What do LVMH and L’Oréal Have in Common with Google, KPMG, and Deutsche Bank?

BusinessWeek published the results of a survey from Stockholm-based research firm Universum. The company asks more than 160,000 business and engineering students in the biggest markets, from Brazil to China to the U.S., to identify what they regard as top employers. Guess which luxury brands were ranked.

LVMH

Headquarters: Paris
Employees: 83,542
Industry: Luxury Goods
2011 Rank (2010 Rank)
Business: 27 (39)
Engineering: NR (NR)

From Louis Vuitton to Tag Heuer to Moët & Chandon, LVMH (MC:FP) defines luxury across 60 brands, 2,500 stores, and more than 80,000 employees. The company offers training, talent development, and opportunities for internal mobility.

L’Oréal

Headquarters: Paris
Employees: 64,643
Industry: Cosmetics
2011 Rank (2010 Rank)
Business: 13 (11)
Engineering: 22 (29)

New employees at French cosmetics, beauty products, and perfume company L’Oréal (OR:FP) are tracked into the L’Oréal FIT program, a two-year, personalized program for starting a career at the company, which emphasizes development. Each year, 4,500 employees shift positions within L’Oréal, according to its website.

Top properties of the best employers include: flexible work options, great benefits, mentoring. To get more specific, check out The American MBA Survey from the same company. The MBA survey ranks the attractiveness of US employers amongst MBA students.


Tiffany Engagement Worth $12 Billion in Takeover as Alliance Up: Real M&A – Bloomberg

Bloomberg Article

I am sure this post will attract some attention from my colleagues seeking positions in the financial services industry. Considering that luxury brands are making bold expansionary moves into Asia, I think there is an opportunity for MBAs of all disciplines to enter this industry, which is forecasted to grow 8% this year. According to Mckinsey, China’s luxury market is expected to grow 18% a year from 2010 to reach 20% of global sales in 2015.

At $12B, the Tiffany acquisition is one reserved only for a few luxury players such as LVMH and Richemont. I would venture to say that with the way news spreads in the industry, both groups may have already done their due diligence on the potential deal.

Rising Commodity Prices: A Lesson in Managerial Economics

I just read an article in BusinessWeek that is very applicable to what I am learning at the Mason School of Business. In the wake of the recent financial woes, luxury goods manufacturers are facing a problem of rising commodity prices. Though luxury consumers have resumed their spending habits, there is a demand side component that is still causing the price of inputs like leather to go up. A worthy read for those interested in managerial economics.

Conde Nast – 2010 Business Traveller Awards

The business segment constitutes a vital profit segment of the travel and hospitality industry. As you try to zoom in on a couple of companies to apply for internships and full time jobs, take a look at the 2010 Business Traveller Awards by Conde Nast. These are the top-rated hotels catering to business travelers. Click the picture for the full results.

Resource – Digital Strategies for Luxury Brands

Here is an interesting slideshow I found about how you can leverage digitized strategies for luxury brands. Enjoy…

2011 FT Business of Luxury Summit – Reports and Videos on What was Discussed

FT Business of Luxury 2011

The Financial Time recently concluded its 2011 Business of Luxury Summit in Lausanne, Switzerland. This year’s theme was “What Price Luxury”. If you’d like to catch up on issues being discussed by luxury leaders, take a look at the WSGN PDF reports below:

I am one who learns a lot from video and pictures. So if you would like to get the gist of the summit via video click here. Scroll down to the bottom for the videos. I hope they help you as they have me.

I’ll be posting links to other reports on specific segments of the luxury market. Subscribe to the blog or follow me on Twitter to get notices of new posts.

Across the Board – 9/19/11

LVMH acquisition of Hermès not inevitable: experts

LVMH CEO, Bernard Arnault has been hoping to acquire Hermes for sometime now – years. Considering that Hermes recently got approval from a Parisian court to transfer its shares to a private holding company; what does this mean for LVMH’s progress in acquiring the family-owned saddler and leather goods manufacturer. It is possible Arnault may just stay put with his 21.4% of Hermes and get the benefits of owning some of the Hermes name.

Audi uses A6 campaign to highlight national driving issues

Audi is promoting its A6 through broadcast, print and digital channels. What is interesting is the approach of the campaign. Audi is highlighting its efforts at “Making the road a more intelligent place”. The brand’s ads address how the A6 provides solutions to drivers facing various road and driving conditions in the US. Did you know that “38 million drivers on the road today would not pass their state’s driver’s exam?”

For more, see the video from Luxury Daily below.

Wealthy Online Shoppers Rank Top Luxury Retailer Websites; Nordstrom Is Most Visited While Barneys, Bergdorf and Brooks Brothers Tie for First Place Along With Net-A-Porter

Article – Wealthy Online Shoppers Rank Top Luxury Retailer Websites…

In one of my former posts, I commented on the impact of online sales channels on traditional retailers. In another post, I commented on the great demographic divides that separate online users. Older consumers are more eager to use online and e-commerce portals, while it seems younger and up-and-coming customers are more willing to pay full price for luxury items.

The article cited at the top of this post is another datapoint that tells us which retailers may or may not be doing as well in cyberspace. In general, the article justifies the use of online retailing to supplement established brick-and-mortar store revenues.

From Gen Y To Seniors, Luxury Fashion Spend Rises

Runway-Photo

Article: MediaPost Publications From Gen Y To Seniors, Luxury Fashion Spend Rises 09/16/2011.

I wish I could get my hands on this report. Seems like it would be a great read for those of us who will serve these customers in the future. It would be a great way to get an inside track on what business leaders are dealing with. As an MBA who is graduating in May 2012 (keep that in mind if you are looking for a great leader – i.e, ME), it will be my job to tap into the rich analytics developed by firms like AMEX and Mckinsey to create the new business models that help businesses innovate. Continue reading

Ferraris on the Vine at The Williamsburg Winery

Last April, I had the pleasure of attending a superb event at The Williamsburg Winery. Ferraris on the Vine brings the best in the auto world to Williamsburg. The 2011 theme was Ferrari vs. Ford. Look out for the 2012 edition.

Check out the website and my photos at http://ow.ly/6vVnX.

The interactions I had with auto connoisseurs and enthusiasts were incredible. The car pictured above is a 1958 Ferrari Ellena. I met the owner, and he told me a little about the car. Continue reading

Arnault Picks up Yogurt Mogul for New Louis Vuitton CEO

Article – http://ow.ly/6vuwl

So LV will have a new CEO after current CEO, Yves Carcelle leaves at the end of 2012. This is a big deal for a brand that brings in a substantial amount of LVMH’s revenues. I wonder what made Arnault hire an executive from the dairy industry. He must bring some really important skills to the table. Continue reading

Is Digital Killing the Luxury Brand? | Adweek

Article – Is Digital Killing the Luxury Brand? | Adweek.

One of my most inspring professors sent this article to me yesterday. The write up from AdWeek talks about how new online retail channels may not be delivering the same value as brick and mortar distribution. Continue reading

Saks CEO Passes on Discount Rack – WSJ.com

Article – Saks CEO Passes on Discount Rack – WSJ.com.

If you read my last post on Steve Sadove, this is a good article for you to find out what is going on in luxury retail. Click the article link above to read about what one high-end retailer is thinking.