Essay on Swot

1245 Words Nov 2nd, 2014 5 Pages
Dominant Economic Traits
The world is aging as birth rates decrease and medical progress helps increase the average age a person reaches in its life. This means that the potential market for luxury goods is growing as well since the average customer for Coach's products a 35-45 year old, college educated, professional female. Also, there's a trend towards two income households and a change of buying habits of mid income consumers, who seem to be more interested in luxury goods through effective advertising. These facts present promising opportunities for Coach Inc. to grow.

Key Success Factors
Coach as a manufacturer include matching key rivals in quality and styling while beating them on price by 50 percent as well as and the ongoing
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The products are sold through direct mail catalogs, on-line store, e-commerce websites,200 retail stores and its 76 factory stores. The catalog has had increasingly popularity and has been an important advertising and sales tool for Coach, both domestically and abroad. In addition, Coach launched its online store at www.coach.com. Coach has also spread to various retailers and departments’ stores to increase sales. To improve and market the brand, boutiques have been setup in the department stores. Through this distribution strategy and advertising campaign Coach has become one of the most well recognized brands in the United States and is rapidly gaining recognition internationally, especially in Japan.
Foreign Markets
Coach is, “America’s number one accessible luxury accessories brand, and the fastest growing imported handbag and accessory brand in Japan.” Without marketing and design it would not be possible for Coach to receive such distinguished titles. In 2004 marketing and design costs reached 63.5 million. As a result Coach was able to penetrate new markets such as Japan and strengthen their position in existing ones. Coach recently announced the next phase of its growth strategy Japan. It involves capitalization on the significant growth opportunity that exists with the domestic Japanese consumers. The company expects sales to more than double during the next four years to over 80 billion yen by 2009. Furthermore, Coach announced that it is strengthening its

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