RALPH LAUREN

HISTORY1967

1971

1972

1981

1997

2000

2004

History

RALPH LAUREN STORE- NEW YORK CITY

COPORATE STRATEGY

DIFFERENTATION

Premium Product at various cost-dependent on brand line

ABOUT RALPH LAUREN

Global Apparel Industry

Appeal-Men’s, Women’s and Children

Accessories- Footwear, Watches, Handbags

Home- Bedding, Bath, Furniture, Paint

Fragrance- Black Label, Purple Label, Romance

http://www.youtube.com/watch?v=aa8r2CLM824

OPERATING SEGMENTS

Wholesale- Department Stores, Specialty Stores- 45%

Retail- Sales Made Directly To Consumers In Retail Stores- 52%Store Locations- Asia, Australia, Europe,

North AmericaE-Commerce – North America, Europe,

Asia

• Licensing- 3%

OPERATING SEGMENTS

Whole Sale 45%Retail

52%

Licens-ing3%

OPERATING SEGMENTS BY PERCENT

BRANDS

26 Brands

Chaps

Ralph Lauren Purple Label

Men’s Polo Ralph Lauren

Women’s Polo Ralph Lauren

Ralph Lauren Home

Ralph Lauren Paint

BRANDS

SOURCING

SOURCING

• Asia Pacific - 88%

• EMEA – 10%

• America – 2%

• China, HK, Macau, Indonesia, Sri Lanka

• SKU’s Created and Expires Per Year – 100,000

• Raw Materials are sourced from foreign suppliers – 98%

SOURCING/SUPPLY CHAIN

Factories and Product License – 800

Vendors – 200

Consolidator Logistics Carriers – 200 +

Distribution and Fulfillment Centers – 20

Non Inventory Holdings DC’s – 60+

Point of delivery – 10,000

Shipments Annually – 5,000K

SOURCING

Not one manufacturer provides more than 4% of total production in fiscal year 2014

Ralph Lauren Corporation

Contracted Suppliers

Products

SOURCING

• Finished Goods Are Sourced

• Raw Materials Are Sourced

• Diverse Supplier Base – Limited to Region

• Vendor Evaluation/Approval Process

• Global Human Rights Compliance Department- New Business Partners

PEOPLE

• 23,000 Global Employees

Diversity Engagement Initiative

Full Time – 61%

Part Time – 39%

US – 61 %

International -39 %

Learning and Development Measures

PEOPLE

PEOPLE

Global Sales Team

Models- Men and Women

Global Sourcing Personnel

Unique Designers

Global Human Rights Compliance Personnel

Logistics Team

PEOPLE

ENVIRONMENT

ENVIRONMENT

Encourage Logistics Partners to Prioritize Efficiency

Air Transportation Reduction

Recycling

PROCESSES

• Contract Manufacture

• Do not operate there own facility

• Utilizes companies with Foreign Trade Zones (FTZ) – Minimize on Logistics/Duties Cost

RL INVENTORY

Inventory Turnover Ratio Company Ranking

March 2014 - 2.84

Industry # 5

Sector # 26

S&P 500 # 321

SOCIAL RESPONSIBILITY

Materials and Recycling

Packaging –Made out of Recycle content

Packaging – Bag are recycled

The Polo Ralph Lauren Foundation- Education

ACPCA Collaboration

http://www.youtube.com/watch?v=xYwASU6hYko

SWOT

STRENGTHS Leadership/Investment Philosophy

Strong Premier Luxury Brand

Universal Recognition

Distinct Design and Quality

Socially Responsible

Diverse Supplier Base- Supplier has less Bargaining Power

Diverse Brands

SWOT

WEAKNESS

High Price – Retail Stores

High international Sourcing

SWOT

OPPORTUNITIES

Global Presence Growth- Asia, Europe

Extend direct to customer-Stores and E-Commerce

Expanding new and emerging merchandise- Accessories

Global Talent Development and Management

SWOT

THREATS

Competitive Market

Exposure to Risk- Due to High level of International Sourcing (price of raw materials)

Diverse and Complex Supply Chain

Import Restrictions

Seasonal Trends

RALPH LAUREN

Socially Responsible

Globally Recognized Brand

Diverse Product Offerings

http://www.youtube.com/watch?v=IyCB7fXH7WQ

QUESTION

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QUESTIONS

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