Background in Brief:
Coach was first established in 1941, as a small family run leather goods manufacturing business. Over time Coach became recognized as a premium brand that provided superior quality leather goods in classic styles and in the 1980`s it opened exclusive Coach retail stores. Coach was sold to Sara Lee in 1985 and experienced rapid expansion. Coach`s product portfolio was expanded to include, accessories, luggage and briefcases and many more exclusive Coach stores and Boutiques were opened. By the late 1980`s there were 12 exclusive Coach retail stores as well as approximately 50 boutiques selling Coach products within lager department stores. While Coach initially grew it started to lag behind its competitors in terms of trendiness and sales began to decline. In 1996 Krakoff joined Coach and he was instrumental in positioning Coach as an 'accessible luxury brand`` for it was understood that price was a source of competitive advantage for the brand in the luxury market. In October 2000, Coach went public under the name of Coach Inc. By 2005 Coach`s revenues tripled and their share price increased more than 900 % since their IPO in 2000.
The Organization Today:
Coach is one of the most recognized fine accessories brands in the U.S. and in targeted international markets. Coach is a leading American marketer of fine accessories and gifts for women and men. Their product offerings include women’s and men’s bags, accessories, business cases, footwear, jewelry, sun wear, travel bags, watches and fragrance. Coach’s distribution strategy is multi-channel. Coach operates in two segments: Direct-to-Consumer and Indirect. The Direct-to-Consumer segment includes sales to consumers through Company-operated stores in North America, Japan, Hong Kong, Macau, mainland China, Singapore, Taiwan and the Internet. The Indirect segment includes sales to wholesale customers in over 20 countries, including the United States; royalties are also earned on licensed products. As Coach’s business model is based on multi-channel international distribution the success of the corporation does not depend exclusively on the performance of a single channel or geographic area.
Mission, Goals & Stakeholders
``Coach seeks to be the leading brand in terms of quality lifestyle accessories offering classic, modern American styling ‘ Coach is focused on a specific type of style – classic, modern American, and wants to be the leader in that segment. Coach lists its core beliefs as follows: The Brand is our Touchstone, Customer Satisfaction is Paramount, Integrity is Our Way of Life, Innovation Drives Winning Performance, and Our Success Depends on Collaboration. Coach’s commitment to its mission statement and beliefs are clearly working as Coach holds the number one position within the U.S. premium handbag and accessories market and the number two position within the Japanese imported luxury handbag and accessories market. Goals and Objectives:
To offer premium lifestyle accessories and provide consumers with quality, relevant and innovative products that are extremely well made, and sold at an attractive price. Drive growth and market share by expanding their distribution channels to reach local consumers in emerging markets and leveraging the global opportunities. Ensure that the Coach brand remains a premier, distinctive and easily recognizable brand by delivering a consistent message to the consumer through their communications and visual merchandising while protecting the brand name from counterfeit products. Anticipate consumer changing needs by being `consumer centric`` through the use of extensive consumer research and surveys to innovate to create customer and shareholder value. Stakeholders:
Employee’s: Coach`s approximate 18,000 employees are extremely important stakeholders for the company. They want to have a fair salary and benefits for their hard work. Investors: Shareholder`s...
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