Engl404 Proposal
A Proposal of Reform Plan to Esprit Holdings Ltd.
Dec 24, 2012
Submitted to
Jose Manuel Martínez Gutiérrez
The Group Chief Executive Officer
Esprit Holdings Ltd.
ContentsIntroductionExecutive SummaryProblems Identification1 Declining trend in sales and profit2 Macroeconomic analysis3 Competitive analysis 4 Supply Chain5 Product6 Summary of problemsObjective of the proposalPlan of Action1 Expansion of Emerging Market2 Product design and promotion for new market3 Customer Diversification for Existing Market4 Pricing Strategy5 Improvement of delivery time6 Internet retailingRisk of the action planBudgeting and Scheduling ConclusionAppendices Appendix 1-3 Esprit and competitors (No. of stores,,Revenue,Oper. Margin)Appendix 4 Staffing Reference | 33445666778888991011121314 |
Introduction
Esprit Holdings Limited is the fastest-growing fashion brand in the world which primarily engaged in manufacturing and distributing fashionable and quality apparel. Esprit Holdings distribute their products worldwide around the world which they have 770 retail stores spread across Europe, Asia Pacific and North America. In recent years, Esprit also expanded aggressively in China market.
However, Esprit had slow response to market changes and the fashion trend. Under the fierce competition in the clothing industry, Esprit has been losing appeal to consumers.
This proposal aims to analyze the problems Esprit facing and possible solutions will be suggested in order to help Esprit regain the market share and the brand image.
Executive Summary
Due to the poor economy, strong competitors, slow delivery time, and old-style product, Esprit’ sales decreased 10.6% while sales has decreased 74.4% from 2010 to 2012. Remedies are necessary to manage the worsening situation and to turn profit and sales decrease to increase.
To improve the situation, Esprit should expand its market to China and India, because of their fast GDP growth and middle-class income
Dec 24, 2012
Submitted to
Jose Manuel Martínez Gutiérrez
The Group Chief Executive Officer
Esprit Holdings Ltd.
ContentsIntroductionExecutive SummaryProblems Identification1 Declining trend in sales and profit2 Macroeconomic analysis3 Competitive analysis 4 Supply Chain5 Product6 Summary of problemsObjective of the proposalPlan of Action1 Expansion of Emerging Market2 Product design and promotion for new market3 Customer Diversification for Existing Market4 Pricing Strategy5 Improvement of delivery time6 Internet retailingRisk of the action planBudgeting and Scheduling ConclusionAppendices Appendix 1-3 Esprit and competitors (No. of stores,,Revenue,Oper. Margin)Appendix 4 Staffing Reference | 33445666778888991011121314 |
Introduction
Esprit Holdings Limited is the fastest-growing fashion brand in the world which primarily engaged in manufacturing and distributing fashionable and quality apparel. Esprit Holdings distribute their products worldwide around the world which they have 770 retail stores spread across Europe, Asia Pacific and North America. In recent years, Esprit also expanded aggressively in China market.
However, Esprit had slow response to market changes and the fashion trend. Under the fierce competition in the clothing industry, Esprit has been losing appeal to consumers.
This proposal aims to analyze the problems Esprit facing and possible solutions will be suggested in order to help Esprit regain the market share and the brand image.
Executive Summary
Due to the poor economy, strong competitors, slow delivery time, and old-style product, Esprit’ sales decreased 10.6% while sales has decreased 74.4% from 2010 to 2012. Remedies are necessary to manage the worsening situation and to turn profit and sales decrease to increase.
To improve the situation, Esprit should expand its market to China and India, because of their fast GDP growth and middle-class income
References: Esprit (2011) Annual Report Reuters (2011) Fast Retailing v.s. peers , http://graphics.thomsonreuters.com/11/11/JP_FSTRTL1111_CT.swf Jana (2011) Research on Middle Class , http://www.jana.com/