Essay on Louis Vuitton Value Chain

Words: 3256
Pages: 14

Project title: Louis Vuitton Value Chain
Case 2

Class : CL- mec-yf 13

Student: George Dulvara

Number of characters (including spaces, footnotes, end notes and text boxes): 16947

Date: 16/04/2013


Table of Contents Summary 2 Introduction 3 Motivation 3 Research question 3 Interpretation 3 Scope 3 Method 3 Analysis of Louis Vuitton Value Chain 4 Louis Vuitton Supply Chain 4 Value Chain 5 LEAN MANAGEMENT 6 Future development of the value chain 7 Strengths 7 Weaknesses 7 VRIN Framework 8 Conclusion 9 Bibliography 10


This case should demonstrate the value that is being added to Louis Vuitton fashion and leather goods chain. We have used
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Value Chain

Michael Porter’s Value Chain Analysis entitle the way Louis Vuitton is bringing high value toward end consumer through it’s support and primary activities.

Support activities represents the fundament of primary activities. Procurement area make the production work, controlling the flow of materials from suppliers to worldwide shipment. In the first step of procurement phase each production line’s are being planned in regard to optimize the factory’s capacity. In the purchase area they are making and analysis inventories and send orders to the supplier to maintain the production line with the materials that they need. All the raw matterials that are coming from the suppliers like leather, canvas, zippers are received, controlled and organized in warehouse before being transfer in production.
In the technological part production lines are being provided with technical support, industrialization is the point where the drawings are adapted to industrial requirements. In every factory there are around 6 managers taking care of human resources and company infrastructure who constitutes the executive board of the factory directed by the factory manager.
Primary activities are under the surveillance and administration of Louis Vuitton, due to the fact that they want