Case Study Of Jimmy Choo Company: Bargaining Power Of Supliers

Figure 1: Jimmy Choo Boutique

1.0 COMPANY PROFILE

Jimmy Choo is a 21st century luxury accessories brand, with shoes at its heart, offering an empowered sense of glamour and a playfully daring spirit.

The brand traces its roots to a bespoke shoemaker named Jimmy Choo, based in the East End of London in the early 1990s, who catered to the global jet set, including Princess Diana. The Jimmy Choo Company was founded in 1996, with Mr. Choo’s niece, Sandra Choi, who had been heading up design in the East End atelier, coming on board as Creative Director, a position she holds to this day. Mr. Choo departed the company in 2001.

The sexy cut, fashionable design, and exceptional Italian craftsmanship struck a chord with a sophisticated clientele,

Suppliers of raw materials, components, labor and service can be source of power over the firm when there are few substitutes. In this case Jimmy Choo has Italian own supplier, Jimmy Choo collect their raw materials from their Italian supplier. As Jimmy Choo has own supplier their bargaining power of supplier is low. Jimmy Choo makes their products in Beijing china. 2.2 Bargaining Power of Customers

The bargaining power of buyers is described as the market outputs. On this company bargaining power of buyers is low and Jimmy Choo bargaining power is high, because Jimmy Choo is a branded company they have brand image and their brand value is high, Jimmy Choo is well known company their popularity is spread among consumers. 2.3 Threat of New Entrants 2.4 Threat of

Threat of substitutes is one of the five forces that determine the intensity of competition in an industry. There are substitutes in the Jimmy Choo Company. Such as consumer choose Luggage, suitcase, basket instead of bags, consumer looking at cost. In this stage depends on consumer choice. Jimmy Choo provide eyewear, perfume and uk Lacoste company and Salvatore Ferragamo also provide shoes eyewear and perfume, both company has a brand value in the market, consumer might be choose jimmy Choo or Lacoste or Salvatore Ferragamo shoes eyewear, it depends on cost, and Jimmy Choo is a well known company their brand value is so consumer can choose Jimmy Choo product. As we can say Jimmy Choo threat of substitutes is