Montblanc International GmbH
by Sean Ng, General Manager of Montblanc
01st October 2012
TABLE OF CONTENT
2. Company Background
3. Environmental Factors
4.1 Changing Demographics
4.2 Lower trade barriers
4.3 Globalized Production
4.4 Technological Innovations
4. Important Factors
5.5 General business Environment
5.6 Economic Conditions
5. Functions of Management
Introduction of Montblanc International GmbH
Montblanc International GmbH was founded in 1906, by a stationery trader Claus-Johannes Voss, a Hamburg banker Alfred Nehemias and the Berlin engineer August Eberstein and is a subsidiary of Compagnie Financiere Richemont- Cartier, Dunhill, Chloe and seven others companies; It is German Manufacturer of writing instruments, jewellery and leather goods. Montblanc International GmbH is a MNC with Singapore based operations This purpose of this report is to analyze on the external forces, environmental and major factors that might affect the business of Montblanc International GmbH locally, functions of management and recommendations in achieving success in the next 5 years. Montblanc’s background
The company is in the industry of luxury goods and engages in the development and production of writing instruments. It also offers watches, leather, jewellery, eyewear, and fragrance for men and women. Their products are sold through selected retailers and jewellers and about 360 boutiques in more than 70 countries. “A century of tradition, efficiency, craftsmanship, heritage, culture, and creativity are the key defining factors of Montblanc, one of the world’s most consistent and successful luxury brands.” (Petcu, 2012) These are key factors which led to the success of Montblanc of today. Mont Blanc makes their pens a symbol of high standards, reputation and class and stands to be one of the topmost companies that produce an extensive range of luxurious accessories such as pens and watches. Some of their pens are collector’s items, guaranteeing a lifetime of high-value purchases and usually is an ideal gift for someone with high authority or studying. Their selling points are quality and nostalgia, men and women who desired a life expensive luxury and creativity and talent. They target professional and people who wanted to be seen as a professional by selling their products at a higher price and serial number on every pen they produced to act as an identification of an authentic Montblanc product. Their key products are their fountain pens, with special and limited editions and they have their own customer service and repairs for their products. They do not sell replacement parts and provide 2 year warranty for all products.
4 Environment factors that affects Montblanc
3.1 Changing demographic
“SINGAPORE: The Singapore government is taking a comprehensive look at its population policies in view of the country's changing demographics.” (Saad, 2012) Changing demographic refers to changes of the population, e.g. age, gender, race employment status and etc. In Singapore, there is an increase in ageing population. With higher employment rate, people are more financially stable as compared to the olden days and are more willing to spend on luxury goods. And as compared to generation X, generation Y are more willing to spend on luxury products and wants to be seen as chic and trendy. Social status plays a important factor to them. Moving from generation X to Y, a new generation Z has emerged, this being the Net Generation. “Generation Z is highly connected, as many members of this generation have had lifelong use of communications and media technologies such as the World Wide Web, instant messaging, text messaging, MP3 players, mobile phones and YouTube, earning them the nickname...
References: Gomez-Mejia, L. R., & Balkin, D. B. (2012). Mangement- People| Performance| changes. In G.-M. Balkin, Mangement- People| Performance| changes (Internation ed., p. 56). United states of America: Pearson Education .
Mira. (2012, January 29). Scribd. Retrieved October 08, 2012, from Scribd.com: http://www.scribd.com/doc/79714833/Generation-Z
Petcu, O. (2012 йил 20-September). Montblanc, the DNA of a true luxury brand. Retrieved 2012 йил 07-10 from Business of luxury: http://www.cpp-luxury.com/montblanc-the-dna-of-a-true-luxury-brand/
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