Group 2 Corpuz, Gerald Mauri, Kimberly Nunag, Janine Ruiz, Shaina Kris

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Group 2

Corpuz, Gerald
Mauri, Kimberly
Nunag, Janine
Ruiz, Shaina Kris

I.

TITLE: Liz Claiborne Inc.

II.

VIEWPOINT: Jerry Chazen, CEO of Liz Claiborne Inc.

III.

TIME CONTEXT: early 1990s

IV.

STATEMENT OF THE PROBLEM: Liz Claiborne Inc.s designs are


imitated by competitors that offer new lines of cheaper clothing.

V.

OBJECTIVE: To be able to produce variety of new styles of clothing


for men and women every year.

VI.

SWOT ANALYSIS
STRENGTHS
By 1990 Liz Claiborne
had more than $2 billion
in annual sales.
Its stock had become a
Wall Street Favorite.
Providing attractively
designed clothing for
professional women at
reasonable prices.
The Liz Claiborne team
used its design skill to
produce a line of mens
sportswear & to develop
new products such as
perfume. Shoes &
accessories.
Liz Claiborne bought
Russ Togs, a clothing
maker that produces 3
brands of womens
clothing: Crazy Horse,
The Villager, & Red
Horse.

WEAKNESSES
Many of the companys
retailers such as Macys
were in deep financial
difficulty & were cutting
back on purchase to
reduce their debt.
Clothing store such as
Casual Corner, J.C. Penney
& discount store such as
Kmart and Wal-mart does
not sell Liz Claiborne line
but carry low-priced lines
of competitors.

Group 2
Corpuz, Gerald
Mauri, Kimberly
Nunag, Janine
Ruiz, Shaina Kris

OPPORTUNITIES
Brand partnership
Huge market for
younger women
Product innovation
Global Expansion
Acquire more companies

VII.

THREATS
Imitations
Lose fashion edge
Demand for fashion is
constantly fluctuating.

ALTERNATIVE COURSE OF ACTION (ACA):


1. Co-branding
2. Product innovation
3. Global expansion

VIII. RECOMMENDATION: Co-branding


ADVANTAGES
Greater customer trust on
the product
Wide scope due to joint
advertising
Establish Credibility
Cost savings
More sales income
Risk & resources-sharing

IX.

DISADVANTAGES

Co-branding may create


confusion

Loss of control (lack of


well communication)

Cannibalization of brand
partners

Co-branding may fail


when there is a difference in
vision and mission

PLAN OF ACTION
1.
2.
3.
4.
5.
6.
7.

Look for collaborators who share your core values.


Choose a complementary brand.
Articulate companys strategy.
Negotiate promotion terms.
Determine your consumer and your partners consumer.
Establish goals.
Find a good set of metrics

Group 2
Corpuz, Gerald
Mauri, Kimberly
Nunag, Janine
Ruiz, Shaina Kris

8. Outline list of activities that need to be accomplish.


9. Set responsibilities
10.
Launch the promotion
11. Review the goals that the company initially set out to
accomplish.

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