2. Lecturer: Dr. Urs Bumbacher
Group 1
Mr. Tuan Nam
Mr. Quang Linh
Mr. Minh Duc
Ms. Le Hang
Ms. Lien Pham

3. LOUIS VUITTON
Background
 One of the world's leading
international fashion houses
 Headquartered in Paris
 Divisions: Ranging from luxury trunks
and leather goods to ready-to-
wear, shoes, watches, jewelry, accesso
ries, sunglasses, and books.

4. Background
• Employees: 11,700
• Revenue: € 3,2 billion (2012)
• Brand Value: $ 26 billion
(2012)

5. History
Early Days (1854-1892)
 1854 - Louis Vuitton opens first store in Paris
 1876 – Became the supplier of luggage of
many famous people in that era
 King Alfonso XII of Spain, Czar Nicholas II of Russia, Ismail
Pacha – viceroy of Egypt
 1885 - first LV store opens in London, on Oxford
Street
 1892 - Vuitton dies; the Vuitton company
begins selling handbags.
Louis Vuitton

6. History
Golden Age of Louis Vuitton (1893-1936)
 1893 - Georges (Louis’s son) begins his
campaign to make the company into a
worldwide corporation.
 1936 - The golden age of Louis Vuitton
ends as Georges Vuitton passes away.
Estimates attribute Georges Vuitton with
over 700 new Vuitton designs.

7. History
• Modern Age of Louis Vuitton (1937-1996)
– 1978 - Vuitton opens its first stores in Japan, in Tokyo and
Osaka. (Sales in Japan would come to account for nearly half
of the company's total revenue by the 1980s.)
– 1984 - Vuitton expands its presence in Asia by opening its first
store in Korea, in Seoul.
– 1987 - Moët et Chandon and Hennessy, leading
manufacturers of champagne and of
brandy, respectively, merges with Louis Vuitton to form the
world's largest luxury goods conglomerate, LVMH. The group is
partly owned by the Christian Dior group, and Bernard Arnault
is Chairman and CEO of both companies.
– 1992 - The first store in China is opened at the Palace Hotel in
Beijing.

8. History
• Millennium Age of Louis Vuitton
(1997-present)
– 1997 - hires designer Marc Jacobs
to be the label's artistic director
– 2006 - opens its first store in Norway

9. Target Market
LV uses demographic targeting strategy to target
their customers
Both men and women
 Age: ranging from young adults to seniors (22 – 65
yrs old)
Income: around $5,500 or above per month

10. Why go international?
• Became supplier for aristocracy
• Exclusive handmade trunk for
noble families
• Using reputation from word of
mouth of the small circle of royal
families

11. Entry
Ownership mode
• First direct Export
• Complete branches

12. Success Story in China
• High penetration in Asia
• A growing company and internationally oriented
• The flagship product: the Bag
• Exclusive distribution
• The communication by LV

13. Success Story in China
• The brand represent the
discovery, refinement, French elegance and
creativity.
• The Vuitton’s Events
• Staring
• Made in France
• Premium positioning
• The mass effect.