Levi Case
The case of Levi Strauss (1)
Who doesn’t know Levi’s, the American blue jeans icon known all over the world? Today, Levi’s is one of the world’s largest brand-name companies in the blue jeans and casual pants markets. Its products are sold under the Levi’s, Dockers and Levi Strauss Signature brands. While Levi’s conveys an image of quality and innovation, the brand is mostly recognized for its status as the original pioneer brand among international customers. With sales in more than 100 countries, Levi’s is a global company with three geographic divisions: the Americas, Europe Middle East and Africa and Asia Pacific. In 1853, during the California gold rush, Levi Strauss set up his own business in San Francisco. He sold durable and tough pants that became a standard dress for miners, dockworkers, railroad workers and “cow boys”. However, the first blue jeans were born in 1873. At that time, Jacob Davis, a Levi’s customer, suggested Levi Strauss to patent the process of putting copper rivets in pants for strength. They went into business together and founded what would become the world’s most popular clothes. After the World War II, American products met a great success in the world and enjoyed a strong popularity in Europe. Jeans symbolized American freedom and conveyed many of the core values of American democracy. Therefore, people wore Levi’s jeans as a symbol of their freedom and individuality. Hollywood also had a huge impact on the popularity of blue jeans. By wearing blue jeans, James Dean, for example, in “The Rebel Without a Cause” brought fame to blue jeans and other popular actors did the same. With such images, blue jeans became synonymous with rebelliousness, danger, adventure, and most of all, a non-conformist youth culture.
[pic] Until late 1960’s, there was no or minimal competition and the company decided to expand distribution internationally. In the early 1970’s, the business environment quickly changed and Levi’s
Who doesn’t know Levi’s, the American blue jeans icon known all over the world? Today, Levi’s is one of the world’s largest brand-name companies in the blue jeans and casual pants markets. Its products are sold under the Levi’s, Dockers and Levi Strauss Signature brands. While Levi’s conveys an image of quality and innovation, the brand is mostly recognized for its status as the original pioneer brand among international customers. With sales in more than 100 countries, Levi’s is a global company with three geographic divisions: the Americas, Europe Middle East and Africa and Asia Pacific. In 1853, during the California gold rush, Levi Strauss set up his own business in San Francisco. He sold durable and tough pants that became a standard dress for miners, dockworkers, railroad workers and “cow boys”. However, the first blue jeans were born in 1873. At that time, Jacob Davis, a Levi’s customer, suggested Levi Strauss to patent the process of putting copper rivets in pants for strength. They went into business together and founded what would become the world’s most popular clothes. After the World War II, American products met a great success in the world and enjoyed a strong popularity in Europe. Jeans symbolized American freedom and conveyed many of the core values of American democracy. Therefore, people wore Levi’s jeans as a symbol of their freedom and individuality. Hollywood also had a huge impact on the popularity of blue jeans. By wearing blue jeans, James Dean, for example, in “The Rebel Without a Cause” brought fame to blue jeans and other popular actors did the same. With such images, blue jeans became synonymous with rebelliousness, danger, adventure, and most of all, a non-conformist youth culture.
[pic] Until late 1960’s, there was no or minimal competition and the company decided to expand distribution internationally. In the early 1970’s, the business environment quickly changed and Levi’s
Bibliography: • Beck Ernest, “Levi’s takes an international approach with its new marketing pitch in Europe”, Wall Street Journal, New York, Sep 5, 2000, pg. 1. • Himelstein Linda, “Levi’s is hiking up its pants; but will the brand’s revamped products and marketing play with turned-off teens?”, Business Week, New York, Dec 1, 1997, Iss. 3555, pg. 70. • Jardine Alexandra, “Life for denim in a combat era”, Marketing, London, Mar 4, 1999, p. 19. • Nolan Kelly, “Levi’s tries out mass, and likes the way it fits”, DSN Retailing Today, New York, Aug 22, 2005, Vol. 44, Iss. 16, pg. 1, 2 pgs. • Scardino Emily, “Wal-Mart tapped to host Levi’s coming out party”, DSN Retailing Today, New York, Nov 11, 2002, Vol. 41, Iss. 21, pg. 5, 2 pgs. • Simms Jane, “When brands bounce back”, Marketing, London, Feb 15, 2001, pg. 26, 2 pgs. • Voight Joan, “Levi’s scraps line efforts for image”, Brandweek, New York, Apr 28, 1997, Vol. 38, Iss. 17, pg 6. • Vrontis Demetris, Vronti Peri, “Academic paper: Levi Strauss : an international marketing investigation”, Journal of Fashion Marketing and Management, Bradford, 2004, Vol. 8, Iss. 4, pg. 389. • Anonymous, “Levi’s antidote: Audience participation”, New Media Age, London, Sep 8, 2005, pg. 19. |Net Income (loss) |30 390 |(349 317) | | Source: Levi Strauss Annual Report, 2004 Source: Levi Strauss Annual Report, 2004 * Due to the elimination of Slates dress pants business which contributed to $24.2 million to the decline.