Strategic Marketing at Burberry

Content Page Introduction2 1. melodic phrase grooming and growing a egress declination. 3 2. 1. The manakination of Burberrys mod strategic business platform. 3 2. 2. Business system, deal and delegation 4 2. 3. 1. Successful scheme and achieving the goals ground on analysis. 5 2. 3. 2. slew and guardianship7 2. Protect, look and Inspire. Burberry values. 8 3. 3. Values8 3. 4. compartmentalization of Burberry values. 8 3. 5. 3. Protect8 3. 5. 4. look for9 3. 5. 5. Inspire 10 3.monitor and evaluating of Burberry strategic goals and objectives. 11 Conclusion 12 References 13 Introduction The advertise below tells well-nigh the floor and phylogenesis of the iconic luxury check from Britain, Burberry. It reflects the associations mission, survey and effect calculate, which consequently form the values of the fool. The musical composition indicates the key strategic goals and objectives, which form the free-enterprise(a) receipts of the caller-up, how they ar being monitored and evaluated.Having been effect as a sm each shop in Basingstoke, Hampshire, by a young draper Thomas Burberry in 1856 and developed into a large dry land-know brand ever since, Burberry is sensation of the premiere names that springs in musical theme when it comes to dash and luxury. 4 The telephoner went through many- days history of commute and development. even, the outcome Burberry harvest-tide still runs the dig in coat made out of the brand weatherproof to a greater extent over breathable gabardine invented and introduced by Thomas Burberry himself in 1880. 4 Today, according to Business Weekly, Burberry is the 98th most valuable brand. 10 1. Business planning and develop a dodge Creating the strategy of an physical composition is a break apart of business planning, on one hand, exactly when it is the essence of the strategic planning on the other, where the difference between the strategic plans and the business planning is only in ti ming of implementing and the suffice of evaluating the two. Different authors writing in the field of strategic dole out snuff it various definitions of strategic planning. However, all of them tend to agree in the fact that it al musical modes includes the major points below. Vision developing a special K sight for the future or a conceptualization of where an formation wants or desires to be in the long10 * Assessment appraising or de nameining where an organisation is currently (i. e. , its goals, objectives, activities, results, etcetera )10 * Strategies identifying how an organisation provide truly realise (via concrete and predetermined actions) its mission, goals, and objectives10 * Measurement evaluating the progress of an organisation in the implementation of its action strategies. 10The report below will be based on the resumptive understanding of the term as a treat of formulating of the mission, quite a little and goals of the organization and choosing the specific paths for outlining and gaining the desired resources to be used in revision to provide the made functioning of an organisation in future. Strategic planning is a effectual tool in do the decisions concerning the primitive management of an organisation. Its main purpose is to witness the right quantity of innovation and modification for the organisation to be able to respond to the changes on the securities industry.However, creating a strategy does non lead to an immediate action, simply it sets up the general direction for the keep union to follow in order for its fence-mending and proceeds. 2. 1. The formation of Burberrys rising strategic business plan One of the main features that characterizes the strategic plan is its possibility to be sufficient to the ever ever-changing circumstances initiated by both immanent and outdoor(a) factors. Thus over the decades Burberry has been changing its strategy and approach to trading.So when the age of the w orld(prenominal)ization brought new-fangled strong competitors into the trade new ways of victorious the guests loyalty and preference were to be found. In the 2006 the current CEO Angela Ahrendts joins the corporation replacing Rose maria Bravo, who managed to greatly throw a fit the Burberry market sh ar in the US. 6 Ahrendts modernizes all(prenominal) fount of the caller-outs conduct and positioning itself on the market having chosen an innovative five year strategic business plan. 2. 2. Business strategy, vision and missionAccording to the new plan the order concentrates its enthronisation efforts on first step its own stores rather than on the sell, especially in London. The new CEO recognizes Burberrys presence in its genuine way and major PR action mechanism in this city precisely, as another way to emphasize the British hereditary pattern of the brand. However, Ahrendts points out in that respect are 25 such(prenominal) Londons , where Burberry will ende avor for recognition and loyalty, which include such metropolises as Paris, New York, Hong Kong, Dubai, etc. 12 As due to the fact that the company produces luxury goods Ahrendts prefers to play more than or less safe and concentrate on those parts of the world which are equivalently to be protected from the wider economic problems. As another crucial factor for the festering and development that Ahrendts chooses, predicting the future guest be younger, is the company to not maintain their conventional result line and merchandising way only, scarce to enhance it with the new design and presentation to be able to play the demand of the new typeface of a node.Thus the new strategy with the new vision and mission appeared that has brought changes into every field of operation of the company. 2. 3. 1. Successful strategy and achieving the goals based on analysis According to Michael doorkeeper Competitive strategy is about being variant. It fashion deliberately choosing di fferent set of activities to deliver a unique liquefy of value. 13The creation and the development of a new strategy to manage such a diverse business with the global outreach as Burberry is very complex in nature. Depending on various both internal and external factors it often requires to be made in the suspicious situations.It likewise often involves the radical change in the current purification of an organisation which is always uneasy for the employees and may adversely affect the implementation of the organisation. Being an world-wide company with the Global outreach progresss it challenging for the company like Burberry to develop and maintain the competitive strategy that will get along financial growth and gain advantage on the market. Nevertheless, Angela Ahrendts chooses the most enterprising and strategic plan Burberry has had in almost 50 years. * Leveraging the franchise4Where the goals are brand momentum by consistent global articulation, marketing innovati on and product excellence. * Intensifying the development of non-apparel4 By counsellinging on the yet under-penetrated non-apparel categories, such as mens collections, soft accessories collections and licensing the eyewear, fragrance, make-up and mark offes products globally. * Accelerating retail-led growth4 To change the static wholesale model of the company to a dynamic retail model by campaign the productivity, putting the customer needs in the centre, and investment into opening new stores. Investing in the underpenetrated markets4 The goals are engaging China, developing India and the Middle East markets and elevating the wholesale presence. * Pursuing operational excellence4 To be recognised not only by operational excellence, except by product and marketing excellence. However, despite the most well-considered strategy a company is always dependent on both internal and external factors able to make an impact on its development and trade. PESTEL method will help to anal yse the big external environment Burberry may acquire difficult to deal with in order to realise its strategic plan.Political Economical genial Technological environmental Legal Being an international company may stool problems with possible tensions between the governments of the countries where Burberry trading takes position Continuous recession Fairtrade responsibilitiesAnti-fur/ strap campaigns New highly technological approaches to deal outing , buying and advertising the product appear The impact on the Planet while manufacturing and transporting the goods Different taxation and trading rules and regulations in different countriesHowever, not only the macro external factors, but the micro external factors too might feat obstacles for the companys strategy. Michael Porters Five Forces analyses gives the clearest understanding of the micro external environment, which includes the terror of the actual competitive rivalry, threat of negotiate originator of the supp liers, threat of substantial products, as well as the threat of the customer bargaining power and the threat of the new entrants. It can be seen from the scheme, that Burberrys main living competitors include Stella McCartney in the market of clothing and shoes (apparel) Hermes in the non-apparel market, e. . bags and scarfs and Chanel to talk about make-up. Moreover there is also a threat from the substantial products, such as those produced by Sisley, Ted Baker and Karen Miller, which are not luxury brands, however do sustain a reputation of a great quality and they are also British. Which heart in times of recession lot might switch to them. There is a threat from the suppliers in courting they would increase the price, as Burberry only works with those the members of the Ethical Trading activity separate.There is a threat climax from the customers too due to the fact that most of the Burberry products are fashion oriented, which means once they are out of fashion, people will refuse buying them. However, the threat of the new entrants is not essential, as even though the new brands may offer novelty, they cannot offer the name with such a rich background and inheritance that Burberry has. alone of these factors must be taken into consideration for Burberry current strategy to be successful. 2. 3. 2. Vision and missionWith the appointing of Angela Ahrendts as a CEO in 2006 when the Internet was booming bursting the opportunities of the global trade with its no-boarders possibilities, Burberry steps on a completely new path of high-tech cooperation with its customer. 5 With the core Burberry ideology of The hurrying we move forward, it becomes even more critical to look back and never forget who we are and never forget where we came from. And what made this brand such a great global luxury brand straightaway2 in mind Ahrends sets the new core purpose for Burberry. We had a vision she admits in one of the interviews And the vision was to be the fi rst company who was fully digital from end-to-end. 2 Ever since the company has been working on integrating various digital approaches to its business. Burberrys advertising campaigns and catwalk shows became more and more technologically complex whereas the online trading on the reverse became easier and more available by the companys partnering with various on-line selling platforms to take that vision and built the social enterprise.The experience expected was that the customer would get under ones skin the total access to Burberry across any device anywhere and would get exactly the same emotion of the brand, feeling of the culture, regardless of where, when, how they were accessing the brand. Everyone now should be able come into Burberry world and see the Burberry journey and mission. The new vision enhanced the Burberry mission to sell its distinctive Britishness to the world with the new flavour of community that every customer is seed to become a part of buying or at least being interested in a Burberry product.Such attitude intends to create greater customers loyalty to the brand as this is the community, where ones opinion in a way of a feedback is valued and appreciated. Even the personal preferences of how the core Burberry product should look like is taken into consideration from now on as the company launched www. artofthe dump. com sack platform, where anyone can post their photos eating away a Burberry trench, moreover, can create their own trench coat based on the iconic trench from Burberry. Ahrendts goal is to deepen, broaden and vary the communication between the company and the customer through every activity the company is involved in.She emphasizes on the vital necessity of the cross- contribute communication to be totally connected to everyone who touches your brand. 2 The new vision and the new additions to the established mission of the company have formed the brands new strategic intentions 2. Protect, Explore and Inspire. Bu rberry values. 3. 3. Values Burberry is a brand with over 150 years of history. 6 All that time the company has been run by the efforts of many people and, naturally, these people might have been of a completely different personalities, views and opinions. However, being a company, which in this case is Burberry, repulsion hese people together join not only by common vision of where the company is going, but also by the values, which in a context of a incarnate culture set the behavioural norms of the company through years for everyone who entered it. Edgar H. Schein describes corporate values as A pattern of shared staple assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, regard, and feel in relation to those problems. 7 Burberry defines their core values as Protect, Explore and Inspire. Angela Ahrendts, Burberrys CEO, often refers to the company as the new and old company9 and such description unquestionably reflects the way the company constantly strives for the new opportunities, but always staying fold to its old priorities. The essence of the Protect, Explore and Inspire companys core values can be explained through the objectives of Burberry as an organization. 2. 2. miscellanea of Burberry values 2. 2. 1. Protect 1. Cultural value of the company to traditionally remain a quintessentially British brand.Burberry is elevated of its rich heritage which has seen over a 150 years of British history. Thus the company is passionate about the the authenticity of their trade mark and core product in design and purpose, such as world-wide recognized trademark check and Prorsum horse logo and a traditional modern classic flare trench coat. 2. Environmental value aims the environmental excellence of the company. Burberry is continuously witting about the environmental issue s, such as climate change and carbon dioxide emissions and animal welfare, for example.The company is a member of the UN Global weight-lift and uses the Compacts Ten Principles to guide its Corporate Responsibility activities. It is listed on the FTSE4Good Index and achieved the Carbon corporate trust Standard. 15 The work of the Business for Social Responsibility Sustainable Luxury working classify, of which Burberry was a founding member, also continued this year, focusing on animal welfare guidelines and the exotic skins cut chain. As a result, the plow of a common Animal Welfare Policy by the Group was communicated to Burberry suppliers, detailing its high expectations in respect of welfare standards. 15 Burberry is also a member of the Leather operative Group, curbing its efforts to improve transparence in the leather industry. Burberry does not utilise sandblasting on any of its products construct by or on behalf of the Group. 15 3. Ethical value is in the desire of t he brand to ensure the rights of their employees are highly valued and conservatively followed. Burberry constantly shows its striving towards the improved Corporate Responsibility (CR) performance.To achieve long-run improvements in labour conditions, Burberry provides support and resources to suppliers to empower them to take responsibility for their factory and subcontractor conditions. The CR team delivers supplier training covering the Groups ethical trading expectations, management systems and counsel on transparency and standards for subcontractors. 5 Burberry strongly believes that a polity of equal opportunity in vocation is integral to the strength and growth of its business as a global brand with a diverse stakeholder and customer base.The company aims to ensure that the most capable business concern applicants are recruited and the most competent employees in the company progress. All decisions about peoples employment are based solely on an objective assessment of their suitableness for the byplay. Burberry aims to maintain a working environment free from harassment or intimidation on antiblack grounds and ensures that employment conditions and job requirements reflect its commitment to equal opportunities. 5 2. 2. 2. Explore Burberry values in that area are very very much business oriented.Thomas Burberry, the founder of the brand, explored the world of outerwear of his generation by inventing his sensory(a) waterproof Gabardine and a trench coat, which none has ever seen nor worn before. Today Burberrys aims to expand its production run to make it as diverse as possible to increase the market share. However at the moment the range already goes from the core innovative outerwear to not only womenswear and menswear, but to the non-apparel items, e. g. accessories, watches, childrenswear and even some plaza decoration items. 8 Burberry has always been aiming for the new markets first sports and outdoors, then military exercising and lat er civilian clothing. at one time that the company has established itself on the different types of market, it is striving for the geographical blowup taking markets throughout the world, with a balance across major geographic regions. 2. 2. 3. Inspire They are the Burberry social objectives. Burberry believes that contributing into the local communities the company works with will make a positive impact.In 2008 Burberry established the Burberry macrocosm charity organisation the purpose of which was to help young people realise their potential through fashion and creativity, built their confidence and self-esteem. 9 3. Monitoring and evaluating of the strategic goals and objectives Ahrendts approach to monitoring and evaluating of the strategy consummation and achieving the goals is Divide and bottle up. According to that there were special(prenominal) teams created to monitor and evaluate particular aspect of the new strategy. Design team, headed by Chief Creative Office, a menable for everything the consumer sees, including merchandising and creative media4 Marketing team responsible for integrated advertising, PR and communications functions, which together focus on building and elevating brand awareness through traditional and digital media4 Digital commerce newly-formed team, driving digital commerce globally to accelerate the brands digital leadership position in the luxury sector and help unlock the huge opportunities in this high-growth channel4 Merchandising and planning team, which assorts, procures, and analyses the global collections in alignment with brand initiatives and commercial opportunities. 4 Every year Burberry reveals their yearly results and achievements according to the itinerary in their annual report. ConclusionA straight forward highly innovative strategy by the new Burberry CEO caused uncertain reaction from different people in 2006 as well as it still causes doubts. Some think those were unnecessary changes, which made Burbe rry loose its original look and spirit, and some believe it was the best thing that have happened to Burberry in the last 50 years. However, the facts and numbers indicate that Burberry grew up to cholecalciferol stores in over 50 countries and led to increase the total revenue up to +23% in five years by September 2012 with the on-line sales increase in 50%. 3 about certainly the course has been changing during those five years due to the macro and micro external factors, which were indicated above.Nonetheless, it is lucid that creating a relevant and detail strategic business plan and a consistent monitoring of its results and execution are crucial for a successful management of the company. Also, the earliest possible setting of the strategic goals and stating the companys vision and mission and staying faithful to them makes the strategic plan effective. And in conclusion, understanding the values of an organisation will keep the corporate culture of the company stable, whic h is directly linked to productivity and job joy among employees. References 1. Angela Ahrendts. (2011). Burberry uses salesforce com to create the ultimate Social Enterprise. operable http//www. youtube. com/watch? v=oRpLo44nUEQ. Last accessed 13. 12. 2012. 2.Angela Ahrendts. (2011). The Young-Old Company Angela Ahrendts, Burberry. Available http//www. youtube. com/watch? v=_i50d6wiCBc. Last accessed 13. 12. 2012. 3. Burberry. (2012). yearbook report. Available http//www. burberryplc. com/documents/full_annual_report/burberry_ar_final_web_with-urls_indexed. pdf. Last accessed 13. 12. 2012 4. Burberry. (2012). Annual report. Available http//www. burberryplc. com/documents/full_annual_report/burberry_ar_final_web_with-urls_indexed. pdf. Last accessed 13. 12. 2012. 5. BW staff. (2009). The c Best Global Brands 2009. Available http//images. businessweek. com/ss/09/09/0917_global_brands/4. htm . LastStrategic Marketing at BurberryContent Page Introduction2 1. Business planning and developing a strategy. 3 2. 1. The formation of Burberrys new strategic business plan. 3 2. 2. Business strategy, vision and mission 4 2. 3. 1. Successful strategy and achieving the goals based on analysis. 5 2. 3. 2. Vision and mission7 2. Protect, Explore and Inspire. Burberry values. 8 3. 3. Values8 3. 4. Classification of Burberry values. 8 3. 5. 3. Protect8 3. 5. 4. Explore9 3. 5. 5. Inspire 10 3.Monitoring and evaluating of Burberry strategic goals and objectives. 11 Conclusion 12 References 13 Introduction The report below tells about the history and development of the iconic luxury brand from Britain, Burberry. It reflects the companys mission, vision and core purpose, which consequently form the values of the brand. The report indicates the key strategic goals and objectives, which form the competitive advantage of the company, how they are being monitored and evaluated.Having been found as a small shop in Basingstoke, Hampshire, by a young draper Thomas Burberry in 1856 an d developed into a large world-know brand ever since, Burberry is one of the first names that springs in mind when it comes to fashion and luxury. 4 The company went through many-years history of change and development. However, the core Burberry product still remains the trench coat made out of the brand weatherproof but breathable Gabardine invented and introduced by Thomas Burberry himself in 1880. 4 Today, according to Business Weekly, Burberry is the 98th most valuable brand. 10 1. Business planning and developing a strategy Creating the strategy of an organisation is a part of business planning, on one hand, but it is the essence of the strategic planning on the other, where the difference between the strategic plans and the business planning is only in timing of implementing and the process of evaluating the two. Different authors writing in the field of strategic marketing give various definitions of strategic planning. However, all of them tend to agree in the fact that it always includes the major points below. Vision developing a common vision for the future or a conceptualization of where an organisation wants or desires to be in the long-term10 * Assessment appraising or determining where an organisation is currently (i. e. , its goals, objectives, activities, results, etc. )10 * Strategies identifying how an organisation will actually realise (via concrete and predetermined actions) its mission, goals, and objectives10 * Measurement evaluating the progress of an organisation in the implementation of its action strategies. 10The report below will be based on the resumptive understanding of the term as a process of formulating of the mission, vision and goals of the organization and choosing the specific paths for outlining and gaining the desired resources to be used in order to provide the successful functioning of an organisation in future. Strategic planning is a useful tool in making the decisions concerning the total management of an orga nisation. Its main purpose is to ensure the right amount of innovation and modification for the organisation to be able to respond to the changes on the market.However, creating a strategy does not lead to an immediate action, but it sets up the general direction for the company to follow in order for its fence-mending and growth. 2. 1. The formation of Burberrys new strategic business plan One of the main features that characterizes the strategic plan is its possibility to be adapted to the ever changing circumstances initiated by both internal and external factors. Thus over the decades Burberry has been changing its strategy and approach to trading.So when the age of the globalization brought new strong competitors into the market new ways of winning the customers loyalty and preference were to be found. In the 2006 the current CEO Angela Ahrendts joins the company replacing Rose Maria Bravo, who managed to greatly expand the Burberry market share in the US. 6 Ahrendts modernizes every aspect of the companys behaviour and positioning itself on the market having chosen an innovative five year strategic business plan. 2. 2. Business strategy, vision and missionAccording to the new plan the company concentrates its investment efforts on opening its own stores rather than on the wholesale, especially in London. The new CEO recognizes Burberrys presence in its genuine way and major PR activity in this city precisely, as another way to emphasize the British heritage of the brand. However, Ahrendts points out there are 25 such Londons , where Burberry will strive for recognition and loyalty, which include such metropolises as Paris, New York, Hong Kong, Dubai, etc. 12 As due to the fact that the company produces luxury goods Ahrendts prefers to play more or less safe and concentrate on those parts of the world which are likely to be protected from the wider economic problems. As another crucial factor for the growth and development that Ahrendts chooses, predictin g the future customer be younger, is the company to not maintain their traditional product line and merchandising way only, but to enhance it with the new design and presentation to be able to satisfy the demand of the new type of a customer.Thus the new strategy with the new vision and mission appeared that has brought changes into every area of the company. 2. 3. 1. Successful strategy and achieving the goals based on analysis According to Michael Porter Competitive strategy is about being different. It means deliberately choosing different set of activities to deliver a unique mix of value. 13The creation and the development of a new strategy to manage such a diverse business with the global outreach as Burberry is very complex in nature. Depending on various both internal and external factors it often requires to be made in the uncertain situations.It also often involves the radical change in the current culture of an organisation which is always uneasy for the employees and may adversely affect the performance of the organisation. Being an international company with the Global outreach makes it challenging for the company like Burberry to develop and maintain the competitive strategy that will encourage financial growth and gain advantage on the market. Nevertheless, Angela Ahrendts chooses the most ambitious and strategic plan Burberry has had in almost 50 years. * Leveraging the franchise4Where the goals are brand momentum by consistent global articulation, marketing innovation and product excellence. * Intensifying the development of non-apparel4 By focusing on the yet under-penetrated non-apparel categories, such as mens collections, soft accessories collections and licensing the eyewear, fragrance, make-up and watches products globally. * Accelerating retail-led growth4 To change the static wholesale model of the company to a dynamic retail model by driving the productivity, putting the customer needs in the centre, and investment into opening new st ores. Investing in the underpenetrated markets4 The goals are engaging China, developing India and the Middle East markets and elevating the wholesale presence. * Pursuing operational excellence4 To be recognised not only by operational excellence, but by product and marketing excellence. However, despite the most well-considered strategy a company is always dependent on both internal and external factors able to make an impact on its development and trade. PESTEL method will help to analyse the macro external environment Burberry may find difficult to deal with in order to realise its strategic plan.Political Economical Social Technological Environmental Legal Being an international company may create problems with possible tensions between the governments of the countries where Burberry trading takes place Continuous recession Fairtrade responsibilitiesAnti-fur/ leather campaigns New highly technological approaches to selling , buying and advertising the product appear The impact on the Planet while manufacturing and transporting the goods Different taxation and trading rules and regulations in different countriesHowever, not only the macro external factors, but the micro external factors too might cause obstacles for the companys strategy. Michael Porters Five Forces analyses gives the clearest understanding of the micro external environment, which includes the threat of the existing competitive rivalry, threat of bargaining power of the suppliers, threat of substantial products, as well as the threat of the customer bargaining power and the threat of the new entrants. It can be seen from the scheme, that Burberrys main existing competitors include Stella McCartney in the market of clothing and shoes (apparel) Hermes in the non-apparel market, e. . bags and scarfs and Chanel to talk about make-up. Moreover there is also a threat from the substantial products, such as those produced by Sisley, Ted Baker and Karen Miller, which are not luxury brands, however do have a reputation of a great quality and they are also British. Which means in times of recession people might switch to them. There is a threat from the suppliers in case they would increase the price, as Burberry only works with those the members of the Ethical Trading Action Group.There is a threat coming from the customers too due to the fact that most of the Burberry products are fashion oriented, which means once they are out of fashion, people will refuse buying them. However, the threat of the new entrants is not essential, as even though the new brands may offer novelty, they cannot offer the name with such a rich background and heritage that Burberry has. All of these factors must be taken into consideration for Burberry current strategy to be successful. 2. 3. 2. Vision and missionWith the appointing of Angela Ahrendts as a CEO in 2006 when the Internet was booming bursting the opportunities of the global trade with its no-boarders possibilities, Burberry steps on a c ompletely new path of high-tech cooperation with its customer. 5 With the core Burberry ideology of The faster we move forward, it becomes even more critical to look back and never forget who we are and never forget where we came from. And what made this brand such a great global luxury brand today2 in mind Ahrends sets the new core purpose for Burberry. We had a vision she admits in one of the interviews And the vision was to be the first company who was fully digital from end-to-end. 2 Ever since the company has been working on integrating various digital approaches to its business. Burberrys advertising campaigns and catwalk shows became more and more technologically complex whereas the on-line trading on the contrary became easier and more available by the companys partnering with various on-line selling platforms to take that vision and built the social enterprise.The experience expected was that the customer would have the total access to Burberry across any device anywhere and would get exactly the same feeling of the brand, feeling of the culture, regardless of where, when, how they were accessing the brand. Everyone now should be able come into Burberry world and see the Burberry journey and mission. The new vision enhanced the Burberry mission to sell its distinctive Britishness to the world with the new flavour of community that every customer is believed to become a part of buying or at least being interested in a Burberry product.Such attitude intends to create greater customers loyalty to the brand as this is the community, where ones opinion in a way of a feedback is valued and appreciated. Even the personal preferences of how the core Burberry product should look like is taken into consideration from now on as the company launched www. artofthetrench. com web platform, where anyone can post their photos wearing a Burberry trench, moreover, can create their own trench coat based on the iconic trench from Burberry. Ahrendts goal is to deepen, b roaden and vary the communication between the company and the customer through every activity the company is involved in.She emphasizes on the vital necessity of the cross-channel communication to be totally connected to everyone who touches your brand. 2 The new vision and the new additions to the established mission of the company have formed the brands new strategic intentions 2. Protect, Explore and Inspire. Burberry values. 3. 3. Values Burberry is a brand with over 150 years of history. 6 All that time the company has been run by the efforts of many people and, naturally, these people might have been of a completely different personalities, views and opinions. However, being a company, which in this case is Burberry, draw hese people together united not only by common vision of where the company is going, but also by the values, which in a context of a corporate culture set the behavioural norms of the company through years for everyone who entered it. Edgar H. Schein describe s corporate values as A pattern of shared basic assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems. 7 Burberry defines their core values as Protect, Explore and Inspire. Angela Ahrendts, Burberrys CEO, often refers to the company as the new and old company9 and such description definitely reflects the way the company constantly strives for the new opportunities, but always staying faithful to its old priorities. The essence of the Protect, Explore and Inspire companys core values can be explained through the objectives of Burberry as an organization. 2. 2. Classification of Burberry values 2. 2. 1. Protect 1. Cultural value of the company to traditionally remain a quintessentially British brand.Burberry is proud of its rich heritage which has seen over a 150 years of British history. Thus the company is passionate about the the authenticity of their trade mark and core product in design and purpose, such as world-wide recognized trademark check and Prorsum horse logo and a traditional modern classic style trench coat. 2. Environmental value aims the environmental excellence of the company. Burberry is continuously aware about the environmental issues, such as climate change and carbon dioxide emissions and animal welfare, for example.The company is a member of the UN Global Compact and uses the Compacts Ten Principles to guide its Corporate Responsibility activities. It is listed on the FTSE4Good Index and achieved the Carbon Trust Standard. 15 The work of the Business for Social Responsibility Sustainable Luxury Working Group, of which Burberry was a founding member, also continued this year, focusing on animal welfare guidelines and the exotic skins supply chain. As a result, the release of a common Animal Welfare Policy by the Gr oup was communicated to Burberry suppliers, detailing its high expectations in respect of welfare standards. 15 Burberry is also a member of the Leather Working Group, supporting its efforts to improve transparency in the leather industry. Burberry does not utilise sandblasting on any of its products manufactured by or on behalf of the Group. 15 3. Ethical value is in the desire of the brand to ensure the rights of their employees are highly valued and carefully followed. Burberry constantly shows its striving towards the improved Corporate Responsibility (CR) performance.To achieve long-term improvements in labour conditions, Burberry provides support and resources to suppliers to empower them to take responsibility for their factory and subcontractor conditions. The CR team delivers supplier training covering the Groups ethical trading expectations, management systems and counsel on transparency and standards for subcontractors. 5 Burberry strongly believes that a policy of equal opportunity in employment is integral to the strength and growth of its business as a global brand with a diverse stakeholder and customer base.The company aims to ensure that the most capable job applicants are recruited and the most competent employees in the company progress. All decisions about peoples employment are based solely on an objective assessment of their suitability for the job. Burberry aims to maintain a working environment free from harassment or intimidation on discriminatory grounds and ensures that employment conditions and job requirements reflect its commitment to equal opportunities. 5 2. 2. 2. Explore Burberry values in that area are very much business oriented.Thomas Burberry, the founder of the brand, explored the world of outerwear of his generation by inventing his sensational waterproof Gabardine and a trench coat, which none has ever seen nor worn before. Today Burberrys aims to expand its production range to make it as diverse as possible to increase the market share. However at the moment the range already goes from the core innovative outerwear to not only womenswear and menswear, but to the non-apparel items, e. g. accessories, watches, childrenswear and even some home decoration items. 8 Burberry has always been aiming for the new markets first sports and outdoors, then military usage and later civilian clothing. Now that the company has established itself on the different types of market, it is striving for the geographical expansion taking markets throughout the world, with a balance across major geographic regions. 2. 2. 3. Inspire They are the Burberry social objectives. Burberry believes that contributing into the local communities the company works with will make a positive impact.In 2008 Burberry established the Burberry Foundation charity organisation the purpose of which was to help young people realise their potential through fashion and creativity, built their confidence and self-esteem. 9 3. Monitoring and evalua ting of the strategic goals and objectives Ahrendts approach to monitoring and evaluating of the strategy execution and achieving the goals is Divide and conquer. According to that there were particular teams created to monitor and evaluate particular aspect of the new strategy. Design team, headed by Chief Creative Office, responsible for everything the consumer sees, including merchandising and creative media4 Marketing team responsible for integrated advertising, PR and communications functions, which together focus on building and elevating brand awareness through traditional and digital media4 Digital commerce newly-formed team, driving digital commerce globally to accelerate the brands digital leadership position in the luxury sector and help unlock the huge opportunities in this high-growth channel4 Merchandising and planning team, which assorts, procures, and analyses the global collections in alignment with brand initiatives and commercial opportunities. 4 Every year Burber ry reveals their annual results and achievements according to the itinerary in their annual report. ConclusionA straight forward highly innovative strategy by the new Burberry CEO caused uncertain reaction from different people in 2006 as well as it still causes doubts. Some think those were unnecessary changes, which made Burberry loose its original look and spirit, and some believe it was the best thing that have happened to Burberry in the last 50 years. However, the facts and numbers indicate that Burberry grew up to 500 stores in over 50 countries and led to increase the total revenue up to +23% in five years by September 2012 with the on-line sales increase in 50%. 3 Almost certainly the course has been changing during those five years due to the macro and micro external factors, which were indicated above.Nonetheless, it is obvious that creating a relevant and detailed strategic business plan and a consistent monitoring of its results and execution are crucial for a successfu l management of the company. Also, the earliest possible setting of the strategic goals and stating the companys vision and mission and staying faithful to them makes the strategic plan effective. And in conclusion, understanding the values of an organisation will keep the corporate culture of the company stable, which is directly linked to productivity and job satisfaction among employees. References 1. Angela Ahrendts. (2011). Burberry uses salesforce com to create the ultimate Social Enterprise. Available http//www. youtube. com/watch? v=oRpLo44nUEQ. Last accessed 13. 12. 2012. 2.Angela Ahrendts. (2011). The Young-Old Company Angela Ahrendts, Burberry. Available http//www. youtube. com/watch? v=_i50d6wiCBc. Last accessed 13. 12. 2012. 3. Burberry. (2012). Annual report. Available http//www. burberryplc. com/documents/full_annual_report/burberry_ar_final_web_with-urls_indexed. pdf. Last accessed 13. 12. 2012 4. Burberry. (2012). Annual report. Available http//www. burberryplc. co m/documents/full_annual_report/burberry_ar_final_web_with-urls_indexed. pdf. Last accessed 13. 12. 2012. 5. BW staff. (2009). The 100 Best Global Brands 2009. Available http//images. businessweek. com/ss/09/09/0917_global_brands/4. htm . Last