A Study of Levi's Global Environment and Its Business Challenges

This report examines the challenges Levi's faces within the global environment. It focuses on the critical role of the global segment, highlighting the need for innovation, adaptation to changing customer needs, and competitive strategies. The analysis emphasizes the impact of global factors on Levi's, including competition, technological advancements, and the importance of research and development to maintain market share. The report suggests that Levi's must focus on quality, design, and affordability to enhance customer loyalty and secure its future. The study underscores the necessity for Levi's to adapt quickly to market changes and address institutional constraints to ensure sustainable growth and competitiveness.

Management

Issue:
Study the segments of the general environment that is most challenging for Levi's and why
did it hurt them?
Global segment that affects and hurts existing practices of Levi’s
One of the six segments of the general environment that is very critical for the sustenance of
any apparel industry to flourish worldwide is the Global factor. The world is changing at such
a pace that product innovations have to match with changing needs of customers (Görg &
Hanley, 2017). The Company here needs applications of knowledge of its global customers
and suppliers, the changing trends, the new and passive needs, the different cultural demands
and the scope of newness in the existing work strategies. Since there is a cut-throat
competition in the fashion world with such great innovative thoughts and capacity to
influence the market with their talent, the new rival has a huge chance to engulf the existing
customer base who have a low switching cost and growing demand for high quality and
performance. This thereby increases the threat for Levi’s to match the higher growth
expectations in terms of fashion, need, taste, creativity and satisfaction.
Therefore Levi’s was supposed to apply more focus on its research and development section
with more expenditure on quality of denim, new innovative designs, the multi-cultural range
of products and more affordable rates to enhance its switching cost by making more
stakeholders supported funding mechanism (Case study: Levi’s, 2016). With the rise of
technology to amazingly new standards, Levi’s should focus more to reach its customers via
as many modes as available for expansion of its reach and execution of the marketing
strategies through such new communication and digital technologies.
Conclusion:
Therefore, based on this segment which is creating loads of challenges for Levi’s and hurting
its global stakes and even its existence, it is suggested to take quick and smart changes to
sustain in this highly volatile market. It is thereby required for the company to match the
needs of customers and standards of its competitors to secure its existence and reduce
institutional constraints for future growth.

REFERENCES
Case study: Levi’s. (2016). [Online]. Available through <
http://www.globalcollect.com/resources/case-studies/levis >. [Accessed on 5th October 2017].
Görg, H., & Hanley, A. (2017). Firms’ global engagement and management practices.
Economics Letters, 155, 80-83.