Subject category:
Strategy and General Management
Published by:
Ivey Publishing
Version: 2017-02-22
Revision date: 14-Mar-2017
Length: 20 pages
Data source: Published sources
Abstract
This case deals with the opportunities and challenges of Louis Vuitton, the leading European luxury-sector multinational firm, in Japan, taking into account the unique features of brand management and integrating culture and consumer behaviour in Japan. In the last decade, Japan has been Louis Vuitton's most profitable market, but the global economic crisis has presented challenges. Facing a weak economy and a shift in consumer preferences, Louis Vuitton has been adapting its unique strategy in the Japanese market. The days of relying on a logo and a high price seem to be gone, as there is more interest in craftsmanship and value for money. To promote sales, the company has had to launch less expensive collections made with cheaper materials. The brand has also been opening stores in smaller cities, where the lure of the logo still works. Over the years, Japanese consumers have demonstrated fascination with and passion for the iconic brand. What have been the keys to Louis Vuitton's successful business model in the Japanese market?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Time period
The events covered by this case took place in 2008-2009.Geographical setting
Region:
World/global
Countries:
Japan; France
Featured company
Louis Vuitton
Industry:
Manufacturing
About
Abstract
This case deals with the opportunities and challenges of Louis Vuitton, the leading European luxury-sector multinational firm, in Japan, taking into account the unique features of brand management and integrating culture and consumer behaviour in Japan. In the last decade, Japan has been Louis Vuitton's most profitable market, but the global economic crisis has presented challenges. Facing a weak economy and a shift in consumer preferences, Louis Vuitton has been adapting its unique strategy in the Japanese market. The days of relying on a logo and a high price seem to be gone, as there is more interest in craftsmanship and value for money. To promote sales, the company has had to launch less expensive collections made with cheaper materials. The brand has also been opening stores in smaller cities, where the lure of the logo still works. Over the years, Japanese consumers have demonstrated fascination with and passion for the iconic brand. What have been the keys to Louis Vuitton's successful business model in the Japanese market?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Settings
Time period
The events covered by this case took place in 2008-2009.Geographical setting
Region:
World/global
Countries:
Japan; France
Featured company
Louis Vuitton
Industry:
Manufacturing