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The original designer for coach was visionary designed in 1941 as a family owned business by Lillian Cahn and Miles (Whitney & Bronfman 1) The company has been famous for women handbags, men luggage and briefcases, umbrellas, hair extension, footwear and office furniture. It started with only six workers who made various items such as leather goods, billfolds and wallets by hand. In1960, the company increased the number of employees, which later led to high profit earned. Following this progress, Lillian Cahn and Miles requested the American design cashin to be their designer. This was to increase the company’s profit and production.

In 1962, she became their designer for new labels of leather accessories. Her designs were appropriate for modern sculpture, which she dyed with her favorite candy colors of orange, pink, yellow and green, which were lined with Mexico cottons and designed by her mentor designer, Dorothy Liebes. Her contribution led to better production of the company and introduced new items, which attracted many people.

Early 1980s, the company manufactured their products using skilled laborer. Employees were paid better salaries, which motivated them to be effective thus increased coach profit. In the late 1980s, the company took steps of diversity in its channels of distribution. Specific stores were opened to help in selling their products. Its sales grew steadily at that period until demand was so high compared to supply. Despite of the increase in demand, the company never increased its prices, which led to the firm increasing its revenues.

Meanwhile, challenges were there for instance high prices of leather. This being a major problem, the company planted plant near Miami where some of the leather products were manufactured. Plant production supplied twenty-two stores within that city and three hundred different retailers which made coach products available in more that two thousand countries. Although traditional products were emphasized, it expanded more business items for women and men. Among the new products were the modern handbags that cost $50.

 

In 1988, the organization saw a need of opening its market globally because many of the customers were foreigner. In addition, over three hundred coach stores were opened in Canada and in United States. According to Knight (1), business analysts have attributed a continuing success of coach in that its brand name has been accessible to the budget conscious in United States. Coach sales have remained strong especially in American sales and within Japanese market. This has led it to operate internationally almost two hundred locations in other nineteen countries such as Brazil, Portugal, Mexico, Italy, Spain and Taiwan among others.

As the company continued its international progress, clients requested for variety of colors, new texture and variety of shapes. This contributed to Cashin introducing various accessories design in different colors. These included wallets, key fobs, cosmetic bags, jewelries and eyewear. Most often, she used hardware alike on her clothes along with accessories, particularly the brass toggle, which later became coach hallmark. Her passion for women accessories made her design adorable.

Other items included human hair along with synthetic extension. The below clip display the beauty of this extensions

 

Its success in expanding its stores was caused by Coach Awareness on the wear along with tear that happened day-to day life. She developed an interest for her products in which she repaired bags for her customers when they were damaged. This was to ensure lifetime guarantee for durability of the handbag. When damaged were brought, she assessed it determining whether the product could be repaired. The assessment was not only based on the nature that the bag was damaged but also on suitable methods of fixing. If the item could not be repaired, she would send either a brand new product of the same make, value with its discount. She only sent damaged bags to clients upon their request. Her values and integrity of the company products in repairing, promoted the Coach name.

For the past years, the company has attained high profit margins compared to other competitors. In May 1991, profits had increased by more that a sixth over the previous years and annual sales was $150 million. Although there were challenges along the way, there was progress in revenues because of increase of each design item produced yearly.

 

 

Due to its production run, the company has been able to have an advantage on economic scale. However, it has utilized lower production facilities in some countries such as China together with Dominican Republic. Currently, there are twenty-five stores globally that have carried full coach collections. These collections include men bags and briefcases with women footwear. Among the twenty-five stores, six are located in New York with two in Honolulu. Other locations are in Palo Alto, Atlanta, East Hampton, Chicago, Houston, Greenwich, Los Angeles, Las Vegas, Philadelphia, Natick, San Diego, Washngton DC, Seattle, Francisco, Seattle, Westchester and Troy (International Directory of Company Histories 1).

Work cited

International Directory of Company Histories, Retrived on 17^th March 2011 from http://www.fundinguniverse.com/company-histories/Coach-Inc-Company-History.html

Knight Charles. The popular history of England: an illustrated history of society. and government from the earliest period to our own times, Volume 7. Bradbury and Evans publisher. 1861. Print

Whitney Catherine, Bronfman Edgar. The Third Act: Reinventing Yourself After Retirement. G. P. Putnam, 2002. Print

 

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