H & M Marketing Strategy

Globalisation of H&M
The Hong Kong Polytechnic University

Sue Suh 15107285G - 20 March 2016Table of Content

Table of Content 2
Introduction 3
History of H&M 4
Sales 5
Logistics 6
Marketing Strategies 7
Aggressive marketing : Price tag strategy 7
Collaboration 8
Giving back to the society 9
Conclusion 10Introduction
The leading Swedish clothing retailer and Sweden’s third biggest company, is running for world scale organisation. Expansion has already been successful in Europe, with 1010 of its 1134 stores located in 22 countries other than Sweden. The first steps to Internationalisation were taken in 1976 when the first abroad store in United Kingdom was opened. The aim of the report is to show the corporate company’s

H & M is also known not only for their fashion but because of the clothe quality designed easy durability and the hint of style of its clothes. H&M’s business concept values simplicity, none stopping improvement, cost-consider, and team spirite. H&M’s in-house designers interpret latest fashion trend, recreates look that is accessible to everyone. H&M doesn’t own garment factories, instead they outsource their goods from hundreds of independent suppliers mainly from Asia and Europe. Because they source the garments from individual factories they can provide individual taste through out the world, H&M provides the US, UK and European Market an exclusive clothing designs. The primary goal of this company is to provide hype designs of apparels and affordable clothes to various types of people in different countries over the world. The company has been known because of its strategy of providing clothing design exclusively for each country’s preferences and

H&M design clothes and outsource it. Basic goods are made in Asia, while fashionable goods are made in Turkey. Instead of owning factories, H&M chooses to own outlets. There are over 2000 stores all over the world. Merchandise produced in Asia are transported almost exclusively by ocean for the sake of low cost. Within Europe,most of the goods are transported by rail. More than 90 percent of all transports are done via ocean, rail or road. Air is rarely used except faster deliveries are needed. The aim of these choices are to reduce cost. The realization of H&M 's business ideas rely on the success of their distribution strategy. As Larenaudie(2004) asserts lightning turnaround is the reason for the success of