Developing and Promoting a New Summer Shoe for Balenciaga

Desklib provides past papers and solved assignments. This project analyzes Balenciaga's summer shoe launch.

MANAGING A SUCCESSFUL BUSINESS PROJECT

Table of Contents
INTRODUCTION......................................................................................................................2
TITLE.........................................................................................................................................3
PROJECT MANAGEMENT PLAN..........................................................................................4
ILLUSTRATING AIMS AND OBJECTIVES OF THE PROJECT.....................................4
A STRUCTURED PROJECT MANAGEMENT PLAN......................................................5
WBS AND GANTT CHART OF PROJECT........................................................................8
QUALITATIVE AND QUANTITATIVE RESEARCH.........................................................10
QUALITATIVE RESEARCH.............................................................................................10
QUANTITATIVE RESEARCH..........................................................................................12
RELIABILITY AND ACCURACY OF THE CURRENT RESEARCH METHODS.......14
ANALYSIS OF RESEARCH DATA......................................................................................15
CONCLUSION AND RECOMMENDATION.......................................................................22
PERFORMANCE REVIEW....................................................................................................23
REFERENCES.........................................................................................................................24
APPENDIX..............................................................................................................................26
PROJECT LOG-BOOK.......................................................................................................26
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INTRODUCTION
At present, the role of globalisation has been increased in enhancing and transforming the
operations and business structures as there is a need to make a better and positive impact on
the customers and other stakeholders. In addition to this, the need to expand the businesses
has been tremendously increased with the advent of latest technologies and hence increasing
market competition. So, for the same subject, there is a need for the organisations or
businesses entities to perform effectively and strictly within their operating markets in order
to overcome from the challenges and concerns and make a great impact in the society. Hence
it can be stated that they have to follow some strategic plans and continuous development and
research for their businesses.
Here, this research project has been defined and highlighted with the case of Balenciaga
which is a luxury fashion brand who are performing their research on for their summer shoe
for coming summer season. The research will be leaned to develop some strategies for their
products by understanding the perceptions of the respondents and market scenarios. With
respect to this, a launching event will be planned to showcase the product in front of the
population in a mega fashion event.
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TITLE
“Developing and promoting a new summer shoe in the luxury fashion
industry across the globe for Balenciaga”
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PROJECT MANAGEMENT PLAN
ILLUSTRATING AIMS AND OBJECTIVES OF THE PROJECT
Definition of project management
Project management could be defined as a process of instigating, planning, implementing,
controlling, monitoring and completing teamwork for attaining specific aims and objectives
of a business organisation. The focus of every project management activity is to achieve all
the goals and objectives of the project within set time and constraints (Kerzner and Kerzner,
2017). Project management is the application of processes, methods, knowledge, skills and
experience for achieving the desired aims of the company.
Project Aims
Luxury personal goods market is increasingly growing across the globe. People are
continuously getting interested in luxury shoes, Balenciaga is one of the leading brands in the
luxury shoe industry but the company faces great competition from other well-known brands
such as Louis Vuitton and Gucci. Thus, the company is undertaking this project-overcome
competition by developing a new shoe for the forthcoming summer season. The company
also aims at successfully promoting the project among the major fashion retailers as well as
customers in the London fashion week held on February 16-20.
Project Objectives
In order to achieve the project aims, the specific project objectives are:
 To gain clear knowledge about the luxury personal goods industry
 To identify customer demand in the luxury shoe
 To develop a new range of luxury shoe
 To develop effective marketing strategies for promoting the product
 To successfully sale the product among the retailers and customers
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A STRUCTURED PROJECT MANAGEMENT PLAN
A Project management plan is a formal document used for managing the project execution. it
includes the essential aspects of the project that is necessary for defining, preparing,
integrating and coordinating the project activities. it describes how the project is
implemented, executed, monitored and controlled. The main elements of the Balenciaga
project are:
Cost and budgeting:
While preparing the project budget and cost, the financial stability of the company should be
considered (Meredith and Mantel, 2011). Proper knowledge of the financial status of the
company would support in formulating an effective project plan as per the company’s
abilities as well as the needs of the situation. Moreover, the budget should also be prepared
with cost minimisation approach. the budget for Balenciaga’s project would be estimated
across £ 4-5 Million.
Table 1: Project Cost Structure
Project planning £10,000
Project research £500,000
Research analysis and
interpretation
£300,000
Designing of shoe £200,000
Manufacturing shoe
Purchase of material £1,000,000
Human resource cost £700,000
Purchase of machinery £500,000
Technical cost £300,000
Maintenance cost £300,000 £2,800,000
Promotional activities
Launching at a fashion event £400,000
Print media £200,000
Electronic media £100,000 £700,000
Total £4,510,000
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Project Scope:
A project scope defines the key deliverables and limitations of the project that outlines the
project activities for achieving the key objectives. The key deliverable of this project is to
support Balenciaga in gaining competitive advantage in the luxury shoe industry and beat
competitors. This will also support in increasing the market share of the company. However,
the main limitation of this project is the lack of time that could affect the quality of the
project.
Time:
Time is an important aspect of every project. it is very important to set a proper timeframe to
successfully perform the project activities and achieve project aim at the right time. The
project is expected to be completed in a limited timeframe of 8 weeks.
Project quality:
Project quality is determined and defined from different aspects such as cost, process,
products and the quality of deliverables (Meredith and Mantel, 2011). The project quality
must meet with the organisational standards and thus, the project quality, design quality and
process quality must be ensured. Thus, in this project, the project quality is maintained and
ensured by applying the techniques of quality assurance and quality control in three
sequential steps.
Figure 1: Project Quality Plan
While planning project quality, the key quality requirements are established such as
identifying accurate market demand, developing competitive product and employing effective
promotional activities.
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Communication:
Proper communication is very essential to ensure that all the activities of the project are in the
right direction and achieve the project objectives successfully (Meredith and Mantel, 2011).
In this project, communication is done in the upward, downward and lateral channel that
would clearly present the information about the actual progress of the project. the different
means of communication such as e-mail, face-to-face, fax and mobile applications are used in
this project to covey the information among all the team members of the project.
Risk :
It involves certain issues and situations that could affect the quality of the project. there are
always chances of risks and uncertain conditions presented in a project. In the project, a
major risk is cost risk where the estimated project budget may increase. While another risk in
this project is the lack of time. Time is the most critical constraint in this project and if the
project is delayed than it may affect its effectiveness as well as also create a challenge for the
company in the market.
Resources:
Resources can be termed as the stock of supply of staff, money, and other essential assets that
are important to perform the project activities (Meredith and Mantel, 2011). The major
resources required in this project are human resources, funds, machinery and material to
complete it properly. The staff of approximately 100 people is required to plan the project,
perform research, design and manufacture product and promote the product in the market.
besides this, the proper availability of funds must be insured to carry on the project
successfully.
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WBS AND GANTT CHART OF PROJECT
Work-Breakdown structure:
A Work-breakdown structure joins up the key project activities and classifies them into
different groups of workers. It decomposes the work activities of the organisation by
segmenting project activities into small achievable parts for completing the project within the
set time limit. Besides this, it also supports monitoring the progress of each activity and tasks
(Lock, 2017). The project activities of the Balenciaga project are divided into different
segments to categorise the project activities into small achievable tasks.
FIGURE 2: WORK-BREAKDOWN STRUCTURE
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Work-BreakdownStructureProjectPlanningQualitativeresearchQuantitativeresearchDataanalysisProductDevelopmentProductDesiginingProdductmanufacturingProductPromotiondecidingpromotionalstrategyProductpromotion

Gantt Chart:
A Gantt chart is a graphical presentation of the activities of Work-Breakdown Structure
against the set time limit. The main activities and tasks of the WBS are presented into a Gantt
chart in a graphical way to illustrate the required timeframe for completing a certain activity
of the project (Lock, 2017). The complete time of 8 weeks is presented below with respective
project activities and time. The highest time is required for manufacturing the product.
Table 2: Gantt Chart
Activity/weeks/time 1st 2nd 3rd 4th 5th 6th 7th 8th
Project planning
Qualitative research
Quantitative research
Research analysis
Product designing
Product manufacturing
Product promotion
Project completion
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QUALITATIVE AND QUANTITATIVE RESEARCH
The management and marketing plan for this research study will need a thorough analysis of
the trends, and the development of the shoe industry based on them (Kerzner and Kerzner,
2017). The single focus that can be kept here to understand the marketing strategy and basic
elements of inclusion is the evolution process of some of the famous brands like LV, Gucci,
Armani, Jimmy Choo, Prada, Versace and Chanel etc. To bring this insight beginning from
the foundation of the shoe industry in the modern world to the height at which it runs today,
the study will conduct a qualitative and quantitative analysis. The qualitative research would
basically be a study on different studies that have been conducted in the favour of shoe
industry and their evolution with the practicality of some specific company and brand
(Brannen, 2017). While the quantitative analysis will cover different surveys, data collection
and analysis, studies on companies and their performance over the last 10 years etc. Since the
data and results from this quantitative analysis form a foundation for concluding the research
study and generate recommendations, it will be kept at immaculate and detailed status.
QUALITATIVE RESEARCH
The management and marketing tasks of a fashion production company are a complicated
one since the elements that are covered in a fashion statement of a product designed for
targeted needs are much diverse than can be expected. Wolfe, 2016 thinks that this diversity
in the market trends, especially in the shoe industry has brought numerous complications in
addressing the right product for the right people. Nonetheless, there are still many big
competitors working at their best to address the customer needs and demands in the market,
while narrowing down the market for new entrants. According to D’Arpizioet al., 2017, a
great many shoe brands have surfaced and achieved success in the market, which could not
have been possible under the light of conventional marketing strategies and techniques. Bain
& Company, 2018 contends that the growth that has been recorded in terms of annual
expenditure on shoes is exhilarating and there are very few industries that have achieved this
level of growth in such a short time. The competitors of Balenciaga in a heightened shoe
market are many and some of them have a reputation and stature that simply cannot be
achieved even in a time span of 8-10 years. In just the luxury shoe segment, the market has
grown 5% every year to 2017 and the reach has touched the 1.2 Trillion Euros already. The
European region of the world has recorded the highest growth in especially luxury shoe
segment with some above-mentioned brand names. The real competition, however, lies with
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some of the prominent names which are not just popular in their brand name but also in
setting a trend in the market by bringing new and chic designs in the market. The market of
luxury personal goods according to a report has reached an approximate of 2 Billion Euros.
Fashion world has attained a very fast speed over the years and is still moving with
accelerated speed, the reason behind this is based on a very simple phenomenon, according to
which in the early days, the fashion understanding was brought and represented by some of
the famous fashion designers and their products were the real trendsetters in the industry.
With time, as the competition increased in the industry and with the competition, the number
of fashion designers and new products started to flood the market before anyone of them
could set or even close to set a trend. The reason was, the customers in the market were
getting understanding of this fashion revolution and instead, to getting feed by the fashion
designer, they are expressing their own demands and design needs which they had developed
over the years. This was evident from the market survey regarding the same, done by
D’Arpizioet al., 2017.
The fashion and beauty industry has a diverse range of products and the interesting thing
about them is that not only the numbers of new products are appearing in the market every
year but also a whole new segment is getting developed and promoted nowadays. The reason
behind such a change in fashion market can be understood with the help of blue ocean theory.
The fashion brands nowadays, instead of launching their high-end products in the existing
market, trying to create an entirely new market base for their products. Summer shoes are an
example of this change. Earlier, there were shoes according to the occasions and events, then
came the trend according to the seasons and times of the year and similarly there are new
markets are being created by these top fashion brands.
Apart from creating a new market for some distinct product range or to set a fashion trend,
the possibilities in some of the hidden economies are also enormous. Countries like India,
Srilanka and other south Asian countries are among the fastest growing economies of the
world and the potential they have can be leveraged by Balenciaga if approached strategically.
Although these countries may not accustomed to or ready to accept the westerns fashion
statements readily but if Balenciaga somehow managed to penetrate the market using the
gravitas of these western fashion giants and by coming up with fashion and beauty products
which are derived by the culture and heritage of those countries, it will be a grand
opportunity. There is another condition which the market and these big fashion companies are
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