...relevant factors of the macro-environment that affect the attractiveness of the U.S. jewelry industry? Specifically, are general and industry economic conditions and socio-cultural factors favorable to Tiffany & Co.’s business situation? According to the PESTEL Analysis, the strategically relevant factors are: political factors, economic conditions, socio-cultural forces, technological factors, environmental force, and legal/regulatory factors. Economic conditions and socio-cultural factors have not been favorable to Tiffany & Co. Economic hardships and the recession have led to revenue declines between 2006 and 2010. Retail jewelers in the U.S. were affected by these poor economic conditions and stores dropped from 62,000 in 2007 to 56,000 in 2011. In 2006, the price of gold increased from $600 per ounce to $1,600 in 2011. This resulted in the industry average profit margin to decrease to 5.1 from 2006 – 2011. In term of socio-cultural factors, the aging population, and the reduced number of weddings has affected the industry average profit margin. Consequently, the number of weddings in the U.S. has dropped from 2.3 million per year to 2 million between 2001 and 2010 and dropped again in 2009 and 2010. 2. How strong are the competitive forces confronting Tiffany & Co. and other retail jewelers? Which once of the five competitive forces is the strongest? Do a five-forces analysis to support your answer. Threat of Entry: The threat of entry is strong because to...
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...History of the Company The 1830s in New York City were a time of dynamic growth and high taste for fashion. With this in mind; Charles Lewis Tiffany and John B. Young saw an opportunity and in 1837 opened Tiffany & Young, a “stationery items and fancy goods” store with a $1,000 advance from Tiffany's father. That same year, the visionaries introduced their signature Blue Box which became the symbol of the company. Opposite of the opulence and extravagant taste of the time, Tiffany and Young were inspired in nature, offering clean and harmonious patterns creating a new “American Style” expressed on silver hollowware, flatware and later jewelry. In 1845, Tiffany published its first “Blue Book” catalog, which is still being published today showcasing its collection of fascinating couture jewelry, custom- designed pieces and most breathtaking jewels. Tiffany was the first company to introduce the 925 sterling silver standard of purity and mostly because of the efforts of Charles Lewis Tiffany; this ratio was adopted by the United States Congress as the American sterling silver standard. The company was awarded the grand prize for silver craftsmanship at the Paris Exposition Universelle in 1867, making Tiffany the first American design house to be honored by a foreign institution. By 1900 Tiffany & Co. had become America's leading supplier of jewels and timepieces as well as luxury personal, table, and household accessories. Tiffany’s reputation was not limited to the United...
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.... Tiffany and CO. A case study presented by: Ben Turkia Emna For MGMT 6000: Marketing management Harvard summer term Synopsis Prince charming on his white horse, Cinderella and her glass shoes, princesses, fairy tales…. Are strong definers of pop culture and perception. Those symbols learned and adopted during a girl’s childhood translate into brands and product as that girl becomes a woman some brands have done a very good job capturing these concepts and translating them in a marketing proposition: the Vera Wang dress, The Louboutin shoes and of course the tiffany’s six prongs setting diamond ring are part of the myth they are part of every women’s dream wedding. Like everything born in New York tiffany has a strong mythic history founded in 1837 by Charles Tiffany, the brand became since its first day a destination for luxury and uniqueness, reinforced by its founder commitment to high end unique world renown pieces such as the tiffany’s yellow diamond – a 28 carat unique stone- or the French crown jewelry he acquired the brand gained very quickly a unique identity associated with the world’s best pieces of jewelry. The tiffany’s brand today: In 2012 tiffany launched a new product Rubeto to celebrate its 175th anniversary this new metal called rose gold is in the fact a composite made only from 31% of gold and a mix of other metals featuring essentially copper. Despite its very low concentration in gold the Rubeto collection retails for over 7000usd a piece. (FORBES) ...
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...Key issue: Tiffany and Co concluded an agreement with its Japanese Distributor, Mitsukoshi Limited. Tiffany & Co Japan assumed management responsibilities of the operation of 29 boutiques and was now responsible for millions of dollars of inventory that was previously sold wholesale to Mitsukoshi Limited. Tiffany & Co Japan now faces the risk of foreign currency fluctuations previously borne by Mitsukoshi Limited. Tiffany & Co Japan must now make the decision between basic hedging alternatives: Entering into forward agreements to sell yen for dollars or purchasing a yen put option. Exposure As Tiffany & Co’s receivable cash flows are now denominated in ¥ due at future date the firm now faces the foreign exchanges risks with uncertainty of the dollar equivalent of cash flows. Tiffany & Co. now face transaction, translation and operating exposures. Transaction exposure risk is observed in Tiffany’s deferred payment to Mitsukoshi of $25 million as this denominated in USD and cash inflows from Tiffany Japan will be denominated in yen. Translation risk represents foreign assets on financial statements as of July 30 1993 Tiffany & Co showed $7.7million in foreign assets. The most significant exposure that Tiffany will experience is operating risk due to the high amount in ¥ inflows. Tiffany & Co. will need to limit this exposure hedging these inflows in the medium term; however major currency movements will be factored in to the retail price in the...
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...THE MAIN STRATEGIC PROBLEMS PROBLEM: ‘Tiffany’ was very focused on their brand name. In most of the cases it is very good for a company and for Tiffany it would be right decision as well but the management preferred to do it starting from the bottom point. In my opinion, it was wrong decision. The company put very high prices on jewelries which do not have very high value according to the materials, and furthermore the company did not have the name what would attract people to buy its products. The company had chosen fundamental strategy to keep their name up and make it more famous. The second strategic fault, in my view, was the licensing the Tiffany brand to an Italian fashion-eyewear manufacturer – it means they have no control over the products which are produced by other company, so most probably the quality also will not be the same. It can be the reason for sales to fall down. Solution 1: I think they should have licensed the name for other sphere of production – this point would assure people that the products they used to buy from Tiffany are still made by the same way, and quality is going to be saved as usual. Solution 2: I would enhance the range of the products, and at the same time to have a control over of their quality. I think, in this case the sales would go up with the income. Recommendation: In my opinion the second solution would be better for this case. According to the Tiffany’s history: in most of the times the company was making decision exactly...
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...marketing exists. Marketing Response towards the Trend More and more brands are following the trend to respond to the LGBT advertising and most of them have widespread impact online (Snyder 2015). Burger King launched a regular burger with special rainbow-colored wrapper printing a message “we are all the same inside” in Pride week (Snyder 2015). People in LGBT community said that they feel supported and this made them feel proud (Oster 2014). Ben & Jerry produced a limited edition flavor ice-cream called “Apple-y Ever After”, with the aim to set an ideology but not about marketing. Surprisingly, they received the highest ever engagement levels from social media posts compared to their previous campaign (Goldhill 2014). Tiffany & Co....
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...Matt Rush E-Commerce Everywhere Throughout the course of its existence, the internet has revolutionized many things that occur in everyday life by making them more efficient, more convenient, and more accessible. Shopping is no exception. Online shopping is a tool that countless people take advantage of in today’s tech-savvy world. As late as only two decades ago, it would be unheard of for a person to sit at their desk at home, order a product at their convenience, and have the product show up at their doorstep several days later. Today, this action is commonplace, and company names such as Amazon and eBay have become household names that anybody can associate with the online shopping craze. However, as with all good things, there have been several controversies and downsides that have emerged as shopping on the internet has become more prevalent in society. Those issues, as well as the history and future of purchasing items online, will be examined throughout the following pages. One of the most popular sites for internet users to purchase items is ebay.com. EBay is a site that allows users to place items for sale in an auction format, and throughout the course of the auction’s life, other users can bid on the item. Pierre Omidyar founded this website in 1995. Omidyar’s original reason for starting eBay was his fiancée’s inability to find other people with which she could sell and add to her Pez collection. The frustrations of collectors included not being...
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...Page . . . 2 4 7 Texts 1. Rosemary Bennett, “Couples that live apart. . .stay together”, an article from The Times website, May 12, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2. Jill Brooke, “Home Alone Together”, an article from The New'Y0rk Times website, May 4, 2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. Gary Picariello, “Just What Modern Romance Needs”, a comment from Associated Content website, March 30, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . B Write an essay (700-1000 words) in which you analyse and interpret Sky Brannon’s short story “Fireweed”. Your essay must include the following points: - the way the story is structured - the main theme - a characterization of Baluta/Joel - the setting Text , Page Skye Brannon, “Fireweed”, a short story, 2009 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 s 1 Side 2 af 12 sider A 2 t 5% 3 I 21 TEXT l Rosemary Bennett ijtga l Couples that live apart...stay together Q The unusual living arrangement of Shirley Denny and Peter Lawrence has raised eyebrows among friends and neighbours over the past two...
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...Michael Hill International Limited (MHI) | Individual Case Report: External Analysis | Table of Contents Report Purpose 3 Company Overview 3 Background of Michael Hill International Limited 3 Environmental factors affecting the Jewellery Industry & Michael Hill International Ltd 4 Industry Analysis 10 Strategic issues and problems for the Jewellery industry 10 Future of the industry 12 Company Analysis 12 Competitor analysis 14 Conclusion 14 References 18 Report Purpose To conduct an external analysis on Michael Hill International limited (MHI) to establish whether the firm is in a favourable industry and ultimately their position among their rivals. It will consist of industry analysis including; key industrial driving forces, potential emerging trends affecting the macro-environment of the industry that might transfer onto Michael Hill International Ltd as well as, their competitors in the industry. The main strategic issues for the industry will be identified and their implications on Michael Hill International Ltd will be outlined/described. Company Overview Background of Michael Hill International Limited In 1979, Michael Hill opened his first signature jewellery store (Michael Hill Jewellery) in Whangarei and entered into the New Zealand jewellery industry. Fast-forward 33 years, Michael Hill International Limited together with its 13 subsidiaries, has become one of the largest manufacturers, wholesalers and retailers...
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...How Globalization Affects Luxury Goods Industry? Andy Warhol, a pioneer in the visual art movement once said: “Whenever people and civilizations get degenerate and materialistic, they always point at the outward beauty and riches and say that if what they were doing was bad, they wouldn’t being doing so well, being so rich and beautiful” (Warhol, 1975). Throughout history, luxury emerged as early as civilization did. For old Romans, the concept of luxury was a “disruptive power of desire”. They set up the first laws about luxury: “how much could be spent on banquets and adornment” (Ward, 2011). Since the rise of Christianity, luxury stared to changed its meaning to be related to lust and sexuality. Until 17th century, perspectives of luxury products again changed across the continent of Europe because of the frequent trade and business. At that time, luxury was considered as an advantage, which brings money and profit. The extreme luxury phenomenon swept across France during 17th century, especially on the architecture of chateaus—the excessive styles and appearances with resplendent furniture. Until the late modern period, luxury began to experience the process of moralization since people’s revaluation on desire. According to “The Spirit of Laws”, Montesquieu said that: “ luxury is therefore absolutely necessary in monarchies; as it is also in despotic states” (Carrithers & Nugent, 2001). In terms of luxury products companies, they try to find the balance between history...
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...Business Research Report #2 Kimberly Pace BUSI 1033 Introduction to Business, 7-Nov-15, Lisa Allen Yorkville University Business Research Report #2 As part of my Business Research Report I have chosen the following companies: The Second Cup Ltd. And DAVIDs Tea Inc. Throughout the course, there has been so much discussion regarding coffee that I thought I would delve into the coffee and tea world a little deeper. Davids Tea first opened in 2008, in Toronto by David Segal and Herschel Segal. David was a tea loving entrepreneur and his cousin Herschel a Canadian Retail Pioneer and founder of Le Chateau. The two are passionate about tea and opened a tea company because they felt that tea brings people together. It is healthy and delicious and is the second most popular drink second only to water. Davids tea carries over 150 types of teas, including exclusive blends, limited edition seasonal collections, and exotic teas from around the globe. David’s teas have unique names such as the sweet blends named Read My Lips or Red Velvet Cake that tastes like red velvet cake. They carry premium green teas such as Sencha Ashikubo or Dragonwell. They also sell tea accessories to assist you in making the best cup of tea possible (The Davids Tea Experience, 2015). The company now has 136 tea shop locations across Canada and 25 in the United States, offering the public 5.1 million shares in June of 2015 for $19 U.S. per share (Davids Tea debuts, 2015). Second...
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...From: Blue Nile To: Board of Directors Re: Strategic Report Date: March 31, 2013 Executive Summary The mission of Blue Nile is to build a premier specialty retailer of jewelry by offering consumers high quality products at compelling values through empowering the shopping experience. We employee a best-cost provider strategy, focused on offering premium jewelry with attractive prices, while offering the shopper a comfortable and user friendly shopping experience. We aim to offer customers their desired piece of jewelry at an affordable price. To continue our dominance in the online jeweler market, we will continue to maintain strong relationships with our suppliers to keep our supply chain running efficiently. We will also continue to offer premium customer service to ensure the best shopping experience possible. With expansion into global and foreign markets, Blue Nile is constantly seeking ways to expand out market share, creating more value for our shareholders. Mission Statement To build a premier specialty retailer of jewelry by offering consumers high quality products at compelling values through empowering the shopping experience. Strategic Objectives Our objective, at Blue Nile, is to maximize our revenue and profitability and increase market share both domestically and internationally by offering exceptional value to our customers through a high quality customer experience that leverages supply chain efficiencies and an efficient cost structure. ...
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...Donald Tiffany Dr. Valerie Levy English Comp 101 4/19/2015 A Picture is Worth a Thousand Words..Tears It was once said by Betrand Russell, “War does not determine who is right-only who is left”, I believe by this he means just because one side wins or one side loses doesn’t mean one is right or wrong. The fact of the matter is that when it comes to war, both sides see themselves as the right or virtuous side fighting for the cause that is just, but sometimes in war it doesn’t matter if you are the one that is right or wrong but rather the one with the bigger gun. War is a messy and by all means painful situation to be apart of, which ever if it is you fighting on the front lines or observing it through another means maybe such modes like media. Imagery of war can have an enormous effect on the people involved but also just the same lasting effect of the people that witness these images. In Susan Sontag’s, “Regarding the Pain of Others” and John Berger’s, “Hiroshima” they both depict their ideas toward the imagery of war and what the effects are and how these effects can have certain lasting results on our humanity. Both authors, Sontag and Berger have their own views on imagery of war, and how and if it should be used. Placing their opinions side-by-side allows us to compare their ideas on bringing to light the horrors of war, protection of our innocence, and what is morally right. War is no picnic in the park, it is an ongoing sequence of horrifying events that each...
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...Costco Corporation By: Tiffany Cosby Professor Aleakhue Yekpabo Human Resource Management 01/24/2014 I decided to research and write about Costco warehouse. I can relate to this company because my husband is employed there and it has become one of my favorite stores. Costco has the best prices. It is a membership warehouse club, providing its members with the best possible prices on brand name quality merchandise is one of their priorities. They offer a refund on membership if a customer is not satisfied and will guarantee satisfaction on every product or your money back. This says a lot about the brand of the company. The founder of Costco Sol Prince stated that his secret is to sell things as cheap as possible. Since resuming the name Costco in 1997, the company has grown worldwide with total sales in recent fiscal years exceeding $64 billion (Costco). As of December 2013, the Company operated a chain of 648 warehouses in 43 states, Washington D.C., and Puerto Rico (461 locations), nine Canadian provinces (87 locations), Mexico (33 locations), the United Kingdom (25 locations), Japan (18 locations), Taiwan (ten locations), Korea (nine locations), and Australia (five locations). The company's online business operates websites in the U.S., Canada , U.K, and Mexico. The membership format is designed to reinforce member loyalty and provide continuing fee revenue. Members can utilize their membership at any Costco location in any country. The two types of memberships...
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...In October 1946, Soichiro Honda established the Honda Technical Research Institute in Hamamatsu, Japan, to develop and produce small 2-cycle motorbike engines. Two years later, Honda Motor Company, Ltd. was born, and in 1959 Honda opened its first storefront in Los Angeles with six industrious employees. The history of the Honda Motor Company began with an autophile and his dream. Japanese entrepreneur Soichiro Honda had loved motor vehicles almost since birth. When he was fifteen, he became part of an auto repair shop, and the passion grew. His greatest dream was to become a world-renowned car racer, and it was an ambition which he would fulfill in time. But first, the auto lover found himself employed as a technician. During his free time, he nurtured his growing interest in motor vehicles by building race cars and tooling with his Harley motorcycle. Honda possessed a natural talent for anything motorized, and his skills allowed him to open the doors of his very own repair shop in 1928. As his curiosity grew, he attended technical school in order to discover the perfect way to manufacture a piston ring. Honda combined his inborn knowledge with his new technical knowledge to take the first tentative steps toward entrepreneurial success. He utilized what he had learned about piston rings to form the Tokai Seiki Company. In 1928, he secured his first of many patents (for automobile wheel spokes). Then, as World War II ravaged Japan, Honda cornered the market on badly needed generator...
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