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Profiles of Liz Claiborne and Jones Apparel Group
Textiles Intelligence, Nov 2003, Pages: 21
This report focuses on the performance and strategies of two of the USA’s larger and more successful apparel companies: Liz Claiborne and Jones Apparel Group.
Jones Apparel's performance has been particularly impressive. From relative anonymity a decade ago, the company has grown to become the USA’s third largest garment company in terms of net revenues in 2002.
Faced with an increasingly tough retail environment, Liz Claiborne and Jones Apparel have pursued a strategy of growing through acquisitions. In both companies, such a strategy has been maintained in an effort to increase their share of the clothing market—primarily in the USA but also overseas. Perhaps more importantly, these two companies have been able to boost their total profits while maintaining relatively high earnings margins and manageable debt burdens.
Jones Apparel and Liz Claiborne have also sought to strengthen their brands, and have followed clearly defined branding and market segmentation strategies. These strategies have, for the most part, been successful—allowing both companies to consolidate and expand their respective customer bases.
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