HISTORY

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

OPERATING SEGMENTS Wholesale- Department Stores, Specialty Stores- 45% Retail- Sales Made Directly To Consumers In Retail Stores- 52%  Store Locations- Asia, Australia, Europe, North America  E-Commerce – North America, Europe, Asia Licensing- 3 %

OPERATING SEGMENTS

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

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 – 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

Global Sales Team Models- Men and Women Global Sourcing Personnel Unique Designers Global Human Rights Compliance Personnel Logistics Team

PEOPLE

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  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 ko ko

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 H7WQ H7WQ

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