...LEVI STRAUSS JAPAN K.K. CASE REPORT TIME CONTEXT : May 1993 POINT OF VIEW : Mr. A. John Chappell President and Representative Director MAIN PROBLEM: Levi Strauss Japan K.K. is faced with the dilemma of shrinkage of jeans market. It appeared that after two years of shrinkage (1990, 1991) the market contracted further in 1992. SECONDARY PROBLEMS: 1. Part of the shrinkage of the market can be attributed to the very selective way of choosing retail outlet and sales agents of Levi Strauss Japan K.K. 2. Another cause of market shrinkage is due to the specialization of competitors mainly on women’s jean that brought the industry to a stiff competition. 3. In the side of Japan government, another factor detrimental to the company’s market size is its imposed policy like lowering birth rate and demographic shift to older population which Levi Strauss needs to cope. COMPANY OBJECTIVES: To increase market share of Levi Strauss Japan K.K. from 16% to 20% by the year 1995 and continuously produce quality products that never goes out of style. AREAS OF CONSIDERATION: SWOT ANALYSIS: STRENGTHS 1. Levi Strauss Japan K.K. has an established name in the jeans industry since it had been in operations last 1971. It has been known with its quality product that never goes out of style. 2. LSJ employed a similar strategy to Levi Strauss in the US emphasizing heavy advertising spending. Since 1976, LSJ spent...
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...Levi Strauss is an iconic American brand name. Since it’s inception in 1883 by Bavarian immigrant, Levi Strauss, the company has remained loyal to its core values – exceptional quality, style and function1. In order to maintain their competitive advantage and sustain their image as industry leaders Levi Strauss has proposed a merger with Custom Clothing Technology Corporations (CCTC). Employee Heidi Green at CCTC must consider joining Levi Strauss to exploit an opportunity in the market for personalized denim. Levi Strauss prides themselves on their “social conscience” offering competitive salaries and benefits to employees. Additionally, they manufacture all products in the United Sates and market the “Made in the Unites States” label as a value-added incentive for consumers. The fact that Levi’s garments are manufactured locally has also supported their brand image of being “authentic”, “original” and “genuine”. The Levi’s brand made their debut in the mainstream market in the 1950’s when Hollywood celebrities proudly adopted Levi’s denim. The attributes of celebrities like Bob Dylan and Marilyn Munroe helped curated the Levi’s brand image of being original, unique and proudly American. Levi Strauss flourished during this period and set the new industry norm. Competitors were quick to catch-up by mimicking the standard attained by Levi Strauss. In order to compete most new entrants set-up manufacturing plants overseas to exploit cheap labor thus minimizing operating...
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...Case Name: Levi Strauss – Case 1 Short Cycle Process: • Who: Levi Strauss Management • When: 1995 • Where: United States/Globally Case Analysis: Issues #1 – Customer Satisfaction & the “Perfect Pair” Kiosks The “Perfect Pair” kiosks pilot project has been operating for a year now, and this has provided enough data to analyze whether Levi Strauss should continue with this project as is, expand or terminate this venture. The “Perfect Pair” kiosks will be reviewed in comparison to the current wholesale and retail operations to determine whether it provides the best return on invested capital. Applicable Concepts Product Pricing and ROIC Value Chain Analysis Product Mix Qualitative Analysis The alternative value chain for these kiosks is significantly changed in comparison to the wholesale and retail operations, and this is due to the processes involved in producing the kiosks end product. The new process reduces the time lag between start to finish of the value chain in comparison to traditional product lines. Expanding the kiosks to other retail locations will provide Levi’s with the opportunity to better respond to current industry shifts, while also providing greater satisfaction to its customers. Since Levi’s is not going to initiate the manufacturing process until after the sale has occurred, the need for intensive budgeting and forecasting is reduced for the “Perfect Pair” kiosks. The new alternative value chain also results in a decrease...
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...Levi Strauss used to say, "My entire life is my business." (Ford, p. 27) This quote shows just how dedicated Levi was to his company. He had a drive inside him to make a booming business and succeeded. His determination for a better life helped him get to where he was in the acme of his life. Levi Strauss contributed to the creation of blue jeans and changed the way people dress in his time and in ours today. ("bio.com", p. 2) Levi Strauss was born with the name Leob on February 26, 1829 in Buttenheim, Bavaria, Germany. He was raised Jewish and lived in a Jewish Quarter. A Jewish Quarter is a small town where Jews would live together. Because of his religion, he and his family were persecuted. He came to America when he was 18 years...
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...Levi Strauss & Co. is a flourishing business. Since the early days, it has been a leader in the garment industry. The original and most famous Levi Strauss product is blue jeans. Jeans have become desirable and even fashionable clothing for not only miners, farmers, and cowboys, but also for movie stars, executives, women, children, and teenagers from all over the world. Throughout its history, however, the company has researched and developed a number of other products. The company now markets a wide range of clothing and accessories, all under the brand name Levi’s. Many new Levi products have been launched over the years. Some of these have succeeded beautifully, but others have flopped completely. The company is still best known, however, as the maker of Levi jeans, the pants that are guaranteed to shrink1, wrinkle, and fade2. In 1954, flushed with the success of the cotton twill pants it had introduced a few years earlier, Levi brought out a line of permanent press (no-iron) slacks. Within six months, 5 out of every 100 pairs sold had been returned, and Levi had to admit it didn’t have the right fabric for permanent press. Fifteen years later, as the company was planning its major expansion, it hit on a couple of equally dramatic flops. First was the denim bathing suit—which, when wet, weighed the wearer down to the point of imminent drowning. Next was a line of disposable (throw-away) sheets and towels. These, Levi discovered, were not high on the consumer’s list of priorities...
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...LEVI STRAUSS & COMPANY CASE STUDY Cevdet KIZIL Master of Science in Organizational Leadership Program 1- Knowing that its managers are willing to trade off some economic efficiency in order to operate according to their collective view of what is “ethical”, would you buy shares of stock in this company? Why or why not? First of all, I think we are experiencing a paradox in this situation. Because, the company is trading off economic efficiency in order to operate, but it’s a well known fact that economic efficiency is one of the factors which affects the price of stocks. On the other hand, let’s say the company did set economic efficiency as a priority and decided to close some of its plants. This will mean laying off several employees. Thus, the current condition really makes is tough to judge. However, I would still buy shares of stock in this company. Because, company reputation, image and responsibility are also effective factors. Furthermore, I believe that Levi Strauss & Company’s ethical view will help them to win in the long-run. They may experience losses and they may not make profits in a short period, but I think that company’s ethical view will also affect their stock price, profitability and brand in the long run. For example, Margery Kraus, President and CEO of APCO Worldwide also justify my opinions with her words “Play by your own rules and ethics. In the long run it will pay off”. As a result, because of all these reasons, I would buy shares...
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...Levi Strauss and Co.: Creating a Sub-Brand 1. How would you characterize Levi’s branding strategy in general? What are the positive aspects? Are there any negative aspects? Branding strategy according to businessdictionary.com- the long-term marketing support for a brand, based on the definition of the characteristics of the target consumers. It includes understanding of their preferences, and expectations of the brand. Regarding Levi’s specifically, the case discusses that the branding strategy is identifying the quality of the clothing itself. Key words such as durable, dependable, and quality are often words used throughout the marketing campaigns. Generally speaking, they are simply targeting almost any category: rich, poor, etc. Although no company is perfect, I do believe that there are no significantly negative aspects about Levi’s branding strategy. 2. Analyze the Dockers communication strategy at the time of the launch. How did it fit in with past Levi’s advertisement efforts? How did it contribute to brand equity? Communication strategy according to epa.gov- Should include: outlining the objective/goals of the communication, identify key stakeholders, define key messages, and specify the mechanisms that will be used to obtain feedback on the strategy. Brand equity according to investopedia.com- the value premium that a company realizes from a product with a recognizable name as compared to its generic equivalent. At the time of the launch...
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...* * * * * Name :Jeow Zhi How * Student ID :13019914 * Subject Code :MKT2054 * Table of Contents Introduction 2 Social-class microcultures in consumer behavior 2 Implications to marketing practitioners 3 Suggestion for Improvement 4 Conclusion 4 Reference list 5 Introduction Market nowadays is so rapid-constantly changing and so broad. Company needs to adapt to these characteristics of the market and also understanding the consumer’s behavior in the market for them to survive and outrun their competitors. This discussion would further examine the company, Levi Strauss (Levi’s), marketing strategy in the garment industry in the context of Malaysia and also suggestions would be given for improvements. Levi’s first entered into the garment industry in 1873 with the birth of the first pair of jeans. Levi’s has been improving since and now, it is one of the world largest brand-name and also a global leader in jeanswear, according to San Francisco(2014). After gaining reputation as well as high profit, they have been selling other garment products besides jeans, such as clothings, caps, belts, and so on. Social-class micro cultures in consumer behavior A social class is a huge group of people, who have a similar position in an economic system, said by Moffitt(2015). Differentiating, positioning, and targeting different social class plays an important role in marketing. Consumers from different social class have different...
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...ALSO BY NEIL STRAUSS The Long Hard Road Out of Hell WITH MARILYN MANSON The Dirt WITH MOTLEY CRUE How to Make Love Like a Porn Star WITH JENNA JAMESON Don't Try This at Home WITH DAVE NAVARRO THE GAME PENETRATING THE SECRET SOCIETY OF PICKUP ARTISTS Neil Strauss Regan Books An Imprint of Harper Collins Publishers Cover silhouettes are from the following fonts :Darrian's Sexy Silhouettes by © Darrian (http://westwood.fortunecity.com/cerruti/445/), Subeve by © Sub Communications (http://www.subtitude.com),NorpIcons 1 and Norp Icons 2 by © DJ Monkeyboy (http://www.djmonkeyboy.com). "The Randall Knife": Words and Music by Guy Clark © 1983 EMI APRIL MUSIC INC. and GSC MUSIC. All Rights Controlled and Administered by EMI APRIL MUSIC INC. All Rights Reserved. International Copyright Secured. Used by Permission. In order to protect the identity of some women and members of the community, the names and identifying characteristics of a small number of incidental characters in this book have been changed, and three minor characters are composites. THE GAME COPYRIGHT © 200 5 BY N E I L STRAUSS. All rights reserved. Printed in the United States of America. No part of this book may be used or reproduced in any manner whatsoever without written permission except in the case of brief quotations embodied in critical articles and reviews. For information, address HarperCollins Publishers Inc., 10 East 53rd Street, New York, NY 10022. HarperCollins...
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...Introduction: Levi Strauss & Co. (LS&CO.) is one of the world's largest brand-name apparel marketers with sales in more than 110 countries. There is no other company with a comparable global presence in the jeans and casual pants markets. Today, the Levi's® trademark is one of the most recognized in the world and is registered in more than 160 countries. The company is privately held by descendants of the family of Levi Strauss. Shares of company stock are not publicly traded. The company employs a staff of approximately 15,000 people worldwide, including approximately 1,000 people at its San Francisco, California headquarters. Levi Strauss & Co currently makes jeans in approximately 108 sizes and 20 finish fabrics. With 2014 net sales of $4.75 billion, the company is committed to building upon strong heritage and brand equity as they position the company for future growth. There are more than 60000 retail store worldwide which includes 2800 franchised store and also 530 company-operated stores around the world. The company is privately owned by the family of Levi Strauss. Brands: The products of Levi Strauss & Co are sold under four brands: Levi's®: Since their invention in 1873, Levi's® jeans have become one of the most successful and widely recognized brands in the history of the apparel industry. Levi's range included 1. Tops, sweaters, jackets, and outerwear 2. Kids wear 3. Footwear and hosiery 4. Loungewear and sleepwear ...
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...Important Test questions –B200B Question (1): Differentiate between the following: 1. Marketing and selling The Answer: Marketing: Marketing means working with markets to bring about exchanges for the purpose of satisfying human needs and wants. Marketing must be understood not in the old sense of making a sale – selling – but in the new sense of satisfying customer needs. Selling Selling or promotions are part of a larger marketing mix, the concept is typically practiced with unsought goods – those that buyers do not normally think of buying, such as encyclopedias and funeral plots it starts with the factory, focuses on the company’s existing product and calls for heavy selling and promotion to obtain profit sales. Consumers will not buy enough of the organization’s products unless it undertakes a large scale effort in selling and promotion. A selling oriented organization thus focuses on short terms results; because they care only for their sales not for customer’s satisfaction and they are not searching or looking for long term relationship with customers. 2. Goods and services Answer: Goods and services Goods (tangible, stored, production precedes, consumption, low customer contact, transported, quality is evident) Service (intangible, can't be stored, production and consumption are simultaneous, high customer contact, can't transported, quality difficult to judge) 1- Tangibility: - Goods are tangible and services are intangible...
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...Are We More Narcissistic? Does someone that you know think that the world revolves around them or that they are the best at almost everything? If you know someone like that, then there is a good chance that he or she is a narcissist. Many people know narcissistic people but they do not notice it sometimes. A narcissist is person that believes that they are entiled to things, is self-obsessed , and does not care about other people’s thoughts or feelings. A well known researcher named Dr. Jean M. Twenge has been doing a lot of studing to prove her point that, narcissism is more common with the new generation than what it used to be. I do not think that our generation known as “Generation Y” is more narcissistic than earlier generations. Dr. Twenge claims that the younger generation is more narcissistic because of the results that she got on one of her tests. According to a test done in the past, “In the early 1950’s, only 12% of teens ages 14 to 16 agree with the statement ‘I am an important person’. By the late 1980’s, an incredible 80% claimed that they were an important person” This test supposedly proves that the newer generations are in fact more narcissistic that the older generations. I do not think that one can actually see how many teens are narcissistic with these types of yes or no questions.It is not fair to do these types of tests because someone could have answered yes to one of those questions not becuase he or she is narcissist, but maybe for the reason that...
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...problems can occur due to ethical and cultural barriers in global expansion. In this paper, I will attempt to show some of what a global organization and a cultural issue that affects their interactions outside the United States by identifying and comparing some of these cultural differences. One company that faces these cultural issues daily is Levis Strauss and Company. Levi Strauss and Company is a large American company found in 1853 and it well known for its denim line. Currently Levis Strauss and Co. has operations in over 110 countries with over half of its corporate revenues coming from outside the United States. In American history, we have all heard complaints of companies in the garment industry hiring underage employees outside the United States and poor working conditions. Levis Strauss and Company has not been left out of these accusations. In the United States, child labor is considered unethical and illegal. Levis Strauss and Companies has established a “Worldwide Code of Business Conduct” along with its “Global Anti-bribery and Anti-Corruption Policy” (Levis Strauss and CO., n d). Within Levis Strauss and Companies “Worldwide Code of Business Conduct it states” These...
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...dispensationalist views within his article by noting at the end, the time in which Christ will be seated on David’s throne and that Israel was not forgotten by the incarnation of the Son. A dispensationalist view is a belief there are two distinct peoples of God, which are the Church and Israel, which the Church did not replace. Strauss constructs his arguments by using the Bible to support whether or not something is God’s truth for if God reveals something in His own word then it must be true, because God does not lie or deceive, Numbers 23:19. Strauss uses seven points to establish a support for the incarnation of Christ, which are, He came to reveal God to man; He came to redeem man; He came to rescue the whole creation; He came to restore Israel and He came to reign. These seven points are used to reveal why and what Christ accomplished when he was manifest as a man on this earth and dwelt among us. For example, Strauss explains that Christ could not have been born through any other means other than by virgin birth, because by being born of a virgin Christ retains his humanity, but is not born into sin as with the rest of the human race. Strauss lays out logical arguments and biblical passages, as evidence, to support each of...
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...the changing tastes of their home markets. Levi always tries to minimize the degree to which culture prevents them from producing standardized promotional campaigns. This is because of the benefits of economies of scale and the higher quality that can be obtained for a single advert than for a multiplicity of local adverts. International Marketing Management Levis Strauss & Co. University College Dublin 3 Culture can also be a barrier in relation to the suitability of the product in particular local markets. Countries differ in their tastes and fashions may create the need for adaptation. For example, in Islamic countries females are discouraged from wearing tight fitting dress. Likewise, Japanese consumers prefer tighter fitting jeans than the American counterparts. It is therefore evident that fit, design and style of jeans need to be adapted to meet the requirements of the local buyers. The appropriate colors to use both in the product and the promotional materials also have cultural dimensions. For example, the white color is associated with death in China but black is the color of death in Europe. Levi Strauss when setting up its own direct sales force found that the debt collection period was a six month period in Japan compared with a one month period in the home country. Adaptation to such local trading customs was necessary in order to penetrate the Japanese market. Additionally it is therefore important for pricing to take into account of cultural habits before setting...
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