of the growth will come from China and India, which are some of the countries that seem to be