Li&Fung Case Study Analysis
(Case study 1: Li& Fung)
Extensive network of suppliers (global reach supplier with SCM)
Provision of value added service (customer centric structure)
Entrepreneur corporate culture Low –end with hard goods
Over dependence on US Market
Vast supplier network makes it tough to maintain
Increasing expense from acquisiton Continuing global economy downturn
- Collapse of the American housing
- Credit market yield
1) In light of the American recession, what can Li & Fung do to continue expanding its business and reach its target of US$20 billion for the period 2008-2010?
In light of the American …show more content…
In conclusion, we believe that Li & Fung is definitely well-positioned and capable to continue expanding its business and reach its target of US$20 billion for the period 2008-2010. By revaluating its past strategy and realigning it to be more effective in the current situation, reducing costs by utilizing systems it already has in place, and by targeting specific markets in such a way that they can experience potentially great reciprocal gains, Li & Fung is sure to have a bright future ahead.
2) Explore the growth opportunities available to Li & Fung.
Li & Fung believes that the emerging markets of Brazil, Russia, India and China(BRIC) are