"In year 2012, Hennes & Maurtiz (H&M) was the second-biggest specialty clothing retailer in the world.Sales for financial 2012 were $18.1 billion and operating profits were $3.3 billion. H&M operated 2,776 shops, 93% of them exterior to its home base of Sweden. . Over the past decade, H&M had passed Gap in sales, but the company had neglected to keep up with Inditex's growth and its Spanish competition had bigger sales and higher profitability than H&M. H&M had also lagged behind Inditex in supply pipeline speed, brand diversity, online retailing services and growth into China. The planet 's leading hypermarket chains, including Wal-Mart and Tesco, were making major headway in apparel and challenge H&M's basic clothes section.
In 2012, CEO Karl-Johan Persson, grandson of the organization's founder Erling Persson, guaranteed increased expansion into underdeveloped markets, a more powerful drive to online retailing, and the launching of a major new retail brand. Whether Persson's strategies were enough to catch up with Inditex stayed to be seen."
PUBLICATION DATE: June 19, 2013 PRODUCT #: 713512-HCB-ENG
This is just an excerpt. This case is about STRATEGY & EXECUTION
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