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Puma Business Analysis

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. What are the main points of Puma’s Phase IV long-term development plan?

• Integration of seven license markets into the PUMA Group вЂ" Japan, Taiwan, China, Hong Kong, Argentina, Mexico, and Canada

• Worldwide brand sales climbed by over 16% to € 2.8 billion in financial year 2006.

• Consolidated sales jumped over the 2 billion hurdle for the first time, growing by 34% to just under € 2.4 billion

• Operating profit reached € 366 million and significantly exceeded original expectations.

• The PUMA share closed the year at € 295.67, posting another value increase of 20%.

• Expansion of product categories

• Regional expansion

• Non-PUMA brand expansion

2. What best describes Puma’s “vision statement”?

Its vision statement states that Puma is a sports lifestyle company that is attractive to all sports enthusiasts worldwide.

3. What is Puma’s “multicategory” branding strategy, and what would be an alternative to this strategy? Footwear, apparel, and accessories, an alternative would be to focus/specialize on one aspect either footwear, apparel, or accessories

4. What “horizontal integration” strategies has Puma implemented in the recent year, and what are some potential horizontal integration strategies that are being considered?

Puma is expanding into several different categories: golf, women’s apparel, and moto, they are also attempting to become a bigger part of their existing customers lives by incorporating denim and everyday apparel to their lineup.

5. What are Puma’s three main strategies for growth (expansion), and how do they equate with Ansoff’s matrix (intensive strategies)? Regional development, product development, and business development. Puma is expanding



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