Business Cap Case study 5

Question Description

Read the case and then respond to the case questions given below.

In addition to using the case study provided in the textbook, research the company further to find any relevant events that have transpired since the writing of the case study. Use the company’s website, Internet search engines such as Google, online data services, or other sources to locate the latest articles about the company including press releases and current financial information. Be sure to cite all sources according to APA guidelines.Must have two outside sources

4 pages

Students please note: Feel free to bring in any recent news or current events concerning this company into your answer.

Case Questions

1.As detailed in the case, LVMH has achieved business success leveraging a diversification strategy. What strategic approach do you think was the most influential contributor to LVMH success? Be both detailed and expansive in your response.

2.What is the relevance of shareholder value-chain activities in consideration of the acquisition of a related business diversification? Be descriptive and expansive in your response.

3.Discuss the advantages and disadvantages of achieving diversification by acquisition of an existing business. How did LVMH use this business acquisition strategy in efforts to expand and diversify the company portfolio?

4.While focused upon the luxury good marketplace, LVMH did not focus only on one product, but on a great number of products and services. In executing such perspectives did LVMH have a diversification strategy that was too broad in scope and/or potentially cumbersome? Why or why not?

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