As Japanese arrest emphasized greatly on the product quality, good quality made LB acceptable and popular in Japan. Through achieving high quality, LB nurtured an addiction of the Japanese to luxury and built the loyalty to the brand in order to sustain its profitability. This made Japan the largest market of LB for a long period. According to the smile curve of value creation, LB insisted adding value to its brand and products to sustain its profitability. To keep the brand new and attractive to Japanese customers, Louis Button strove to add fashionable elements into its products and maintain the tradition and heritage of the brand.
With such innovation, Louis Button started to reach more local customers and continuously motivate purchases since most Japanese women are beauty-conscious. Also, as believing that productivity Mould not sustain growth, the company built the brand image through great expense in advertising. In addition, the efficient structuring of the company led to the management efficiency, which guaranteed the normal operation to LB and Provo De d the solid foundation to its success in Japan. Besides, production efficiency is another key factor of Luvs successful business model.
The production was completed through teamwork, ND the employees were trained to be autonomous and multi-skilled so that the problems of the product could be found by the front-line workers and solved timely Ninth their knowledge and experience. The teamwork efficiency, to a considerable extent, ensured Louis Button’s products with high quality. 2. What are the opportunities and challenges for Louis Button in Japan? The inherent advantages of Japanese market brought Louis Button great success. While the market is growing rapidly and gradually come to be mature, challenges, which also imply opportunities, appear to LB in Japan.