Question

RMS Group company wants to develop High-quality, premium leather handbags and accessories targeting the high-end fashion industry. All products are crafted from leather (animal-based), hand-made and adorned with the company’s signature logo made with Swarovski-crystals in a united state market.

based on the analysis of the market environment, explain how this could provide opportunities for the company (in terms of the value chain) ?

Answer 1

Based on this analysis of the market environment, RMS Group company could benefit from opportunities in the value chain such as :

- Sourcing high-quality leather from reputable suppliers.

- Developing relationships with high-end fashion retailers.

- Creating a strong brand identity that resonates with consumers.

- Offering unique designs that stand out in the market.

Explanation:

The high-end fashion industry is a growing market with a lot of potential for companies that offer high-quality, premium leather handbags and accessories. According to a report by Fortune Business Insights, the global handbag market size was valued at USD 63.4 billion in 2020 and is expected to reach USD 78.9 billion by 2028. Leather is the primary raw material for luxury handbags and accessories. The market for leather handbags is primarily driven by luxury consumer spending in developed as well as developing economies.

I hope this helps.