Tiffany & Co
I. EXTERNAL ENVIRONMENT
A. Societal Environment
1. Economy
Low-negative growth in economy/financial markets (T)
Reduced discretionary spending on goods that are, or are perceived to be, luxuries (T)
Unsettled regional/global conflicts e.g. military and/or terrorist activities (T)
Weak economic conditions in Japan (T)
Global competition (T)
Wholesale market for high quality cut diamonds will provide continuity of supply and pricing (O)
Soft employment market (T)
Post September 11th recession/reduced tourism (T)
Increase in 2-income families (O)
Number of families w/ household incomes over $100,000 to grow by 20% (O)
Low cost manufacturing abroad China, Brazil (O)
High discretionary income of baby-boomers through credit card use (O)
2. Technology
Increased availability of Internet (O)
Increased use of E-Commerce (O)
New QAD & MFG/PRO software to collect real-time data (O)
2. Political-Legal
Increase in free trade (O/T)
China 's membership to WTO (O)
WTO World Trade Organization (O/T)
Tax benefits associated w/ ETI (O)
Government rules/regulations (O/T)
4. Socio- Cultural
Growth of seniors market-over 80 million baby boomers in U.S (O)
Baby boomers focused on luxury, travel, and leisure (O)
Trend young males 18-34 marrying later; participate in bridal/baby registry (O)
More women entering workforce (O)
Matures, by 2015, 15% of population (O)
60 million Generation Y consumers bridal market boom (O)
bridal market boom (O)
Gen X and Gen Y focus on fashionable, trendy items (O)
Trend in high-end luxury brands desired by Chinese (O)
Consumer purchasing power and preferences (O/T)
Increase or frequency of tourist travel (O)
B. Task Environment
1. Threat of New Entrants: LOW
a.) Market maturity
2. Bargaining Power of Buyers: LOW
a)Consumers
3. Threat of Substitute Products: HIGH
a)Costume jewelry & cheap jewelry
4. Bargaining Power of Suppliers:
A. Societal Environment
1. Economy
Low-negative growth in economy/financial markets (T)
Reduced discretionary spending on goods that are, or are perceived to be, luxuries (T)
Unsettled regional/global conflicts e.g. military and/or terrorist activities (T)
Weak economic conditions in Japan (T)
Global competition (T)
Wholesale market for high quality cut diamonds will provide continuity of supply and pricing (O)
Soft employment market (T)
Post September 11th recession/reduced tourism (T)
Increase in 2-income families (O)
Number of families w/ household incomes over $100,000 to grow by 20% (O)
Low cost manufacturing abroad China, Brazil (O)
High discretionary income of baby-boomers through credit card use (O)
2. Technology
Increased availability of Internet (O)
Increased use of E-Commerce (O)
New QAD & MFG/PRO software to collect real-time data (O)
2. Political-Legal
Increase in free trade (O/T)
China 's membership to WTO (O)
WTO World Trade Organization (O/T)
Tax benefits associated w/ ETI (O)
Government rules/regulations (O/T)
4. Socio- Cultural
Growth of seniors market-over 80 million baby boomers in U.S (O)
Baby boomers focused on luxury, travel, and leisure (O)
Trend young males 18-34 marrying later; participate in bridal/baby registry (O)
More women entering workforce (O)
Matures, by 2015, 15% of population (O)
60 million Generation Y consumers bridal market boom (O)
bridal market boom (O)
Gen X and Gen Y focus on fashionable, trendy items (O)
Trend in high-end luxury brands desired by Chinese (O)
Consumer purchasing power and preferences (O/T)
Increase or frequency of tourist travel (O)
B. Task Environment
1. Threat of New Entrants: LOW
a.) Market maturity
2. Bargaining Power of Buyers: LOW
a)Consumers
3. Threat of Substitute Products: HIGH
a)Costume jewelry & cheap jewelry
4. Bargaining Power of Suppliers: