This presentation is based on the Escada Group and will help us understan the company better. The trend followed by the document is that the very first thing presented is a short introduction of the company. From there the presentation moves onto the time line of the company from 1976 to 2006. After the time line comes the section where an overview of the company will be presented to the reader followed by the global distribution structure which will be followed by information on the strategy for growth. The presentation will then examine the Difficulties in production, the failure in collections, the lack of focus on the core business and the weakness of financial structure. The next points to be examined will be the strategy, communication and marketing, collection strategy, sport strategy and accessories strategy. Finally the concluding point will be a SWOT analysis of the company.
[...] TOMORROW Expansion as lifestyle brand : special assortment packages Development of visual presentation in shops. TODAY Improve quality and assurance systems Bolstering design and concentrate all activities in one location (Florence). Failed in meeting the expectations due to a reorganization of the management structure. TOMORROW A new management team appointed for 2006. TODAY Partner is Wella New frangrance launched during 2nd semester 05. Sustain sales of the seasonal fragrance. Increase marketing and communication expenses. TOMORROW Increase visibily and the value of the product as a part of the luxury offer. [...]
[...] TOMORROW A new management team appointed for 2006. TODAY Partner is Wella New frangrance launched during 2nd semester 05. Sustain sales of the seasonal fragrance. Increase marketing and communication expenses. TOMORROW Increase visibily and the value of the product as a part of the luxury offer. Increase the benefit from P&G's distribution channel. TODAY Eyewear : Partner is De Rigo. 1rst eyewear collection launched in 2005. Kidswear : 8 shops in shops or free stores. Jewelry: was relaunched at the Basle trade show. [...]
[...] TOMORROW Increase visibily and the value of the product as a part of the luxury offer. Increase the benefit from P&G's distribution channel. TODAY Eyewear : Partner is De Rigo. 1rst eyewear collection launched in 2005. Kidswear : 8 shops in shops or free stores. Jewelry: was relaunched at the Basle trade show. TOMORROW Jewelry : will be distributed outside Escada's own distribution channel and a Bridal collection is to be prepared and launched in 2006/2007. Modèle par défaut ESCADA GROUP ESCADA GROUP Case study : Part 2 September 11 terrorist attacks in the US Fear of a possible war in Irak Slump in the capital market Bad economic conditions in Europe (private consumption, sluggish job market, bankruptcies, ) Recession in the Japanese economy: in GDP and stagnation of private consumption Recovery in the US in 2002 after the dramatic collapse in 2001 The supply chain problems: Too complex and slow Involved too many intermediates in particular in Italy (sub-contractors) Generated expensive purchase prices and hidden costs Hidden commissions were paid at all the levels New stores opening every year even when luxury market was slowing down which artificially maintained sales No closing of stores generating losses Not many partnerships with department stores Some flagship stores in Paris, NY and Shanghai Focus on Asia and Eastern Europe Much too important in term of models, colors and fabrics and also but without collection structure or logic Contributes to maintain the sales artificially high Generates high design and sample production costs Leads to very important inventories and unsold items sold at 50% of their initial price in outlets Only a few existing licensees: Production, sale and marketing of perfumes and cosmetics products with Wella Escada Eyewear was successfully launched in 1998 Others licensees have later been developed Women's scarves and shawls and men's ties with the RATTI group Escada lingerie line (day and nightwear) with HUBER Group HANRO Kidswear and jewelry collection Lack of focus on the core business The simultaneous acquisition of other brands not always consistent with Escada's chore business Used a lot of financial resources Often generated losses Decision to sell all non-core activities 2001 Weakness of financial structure A difficult period for the share Decrease by 38% between the beginning and the end of 2002 Underperformed the MDAX for the period ESCADA GROUP Case study : Part 3 Escada collection & Escada Sport Internal product lines Fashion garment Shoes Handbags Small leather goods Licensees Jewelry Eyewear Fragrance kidswear Branding : - 1rst class materials and best quality highest workmanship Ultimate wearing comfort Colors and feminity Distribution Its own stores Franchisees contractor entirely dedicated to ESCADA Multibrand retailers (wholesale customers) Department stores (wholesale customers) Sourcing : Reorganisation in 2004/ competences centers : Knitwear in Italy (EMI) and German headquarters in Munich. [...]
[...] TOMORROW Expansion as lifestyle brand : special assortment packages Development of visual presentation in shops. TODAY Improve quality and assurance systems Bolstering design and concentrate all activities in one location (Florence). Failed in meeting the expectations due to a reorganization of the management structure. TOMORROW A new management team appointed for 2006. TODAY Partner is Wella New frangrance launched during 2nd semester 05. Sustain sales of the seasonal fragrance. Increase marketing and communication expenses. TOMORROW Increase visibily and the value of the product as a part of the luxury offer. [...]
[...] TOMORROW Jewelry : will be distributed outside Escada's own distribution channel and a Bridal collection is to be prepared and launched in 2006/2007. Indicative Bibliography Proposed by Oboulo.com http://www.zimbio.com/Escada http://www.fashiontrendsetter.com/content/fashion_trends/escada.html http://www.stylewise.tv/stylewise_content.php?cityid=1&catid=5&page=3 http://www.stylewise.tv/stylewise_content.php?cityid=1&catid=5&page=3 ESCADA GROUP ESCADA GROUP Case study : Part 2 September 11 terrorist attacks in the US Fear of a possible war in Irak Slump in the capital market Bad economic conditions in Europe (private consumption, sluggish job market, bankruptcies, ) Recession in the Japanese economy: in GDP and stagnation of private consumption Recovery in the US in 2002 after the dramatic collapse in 2001 The supply chain problems: Too complex and slow Involved too many intermediates in particular in Italy (sub-contractors) Generated expensive purchase prices and hidden costs Hidden commissions were paid at all the levels New stores opening every year even when luxury market was slowing down which artificially maintained sales No closing of stores generating losses Not many partnerships with department stores Some flagship stores in Paris, NY and Shanghai Focus on Asia and Eastern Europe Much too important in term of models, colors and fabrics and also but without collection structure or logic Contributes to maintain the sales artificially high Generates high design and sample production costs Leads to very important inventories and unsold items sold at 50% of their initial price in outlets Only a few existing licensees: Production, sale and marketing of perfumes and cosmetics products with Wella Escada Eyewear was successfully launched in 1998 Others licensees have later been developed Women's scarves and shawls and men's ties with the RATTI group Escada lingerie line (day and nightwear) with HUBER Group HANRO Kidswear and jewelry collection Lack of focus on the core business The simultaneous acquisition of other brands not always consistent with Escada's chore business Used a lot of financial resources Often generated losses Decision to sell all non-core activities 2001 Weakness of financial structure A difficult period for the share Decrease by 38% between the beginning and the end of 2002 Underperformed the MDAX for the period ESCADA GROUP Case study : Part 3 Escada collection & Escada Sport Internal product lines Fashion garment Shoes Handbags Small leather goods Licensees Jewelry Eyewear Fragrance kidswear Branding : - 1rst class materials and best quality highest workmanship Ultimate wearing comfort Colors and feminity Distribution Its own stores Franchisees contractor entirely dedicated to ESCADA Multibrand retailers (wholesale customers) Department stores (wholesale customers) Sourcing : Reorganisation in 2004/ competences centers : Knitwear in Italy (EMI) and German headquarters in Munich. [...]
APA Style reference
For your bibliographyOnline reading
with our online readerContent validated
by our reading committee
