5. History
Hennes & Mauritiz AB
1946 1947 1968 1974 2006
Erling
Persson
has
outlined
ideas.
Hennes’s
strore in
Sweden
He bought
Mauritz
Widforss
=> Hennes
& Mauritz
(H&M)
H&M
appeared
on the
Stockholm
Stock
Exchange.
H&M
appeared
in Dubai
and Asian.
22. CONSUMER KNOWLEDGE
Knowledge of the
existence of a
product
Knowledge of
characteristics
and associations
of the product
Knowledge in
buying
Knowledge of
consuming and
using the
products
Knowledge of
persuasion
26. Brand Relationship: When
looking for a cheap fashion product
with acceptable quality, I can
always count on H&M
Brand Responses: A convenient
place to find a necessity at a good
price such as a plain color shirt
Brand Meaning: A store with a
simple lay-out, variety of
collections, simple designs, and
lower customer services
Brand Identity: A retailer that
sells clothes and fashion
accessories at an affordable price
34. Base on GE-MCKINSEY MATRIX
INVESTMENT IMPLICATIONS
To define:
• The attractiveness and potential growth of Vietnam
market
• The competitive advantages of H&M
37. The attractiveness and potential growth
of Vietnam market
The formula to calculate:
- The critical level ( %) * ranking criteria (1-5) = SCORE
38. • Low-tech apparel:
0.24
• Diversity of
materials: 0.16
• The legislation of
copyright: 0.12
• Consumer tastes change
quickly: 0.33
• The influenced by
geographical factors: 0.2
• High policy for
environment: 0.03
• The large economy size: 0.36
• Cheap labour: 0.5
• High inflation: 0.28
• The financial crisis affecting
the exchange rate: 0.21
• The diversity of
market: (5%)*4= 0.2
• The size of the
market: (11%) *4=
0.44
• The low level of
competition: 0.39
Market
Economy
&
finance
Technology
Society &
legislation
TOTAL COST: 3.46
39. The strength of H&M
The formula to calculate:
- The critical level ( %) * ranking criteria (1-5) = SCORE
40. • Highly specialized
of labourers: 0.28
• Capable of research
and well product
development: 0.44
• Good business
organization: 0.27
• Care about
environment: 0.12
• Compliance with
legislation in
Vietnam: 0.08
• Good relationship
with customers:
0.07
• High level of brand
recognition: 0.15
• The high level of
competition: 0.22
• Good Financial
Strength: 0.4
• Cheap cost of raw
materials: 0.24
• Big market share:
0.07
• The rapid growth
of business: 0.16
• Good channel
strategy: 0.09
Market
Economy
& finance
Technology
&
Labourers
Society &
legislation
TOTAL COST: 2.59
53. ON PRICING
- The pricing strategy is
H & M widely practiced
around the world is
quite soft compared to
the average level of the
market
• Changing needs of the
market and close
cooperation with
corporate policies, while
constantly changing
product lines and
updated seasonal
collections and
combined with pricing
strategy – cheap.
55. ON CHANNEL
H & M has had average level
of control has shown the
essence of their brand
through business
representative in the country
expanded.
-It can also generate profits can predict from
foreign operations. The degree of stability to
be maintained over the medium term the main
factor goods: the control and flexibility. risks,
commit resources.
59. .
- Implement policies loyal customers will be a discount, and often accumulate
points, receive gifts.
- Hold a contest, game booths in shopping centers in the company H & M. For
example, can hold a contest of Design Fashion
61. • Reduced prices some items
• Customers who bought a certain number of
coupons will be offered.
• For VIP customers, get 1 of 1 products in bulk
orders.
Hinweis der Redaktion
Fast-fashion: The delivery time is then also made as short as possible. They can be rapidly delivered to Zara’s central distribution centre in Spain and shipped to stores around the world twice a week. In contrast, H&M claims that its “displays are changed frequently and themed around an association or a feeling, but always keep the clothes in focus”.
From design to shop floor: The beginning of the Zara supply chain starts with its creative and design teams. Based in Spain, the creative team, including designers, make use of large amounts of information to inform their decision. The beginning of the Zara supply chain starts with its creative and design teams. Based in Spain, the creative team, including designers, make use of large amounts of information to inform their decision.
Feedback loops: the company’s business model requires a “constant feedback between stores and designers (over 250 at Zara), through daily analysis of sales and data analysis of sales data and qualitative information on customer reactions to products”.
Mango proposes clothes that are at the same time trendy and practical. Of course the stylists are inspired by fashion shows but they have to design more than 70 % of basic clothes and around 30% of "fashion" products.
Prices remain affordable even though they are higher than the ones in Zara.
All shop assistants are personal shoppers. They have been trained to advice customers. MANGO wants to offer an environnement conducive to consumption even though prices will be consequently higher.
Haute Couture: they are still attuned to contemporary trends but we had reached a point where Haute Couture was translated successfully into street style
Kate Moss. Her initial collaboration with Topshop was the one that drew much attention to a brand that was up until then a teenage attraction.