Burberry Case Analysis

Finding a Leader to Execute a Comeback As they increase their global presence by appealing to a larger market, luxury fashion houses risk losing their exclusive reputations. Although they may temporarily benefit from an increase in customers, fashion houses can no longer produce products that invoke a sense of limitedness and status, which primarily appeal to luxury customers (Yeoman & McMahon-Beattie, 2014). At the same time, when fashion houses increasingly focus on meeting the demand of their larger markets, they will inevitably lose the creativity, quality, and exclusivity of their products as well (Yeoman & McMahon-Beattie, 2014). Although fashion houses may attempt to recover their tarnished brands, they will often enter a state of paralysis.

I will then discuss how Angela Ahrendts identified these issues by analyzing Burberry’s internal and external environments. Because she conducted this analysis, I believe Ahrendts recognized that Burberry’s issues stemmed from its tarnished brand. I will elaborate on this assertion by revealing how Ahrendts framed these issues as four strategic challenges that focused on redeveloping Burberry’s brand. I will subsequently identify the tactics that Ahrendts used to encourage her employees to understand these strategic challenges. In particular, I will go in depth to discuss the methods that Ahrendts used to encourage Burberry employees to develop a connection with the company’s brand. I will assert that Ahrendts followed this approach because she wanted her employees to develop innovative solutions around the company’s new brand. I will provide examples of these solutions, which tightened Burberry’s business strategy and organizational structure. I will conclude my paper by assessing the political tactics that Ahrendts applied to avoid potential resistance to her agenda. I will specifically reveal how Ahrendts successfully executed her agenda because she established a coalition with former Chief Creative Officer Christopher

During the early 2000s, former CEO Rose Marie Bravo expanded Burberry’s global presence by licensing its infamous beige checkered brown design to over 23 fashion houses in countries like Japan, Germany and the United States (The Economist, 2001; Neate, 2013) However, these fashion houses abused Burberry’s designs by excessively producing products that were inconsistent with the Burberry brand. This behavior also became rampant among counterfeiters who further diminished Burberry’s brand as well (Neate, 2013). Although it had established a global presence, Burberry consequently overproduced products that became ubiquitous throughout the world and synonymous with counterfeiting culture (Neate,