3. Section B Group 8 Oscar Bernaldez / Pablo Franzini / Masa Kijima Alessandro Piloni / Nikolaos Platis / Iris Tang

4. Do you know PUMA?

5. Agenda PUMA at a glance PUMA at a glance History History Market Analysis Market Analysis The Value Chain The Value Chain SWOT SWOT PUMA in Our Country PUMA in Our Country The Future The Future

6. Glory, Collapse…and Rise Founded in 1948 Rapid Growth in 1970s Financial crisis in 1988 Phase I : 1993-1996 Restructuring Finance Phase II : 1997-2001 Repositioning Brand

7. Consolidated Group Profit 10M€

8. Worldwide Brand Sales by Region Million €

9. Worldwide sales by segment Million €

10. Competitors High quality Winning image Form follows function Brand for the family Grow through distribution Fitness and exercise

11. Industry Analysis Entry/Exit Barrier Threat of Substitutes Bargaining Power of Suppliers Bargaining Power of Buyers Industry Competition

12. Industry Analysis Entry/Exit Barriers LOW (Entry) : For Apparel Market HIGH : For Footwear Market HIGH : Brand recognition and Customer Loyalty LOW (Exit) : Outsourcing in Manufacture Non-durable Products Seasonable Consumption Industry Competition Threat of Substitutes Bargaining Power of Suppliers Bargaining Power of Buyers

13. SMALL: Daily consumption Lifestyle dress Other consumption Entry/Exit Barrier Threat of Substitutes Industry Analysis Industry Competition Bargaining Power of Suppliers Bargaining Power of Buyers

14. LOW: Low Cost Labors Over supply of raw material Manufacture sites HIGH: Designer Fee Bargaining Power of Suppliers Industry Analysis Entry/Exit Barrier Threat of Substitutes Industry Competition Bargaining Power of Buyers

15. HIGH: Low Switching Costs Price Transparency Retailer Bargaining Power of Buyers Industry Analysis Bargaining Power of Suppliers Industry Competition Entry/Exit Barrier Threat of Substitutes

16. High: No Price Competition Brand Image Product Differentiation Global Competition + Local Taste and Culture IndustryCompetition Industry Analysis Bargaining Power of Suppliers Entry/Exit Barrier Threat of Substitutes Bargaining Power of Buyers

17. The Value Chain R&D : Technology and Fashion Production: 100% Outsourced Brand : Positioned between Sport and Casual D&R : Carefully Selected Partners + Own Shops Research & Development (2.6%) Sourcing Production Logistics (56.4%) Distribution & Retail Brand Management (13.7%)

18. Marketing Strategy Product Micro Segmentation  Cameroon National team  Niche sports: Cricket, F1  Nuala Promotion Channels:  Personalities  Sponsorships  Advertising Price Unpopular & Cheap in 80’s Different from Others Premium Price

19. PUMA Faces

20. Value, Cost, & Speed Value Value Unique, Stylish and trendy products Unique, Stylish and trendy products Cost Cost Production outsourced Production outsourced Speed Speed Catch new trend Catch new trend Exploit new niches Exploit new niches

21. What are Strengths of PUMA?

22.  Strong Brand Awareness  Appealing and Innovative Products  International Management Team S W O T

23. What are Weaknesses of PUMA?  Strong Brand Awareness  Appealing and Innovative Products  International Management Team  High dependency on trends  Big part of revenues come from Western Europe  Less Financial muscles than Nike and Adidas S W O T

24. What are Opportunities of PUMA?  ROOM to exploit Lifestyle Market  MARKET for Accessories with High Margins  New Markets  Strong Brand Awareness  Appealing and Innovative Products  International Management Team  High dependency on trends  Big part of revenues come from Western Europe  Less Financial muscles than Nike and Adidas S W O T

25. What are Threats of PUMA?  High dependency on trends  Big part of revenues come from Western Europe  Less Financial muscles than Nike and Adidas  ROOM to exploit Lifestyle Market  MARKET for Accessories with High Margins  New Markets  Sudden shift in tastes  Puma’s business depends on retailers  Strong Brand Awareness  Appealing and Innovative Products  International Management Team S W O T

26. PUMA in Our Countries  Europe: Large Market Penetration  Argentina: License and Imports  Japan: Removed License and New Strategy  China: Small Market Penetration

27. Keep on Running Stay on The Same Track Exploit better the Accessories and Apparel Create New Brands for New Niches Expand to Fashion Sensitive Countries

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