Abstract

Abstract Luxury fashion companies are today part of a dynamic and fast growing industry. The competition of international market shares is tough, and only the fittest survive. There are three large luxury groups in the world: LVMH, PPR and Richemont. Chloe is a French luxury fashion company belonging to Richemont, since being acquired by the group in 1985. Chloe was founded in 1952 by a Parisian claiming that the contemporary fashion was too stiff and formal. Her name was Gaby Aghion and she opted for changes and started to design garments which she called “luxury ready-to-wear”. This became a huge success in the market and other fashion houses followed her. The house reached its first peak in the 1970s with Karl Lagerfeld at the designer helm and later on in the 2000s with Phoebe Philo as the chief designer. A business model is defined by three basic components; value creation, value architecture and revenue model. Osterwalder and Pigneur (2009) extend these three components into a nine point business mo...

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