Li & Fung

Topic| Discussion| Situation Overview | Li & vitamin A; Fung was put up in 1906. In 1973, this friendship was listed on the Hong Kong Stock Ex tilt.  From 1979, the jumpstart up of China, to now, Li & vitamin A; Fung has relied on China to be the core supplier. In 1985, Li & adenylic acid; Fung expanded the grocery store to other Asian countries by building Li & Fung (Retailing) Limited. From 1995 to 1999, Li & Fung bought its biggest competitor-Inchcape Buying Service, Swire & Maclaine Limited, and Camberley Enterprises limited. The acquisition allowed Li & Fung to expand its sourcing networking out of Asian countries and obtain untold clients of Europe and America. Since 2000, this bon ton has continually taken over companies to arrogate revenue and to broaden market share. Through acquisition, Li & Fung has enhanced product offerings, so this company has break downed sourcing, distribution, and retailing.      in that respect are two strategies that Li & Fung has emphasized. ace of the strategies is the U.S. shoreward strategy. This strategy was to gain more margins by developing brands. Li & Fung found that over 70% of its customers were from the U.S, so this company chose to be closer to its major customers and to offer additional quantify service.

The way to add service is focusing on managing proprietary and private-label brands, resulting in reinforce the relationship between factory project and the selling floor. Another strategy is acquisition of competitors. Since 1995, this strategy has brought change magnitude revenue and consistent success , and Li & Fung has besides reaped adva! ntages from this strategy to expand the customer base and market share.     In 2006, Li & Fung planned to obtain more margins and develop the European market. However, this market is hard to manage because Europe was abrupt geographically. It exit be a challenge for Li & Fung to butt against its customized service, efficient operation, and excellent information systems in Europe. |...If you ask to recover a full essay, order it on our website: BestEssayCheap.com

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