case study on levis strauss

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Comprehensive Market, Environment and Situational Analysis of Levis Strauss & Co. (Levis) By Sureswar Bhattacharya 15DM040

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Page 1: Case study on Levis Strauss

Comprehensive Market, Environment and Situational Analysis of

Levis Strauss & Co. (Levis)

By Sureswar

Bhattacharya

15DM040

Page 2: Case study on Levis Strauss

INTRODUCTION

• Ready-to-wear men’s garment is the term for factory-made clothing , sold in finished condition.

• Ready-to-wear has rather different connotations in the spheres of fashion and classic clothing.

• In the fashion industry, designers produce ready-to-wear clothing intended to be worn without significant alteration.

• They use standard patterns, factory equipment, and faster construction techniques to keep costs low, compared to a custom-sewn version of the same item.

• Some fashion houses and fashion designers produce mass-produced and industrially manufactured ready-to-wear lines, while others offer garments that, while not unique, are produced in limited numbers.

Page 3: Case study on Levis Strauss

COMPANY PROFILE

• Levi Strauss & Co. is a worldwide corporation organized into three geographic divisions: Levi Strauss Americas (LSA), based in the San Francisco headquarters; Levi Strauss Europe (LSE), based in Brussels; and Levi Strauss Asia Pacific, Middle East and Africa (LSAMA), based in Singapore. The company employs a

staff of approximately 16,000 people worldwide.

Page 4: Case study on Levis Strauss

SWOT ANALYSIS

STRENGTHS :

Brand Name.One of oldest brand of clothes.Perfect blend of design, comfort. Status symbol of upper class.Targets the youth group.

WEAKNESS :

External competition competivenessPrice of levis products is too high.Rate of growth is slow.

OPPURTUNITIES :

Growing casual wear market.Low manufacturing and production costs in various international marketsIncreasing acceptability of western wear across the world.

Threats :

Fast changing consumer tastesLack of protection of property rights in some countries .Increasing Competition and Product SubstitutionA cut throat competition exist between Levis, Lee, Allen Solly and Wrangler

Page 5: Case study on Levis Strauss

BCG MATRIX

The company Levi Strauss comes under the category of Star as compared to the other competitors present in the market such as Allen Solly, wrangler , Lee , Arrow Etc. The position of Star is given to Levi Strauss by considering the factors such Market Growth and Relative Market Share.

Page 6: Case study on Levis Strauss

PESTLE ANALYSIS

Page 7: Case study on Levis Strauss

POLITICAL1. Promotional activities in all countries are regulated by legislation

ECONOMICAL

1. Prices of jeans may vary subsequently.2. Advertisements in poor countries are more based upon factors such as function and value for money.

SOCIO CULTUTAL FACTOR

1. Differences in cultural attitudes lead to enormous variations in product and advertising standards and expectations.2. Levi wishes to minimise the degree to which culture prevents them from producing standardised promotional campaigns

Page 8: Case study on Levis Strauss

TECHNOLOGICAL FACTORS1. Online shopping2. In developed countries Levi makes use of the electronic data interchange system to order and monitor stock levels with their customers.

ENVIRONMENTAL

1. Levi Strauss & co. Also favor paper products processed without chlorine to reduce pollution2. Reduce consumption of forest resources by using recycled material, reducing packaging.3. Levis will not buy woods and paper products from endangered forests.

LEGAL1. The political/legal environment, encompassing factors related to governmental

activities and laws and regulations, directly affects marketing activities.

Page 9: Case study on Levis Strauss

Market share analysis report according to 2012-13

45%

25%

22%

18%

Market Share

Levi's Strauss

Allen Solly

Wrangler

Lee

Page 10: Case study on Levis Strauss

Competitor analysis

A cut throat competition is going on in the Indian market between some of the major players of garments they are Levi Straus, Lee, Wrangler, Allen Solly, Raymond apparel. Amongst them Levi Strauss is the Market Leader in the current scenario.

Page 11: Case study on Levis Strauss

CONCLUSION

With the help of my study I come to know that my company “Levi Strauss & co.” is one of the prominent players in the Garment sector in today’s market. Levi has a great potential and vital role to play in the share of ever growing In Economy. It is basically known for its quality products and brand value. Therefore it is progressing both in terms of market share and market growth rate. The company is going very well and will be achieving great heights in the future span of time.

Page 12: Case study on Levis Strauss