Burberry is a luxury fashion British brand which was established in 1856 by the name of Thomas Burberry who was 21 years old. The first Burberry store was opened in Basingstoke in 1856, and by 1870 had established itself by focusing on the development of outdoor attire. The brand is mostly known for its Trench coats. These trench coats were worn in the First World War and it was extremely popular after that. For more than a century the brand was on the top of the market for the Trench coats. Burberry clothing of gabardine was worn by polar explorers, including Roald Amundsen, the first man to reach the South Pole, in 1911, and Ernest Shackleton, who led a 1914 expedition to cross Antarctica. Until 1955, Burberry was an independent company. …show more content…
And has a close relationship with the economical factor. Burberry needs to be considering about the regulation on foreign trade, and about the policies on tax, since Burberry needs to source or market products to parts outside Europe as well. Economical - Economic environment will be about the nature of the economical systems of the country. Analyzing the economical factor will help the organization identified the external factors which are affected and to have prospective market situations to get the maximum benefits. Important factors that the Burberry has to consider are Economic condition, Economic system and Economic policies of the country. Economic conditions are needed because it shows the level of income and the distribution of the income and assets which will be highly important to determine the business strategies. As Burberry is a highly expensive brand a developing country with a low income may be a reason for a very low demand of the products. On the other hand Economic deceleration, in UK, began in 2008 when GDP contracted by 0.1% and the economy contracted by 4.9% by 2009 because of the slowdown in the global economy. Though the economy recovered in 2010, this slowdown has adversely affected the creation of jobs in the country. Nearly 2.5 million were unemployed in 2010 (UK Country profile 2012). Burberry needs to monitor the inflation rates as it may directly effect on the buying capacity. Burberry as a luxury brand always needs to be concerned about the economical