LVMH Company Overview
Louis Vuitton, a French fashion house, is now a brand of the LVMH group. It was first set up in 1854 by a young trunk-maker named Louis Vuitton. He started out by designing and manufacturing innovative stackable trunks. Products were sold through a company-owned sales outlet located in Paris. Then, in 1876, the company introduced luxury trunks with detachable frames. This is the first and initial success of Louis Vuitton, which enabled the firm to set up a new store in London in 1885. Sales kept increasing and the company was gaining more and more in popularity and reputation of a luxury brand. In 1987, Louis Vuitton – Moet Hennessy, better known as LMVH was formed, as a French multinational luxury goods conglomerate, headquartered in Paris. LVMH rapidly expanded to become the world leader in luxury goods. Bernard Arnault, the CEO of the company, took less than 12 years to build up LVMH through the acquisition of numerous luxury brands, expansion into retailing and an aggressive globalization strategy. LVMH was named after the first two companies that were merged in 1987 to create the company: the luggage and leather-goods maker Louis Vuitton and the Champagne and Cognac producer Moet-Hennessy. In subsequent years, many more famous luxury goods producers were taken over and added to the conglomerate’s brand portfolio. In 2005, LVMH owned over 50 well-known brands operating in five main sectors: Wines & Spirits (which accounted for 19% of sales), Fashion & Leather goods (35% of sales), Perfumes & Cosmetics (16% of sales), Watches & Jewellery (4% of sales) and Selective Retailing (26% of sales).
The mission of the LVMH group is to represent the most refined qualities of Western "Art de Vivre" around the world. LVMH must continue to be synonymous with both elegance and creativity. The products, and the cultural values they embody, blend tradition and innovation, and kindle dream and fantasy.
In view of this mission,...
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