TOMMY HILFIGER GROUP

Tommy Hilfiger Group

Executive Summary

The paper discusses the strategic analysis of the company name Tommy Hilfiger which is a very famous retail clothing brand of the world. The company's operation includes manufacturing clothes, shows, perfumes and many other accessories. The below paper discusses the internal and external analysis of the company. Tommy Hilfiger has been subjected to global and strategic issues which are also discussed later in this paper. In the end, the paper discusses the valuable recommendations that will help Tommy Hilfiger to achieve its mission, vision and strategy.

Table of Contents

Executive Summary2

Introduction4

Situational Analysis4

Environmental Analysis5

Political5

Economic5

Social6

Technological6

Environmental6

Legal7

Industry Analysis7

Bargaining Power of Suppliers7

Bargaining Power of Buyers7

Threat of Substitutes8

Threat of New Competitors8

Existing Rivalry8

SWOT Analysis9

Strengths9

Weaknesses9

Opportunities10

Threats10

Ansoff Grid11

Market Development for Existing Products11

Flexibility11

Globalization Issues of Tommy Hilfiger12

Issues related to multiculturalism and diversity13

Tactics for achieving the strategy and vision13

Branding and Reputation14

IT Integration14

Managing the Suppliers14

Challenges for Tommy Hilfiger15

Increased customers awareness of environment15

Maintenance of quality15

E-buzz16

Recommendations16

Consumer backlash16

Frequent advertising using different medium17

Resilient to economic retail environment:17

Joint venture and alliances17

Anthropologies of innovation18

Conclusion18

References19

Tommy Hilfiger Group

Introduction

Tommy Hilfiger (in Russian is pronounced Tommy Hilfiger) is an American company that manufactures clothing , shoes , perfumes , optical and sun glasses , watches , and various leather goods. The company employs over 5,000 employees, total revenues of about $ 2 billion, and profits of the order of 135 million dollars a year (Golder, 2009: 326). The company was founded in 1985 an American designer Tommy Hilfiger , for the first time the company has loudly declared itself in 1992 with the release of which had success in the world of fashion , men's wear collection. Further, thanks to close cooperation with the stars of show business, makes Hilfiger brand Tommy Hilfiger one of the most prestigious in the class of luxury clothing.

Situational Analysis

The situational analysis of the company means that the company evaluates the situation in terms of the three C's related to the business. These three C's consists of Customers, companies, and competitors (David, 2009: 137). The company makes sure that it carries out an extensive analysis of the situation, as well as, the environment. Analysis of customers and the competitors is known as external analysis, and the assessment of the company is known as the internal analysis. The following section will provide an extensive analysis of the external, as well as, the internal analysis.

Environmental Analysis

The environmental analysis of the company is best conducted as the PESTEL analysis. The PESTEL analysis will help the company in analysing the external environment in which the company operates. Although the company operates in different countries, this section will provide a PESTEL analysis of the United Kingdom (Narver, 1990, Pp. 20).

Political

The political situation of the United Kingdom is very stable. The situation is very stable, which means that the country is able to operate in an environment which is helpful for the company (Echikson, 2000). Tommy Hilfiger has strong support of the government of the country in which it operates which means that the company has a good backup support from the government. The political situation of the company does not ...