Michael Kors – 2 Elements

Trend Evolution Scheme:
As we all know, Michael Kors has grown to be a successful designer. However, when I think of Michael Kors bags in particular, they all seem to stay the same. With the exception of a change in color, most of Michael Kors’ tote bags, shoulder bags, cross body bags and even wallets are the exact same style. Additionally, the materials used to produce his bags do not change, either. Most of his bags are stiff leather. Occasionally, he may use more of a grungy leather, but his traditional bags tend to be stiff leather. For a long time, and even now still, Michael Kors puts out handbags with the “MK” logo all over the entire bag. While the logo look is more appropriate for the younger crowd, it is on its way out in terms of trends in the fashion world. Most people are carrying bags that are classic and simple. Aside from bags and wallets, Michael Kors is the go-to for watches. His watches have also stayed pretty consistent as far as style goes. There isn’t much to change about a watch, but even the shape of the face could be changed from time to time. He does have a square faced watch, but the face is too big for someone who has a smaller wrist. It is clear that Michael Kors has been a great success so far in the fashion industry. While he may not think there is a need for change in his bag style, if he wants to keep the consistent customer base he currently has, we strongly recommend he begin to design new bags and accessories. By expanding his designs he would potentially bring in and reach out to many more customers than he has already. Most people enjoy change and it is exciting to see what new products your favorite designer will put out, but does Michael Kors create any hype for new products when each bag seems to be the same design?

Economics:
As successful as the Michael Kors brand is portrayed to be, the company is currently facing an economic downturn. Just this year it was reported that shares have dropped 11 percent. Even though the company is facing a bit of a downturn, many people have faith that the company can either completely avoid the downturn, or slowly bring the company back to normal economic standing. This loss of shares is due to lack of purchases of Michael Kors clothing and accessories. The cause of this may be that consumers are cutting down on their spending on “higher-end” clothing and accessories. With the new Michael Kors stores opening in Europe, it is said the company hopes to bring in over 1,000 in revenue. Michael Kors must find and consider all possible options to avoid this downturn and keep consistent sales. I think it will be important to keep track of how many European stores open and how well they do in sales, as well as being conscious of any actions the company may take in hopes to remove themselves from this downward spiral.

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