Levi Strauss is indeed a well known brand in jeans throughout the world for many years now. But with the spread of globalization the level of competition has indeed goes up. Liberalization in economies around the world has opened up newer vistas of trade. Levi Strauss has been catering the US and European markets quite effectively all these years, but the requirements of markets outside these regions might be different. Therefore, Levi will have to customize their products in line with the requirements of these markets. It is worthwhile here to mention that the company is indeed pursuing a transnational strategy with the availability of customized products in the respective markets. The company needs to consolidate on this. In order to take fullest advantage of the global environment, Levi Strauss can;
- Aggressively explore the markets of Asia Pacific region in general and China and India in particular. China and India together comprise of over one third of world population, which could prove to be a huge market for Levi Strauss. The company must continue the customization of its products which makes it popular amongst a large customer base.
- The European and Asia Pacific market is providing good profit margins to the company; therefore, it can afford to pass on some of these margins to the customers in order to attract more customers.
- Globalization calls for a universal approach towards business, therefore in order to take on the competitors, the company would have to leverage the economies of scale in its favor. Levi Strauss has already started outsourcing the production work to locations like Philippines. But it can help the matters by looking at some of the Chinese sites, which can help the company in locating the production near the potential market.
