a value chain analysis to assess H&M’s capabilities and derive its core competencies. (35%) Question 3. Based on these competencies identify the generic competitive strategy which H&M is pursuing. (10%) Question 4. It is suggested in the case study that the fashion industry is full of companies that have confidently expanded into international markets but later have been forced to retreat. Analyze the international strategy choice being pursued by H&M and assess the extent to which this
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&mHistory of H&M H & M‚ (Hennes & Mauritz AB) is a Swedish multinational retail-clothing company‚ known for its trendy fashion clothing for men‚ women‚ teenagers and children. It started out as a single womenswear store in 1947‚ and subsequently transformed to a global company offering fashion for the whole family‚ and their home. The business concept is to give the customer unbeatable value by offering fashion and quality at the best price. H&M ensures the best price by having
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is the son of Erling Persson who founded the Swedish fashion company Hennes & Mauritz (H&M). Persson was born the same year‚ 1947‚ as H&M. His father‚ Erling‚ was the son of a butcher in Västerås‚ an hour or so outside of Stockholm. Stefan Persson chairs the hugely successful clothing retailer Hennes & Mauritz AB‚ a company founded by his father in Sweden in 1947. Known informally as "H&M‚" the international chain of nearly 900 stores has mastered the art of delivering cheap but
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T2242531 Introduction H&M (Hennes & Mauritz) is a global fashion brand and retail clothing company founded in Sweden‚ 1947 by Erling Persson. H & M founder Erling Persson because of a U.S. tour‚ inspired him to open a low price‚ high-class women ’s fashion clothing store ideas. (“H&M offers fashion and quality at the best price”‚ 2011) The first Hennes opened in Vasteras‚ which is the predecessor of H&M. In 60s‚ he expanded Hennes in most parts of Sweden
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Products range they deal in H&M brand deals in: • Assecories • Suitning for women& men • High volume fashion basics for men&women • Swimwear • Nightwear • Underwear • Ladies Footwear • Cosmetics • Childrenwear • Children apparel 2. Identify Customers (Consumers) H&M brand’s customers are: • Men • Women • Teenagers • Children 3. Identify Means of Competition (Why will consumer buy the products??) H&M retail stores have products that are High Fashionable & Quality at low prices. H&M has advanced technology
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AB (H&M). We will analyse on it using PESTEL‚ Porter’s Five Forces and SWOT to get a clear concept of what H&M is today and where it can go. This positioning will be helpful in strategy designing. Company activities H&M was established in Västerås‚ Sweden in 1947 by Erling Persson. We now sell clothes and cosmetics in around 2.200 stores around the world. * H&M offers fashion and quality at the best price * H&M offers fashion for women‚ men‚teenagers and children. * H&M also
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Problem 4: H&M and Burberry’s non-current assets Question 1 (a) Ratio of land‚ buildings and equipment to sales H&M: (420+222+7134) / 78346 = 9.9% Burberry: (58.2+99.2) / 995.4 = 15.8% (b) Ratio of depreciation to sales H&M: (14+1750) / 78346 = 2.25% Burberry: (1.9+27)/ 995.4 = 2.9% The above ratios can be used to measure the efficiency of a firm’s investment policy. Burberry has a higher land‚ buildings and equipment to sales ratio as well as a higher depreciation to sales ratio.
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Three main strategic goals for H&M for the next five years would be linked with profitability‚ competition and technological leadership. H&M has reported a rise in sales and profits and sales for the three months to 31st of August. Net profit for the third quarter of 2009 rose 4.1% to 3.46bn Swedish crowns from 3.33bn crowns last year. Sales‚ excluding sales tax‚ increased by 13% to 23.6bn crowns. So first LTO is to maintain financial stability H&M has achieved. H&M plans to increase sales revenues
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Tangibles (Physical appearance) At the first glance‚ H&M has a simple and clear design. (Appendix A) In the shop‚ different products are classified into different categories and there are clear directional signs which are easy for customers to find out what they need. (Appendix B) Also‚ the price tags are explicit and detailed for customers to understand. (Appendix C) Besides‚ the fitting rooms are located next to the cashiers which bring convenience to customers allowing them to pay right away
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H&M has decided to enter Latvian clothes market. Which strategies and action parameters should company use in connection with the entry into the Latvian market? Anna Atgāze 0 International Marketing and Sales 4th semester 2012 4mfe0212 Final Thesis H&M has decided to enter Latvian clothes market. Which strategies and action parameters should company use in connection with the entry into the Latvian market? Author: Anna Atgāze Supervisor: Morten Friis Frederiksen Delivery date: 1.06.2012 1
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