STRATEGY IMPLEMENTATION OF DIESEL

Strategy Implementation of Diesel



Executive Summary

With the birth of Renzo Rosso in 1955 the history of Diesel Jeans was started. Renzo started the company with the claim that “We don't offer clothing, we offer lifestyle”. The Diesel brand has become, arguably, an international brand. Alongside the development of its products, Diesel has adopted a business strategy expansionist abroad. The brand has expanded its sales network with many shops, and has raised its presence in specialty stores and in supermarkets. The purpose of this assignment is to discuss the application of the strategic management process of Diesel Jeans. The sections of the paper are divided as Introduction of the company, Strategic Analysis, Strategy Formulation, Evaluation and Choice, Strategy implementation and Conclusion.

Table of Contents

Executive Summary1

Introduction3

Strategic Analysis4

PEST Analysis4

Porters 5 Forces Analysis6

SWOT Analysis8

Strategy Formulation, Evaluation and Choice9

Strategy Implementation10

Conclusion11

References13

Appendix 1 - Company Profile14

Diesel SpA14

The History of Diesel Jeans Brand23

Strategy Implementation of Diesel

Introduction

Diesel having Italian origination started in 1978 by Adriano Goldschmied and Renzo Rosso, the creators of AG Jeans. Diesel offers Ready-to-wear men's and women for 18-35 years, the loan-to-wear Child, shoes, leather goods, jewellery, sunglasses, watches, underwear and lingerie, linens, and perfume. The brand made its debut on the market of clothing called "casual" man and woman, and mainly jeans. In 1982, the Diesel logo is changed; a Mohican head and the slogan "Only the Brave" appear. This logo gives the brand a strong personality, a rebellious spirit, more readily identifiable by the devotees of the brand. In 1985, Diesel, bought by one of its co-founder, Renzo Rosso, is armed with new priorities. The label aims to be leader in the denim market and to do that, she launched an industry first: the "used jeans," jeans literally "pre-worn", washed with pumice and with enzymes, threadbare by sandblasting, and torn with blows of a razor blade (Diesel Heritage, 2012).

Diesel clothing is known for the originality and innovation of their designs and the quality of their materials and production techniques. Diesel jeans are the best known piece of the brand, it was the first garment that began manufacturing and who reaped more success with its large variety of materials and designs. Today is the only garment that is still made in Italy. But Diesel has always gone further, innovating and making other garments, accessories and even creating their own fragrances, delighting fans of fashion. Through creations nonconformist, he wishes to embody the passion, individuality, and self-expression. The year 1991 marks the entry of diesel in an era marked by communication campaigns combining black humour and derision, to social issues or policies, which regularly trigger controversy (Diesel Heritage, 2012). In 1994, Rosso launched the brand 55-DSL sportswear. Diesel is now one of Europe's largest manufacturers of clothing, including the famous jeans brand, but also glasses, shoes, luggage, perfumes and cosmetics, etc.

Today, Diesel has 300 stores, including 200 in its own name. The brand is present in over eighty countries and more than five thousand specialty stores or department ...