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Padini Management Strategies

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Submitted By pooiyee1997
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BACKGROUND OF COMPANY
The Padini Group is principally engaged in the garment industry in Malaysia from 1971. It distributes and retails adult’s garments, children’s garments, ancillary products, maternity wear, ladies’ shoes, bags, belts and other accessories. It distributes nine labels in its family of brands and retail in 330 free-standing stores, franchised outlets and consignment counters, which are located in local and oversea markets. It carry the Made in Malaysia stamp abroad in Bahrain, Brunei, Cambodia, Egypt, Indonesia, Kuwait, Morocco, Myanmar, Oman, Pakistan, Philippines, Thailand and etc.
Its products are distributed under the brand name of Vincci, Vincci+, Vincci Accessories, Tizio, Padini Authentics, PDI, Padini, Seed, Miki, and P&Co, all of which are owned by the Group except the Tizio label. In addition, the Group also utilises a number of lesser known house brands to market. It offers for sale in its Brands Outlet stores.
The Group has arrived at five reportable segments, which are determined by each of its subsidiaries. These companies are the strategic business units of the Group.
The strategic business unit possess various types of brands. From different brands, it provide distinguished and different theme of products to cater different customer segments. These strategic business units are managed separately because they require different business and marketing strategies. For each of the strategic business units, the Managing Director of the Group and brand managers collectively review internal management reports at least on a quarterly basis.

* Nice trend in terms of Revenue and Profit. In fact, it shows a good consistent trend in this area; * Margin is also consistent with gross margin around 50% while net margin is between 10% to 14% with consistent improvement; * Return on Equity is consistent with slight growth

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