Executive Summary
Rolex SA is a personal company and the single largest luxury watch brand in the global. Rolex is a company that to manufacture, distribute and service wristwatches. In 1905 in London, Rolex was founded by Hans Wilsdof and Alfred Davis, which was specialising in the distribution of timepieces. Rolex was registered as a trademark in 1908 and as a company in 1915. Rolex’s base had moved to Geneva, Switzerland in 1919. They are responsible for many innovations in the watch industry including the first self-winding watch to show two time zones at the same time and the first brand to earn the chronometer certification for a wristwatch.
While Rolex has constantly sold to an upper class target market that consists of mainly men over the age of 35, there is an available market that necessarily to be addressed. His marketing plan will look at the current target market as well as the new market that will be covered. A situation analysis will be conducted including an evaluation of the strengths, weaknesses, opportunities and threats of the company. A suggestion for a new marketing strategy will be presented, including a plan of action and a financial forecast for the future.
In method to persevere their dominance of the luxury wristwatch manufacture, Rolex must look at the younger generation and find a way to persuade them that the product is a necessary purchase.
Introduction
Rolex was a London, United Kingdom’s privately held company. It was a watch manufacturing industry. This company offers men’s and women’s watches, stopwatches, pocket watches and clocks. It also offers gold, bronze and stainless steel watches with diamonds or other precious stones. Hans Wilsdorf and Alfred Davis had found Rolex in London, 1905. The early wristwatches were sold to jewellers, who then put their own names on the dial. The earliest watches from Wilsdorf and Davis were often hallmarked “W&D” inside the caseback. In 1908, Wilsdorf registered the trademark “Rolex” and opened a business in La Chaux-de-Fonds, Switzerland. The company name “Rolex” was registered on 15 November 1915. Rolex base of operation is in Geneva, Switzerland in 1919. Rolex is the largest single luxury watch brand, producing about 2000 watches per day, with estimated 2013 revenues of US$7.4 billon. The marketing of Rolex is worldwide. It had service centres in 28 countries globally. It also sells through Official Rolex Dealers in more than 100 countries. The brand value of Rolex had ranked 6th in the top luxury brands in 2010. Thus, Rolex is the most reputable company that exclusively produces a consumer product. Its employs had over 2800 employee.
History of Rolex
- 1905 Rolex was founded by Hans Wilsdof and Alfred Davis in London in specialising in the distribution of timepieces.
- 1908 The trademark “Rolex” was registered Hans Wilsdof because he wanted fits watches to bear a name that was short, easy to remember and say in whatever language, the office in La Chaux-de-Fonds, Switzerland was opened.
- 1915 In 15 November, the company name “Rolex” was registered.
- 1919 Hans Wilsdof left England, the Rolex base operation is in Geneva, Switzerland.
Rolex’s Mission Statement, Vision Statement and Goals of the Organisation
Mission Statement of Rolex
The mission statement of Rolex is to manufacture, distribute and service high-quality wristwatches.
Vision Statement of Rolex
The vision statement of Rolex is to continue the long tradition of excellence that the Rolex name represents.
Goals of the organisation of Rolex
Rolex had achieved the top ranked of luxury brands in the wristwatch manufacture that has created its distinctive position in the market by targeting only affluent people. Rolex has been targeting specialty market since its initial days; the main aim of the company is to provide quality seeking people with the best wristwatches that have been designed with superior quality raw materials and people who have expertise in this field. The watches are improved with highly experienced and well-trained people who have through knowledge and understanding about the wristwatch designing and manufacturing.
In order to reach the right target market, Rolex has made an efficacious changed in its marketing strategy by moving from traditional mediums such as Television Advertisements and advertisements in newspapers and magazines to celebrity endorsements such as Roger Federer and events sponsorships; both of these elements have created a new image in the market. As community are willing to invest in those brands that will enhance their relationship with their favourite personalities, Rolex has capitalized on this vision.
The primary research conducted among the college students revealed that they are disposing to own Rolex brand as it helps them in developing an association with their favourite star. Hence, Rolex is doing aggressive marketing so that it can arrest the attention of its target market, enhance its distinctive image worldwide and keep on making valuable contribution in the wristwatch business.
Four Functions Management of Rolex
Planning
The definition of planning is defining goals, establishing strategies to achieve goals, developing plans to integrate and coordinate activities. The planning of Rolex is to educate the younger market on the value of wristwatches. To create a social media strategy that will encourage users to engage with the brand as well as diffuse the message to a large audience also is a planning of Rolex. Thus, the other planning of Rolex is to encourage the purchase of wrist watches as a “reward” or key successes in a young man’s life.
Organizing
The definition of organizing is arranging and structuring work to accomplish organizational goals that has shown by Rolex. The organizing of Rolex is the general manager will lead the deputy general manager, however, the technical director, marketing director and administrative director will lead by the deputy general manager. The R&D, engineering and quality department will lead by the technical director where the department will be in charge of the Rolex’s manufacture, distribute and service high-quality wristwatches. Thus, the after-sales service department, marketing, projects department and the ministry of commerce will lead by marketing director where the department will be in charge of the Rolex’s marketing. Finally, the strategic development, administration, human resource and finance department will lead by administrative director. This department is in charge of the Rolex’s administration like the storage of company or industry, the stock of warehouse, the monitoring of Rolex, the purchasing of the company, the finance and human resource management of company and investigate the strategic of the company.
Leading
The definition of leading is to work with and through people to accomplish goals that has shown by Rolex. Rolex has lead by the chief executive officer (CEO), Mr. Giam Riccardo Marini. He becomes the CEO of Rolex Italia from 2000 until May of 2011. Mr. Marini is efficient to provide insight and expertise to that aspect of the business because the Italy is practically to control the Rolex’s market. There are over 800,000 watches and around 1,000 horological patents has be create in a year by Rolex when Rolex is leading by Mr. Marini. Rolex also the first luxury watch brand that to create a waterproof watch, first to display two different time zones and date on the same dial. In addition, Rolex no doubt has set a high prospect for the future with such a successful past. As a result, Rolex becomes more success when leading by Mr. Marini.
Controlling
The definition of controlling is monitoring, comparing and correcting work that has shown by Rolex. The manager of Rolex will keep his employees motivated and engaged when doing any project. The manager will also make out the schedule when start do the project to monitoring the activities to ensure that they are accomplished as planned. Thus, the manager will try to lower to cost of project when the project is over budget.
Internal stakeholders of Rolex
Shareholders
The roles of shareholders are shaping the vision and strategies, to maintain and develop business model to plan and oversee sequence and manage critical supply relationships. The shareholders can affect the business the Rolex. This can be shown by a director can be remove by the shareholders, the company’s name can modification by them and give the director job security for more than two years with authorising a service contract. So, the shareholders are more powerful than directors. This is how the shareholders to affect the business of Rolex when without shareholders.
Directors
The roles of directors are establishing the vision, mission and values of company. Yet another is to set strategy and structure and delegate to management of the company. The directors can affect the business of Rolex because the directors are responsibility the trusteeship of Rolex. They are responsible for the organization’s programs, image and property of Rolex. Thus, they can manage the financial of the Rolex. They can spend money on programs that represent the organization’s priorities of need. The program planning implementation and evaluation of Rolex also responsibility of directors. They must ensure to set the goals, develop plans and defines obligations to reach the goals. This is how the directors to affect the business of Rolex when without directors.
External Stakeholders of Rolex
Government
The roles of government are to pass laws that restrain many aspects of business activity, provide laws and order to allow legal business activity to take place and also to obtain economic stability to encourage business activity. The government can affect the business of Rolex. This can be shown by the government can to treat the businesses of Rolex is evenly under the law. It also to prevent unfair competition that cloud damage business survival chances of Rolex. Thus, it can establish a good trading links of Rolex with other countries to allow the international trade. This is how the government will affect the business of Rolex.
Suppliers
The roles of suppliers are to supply goods and services to allow the business to offers it products to its own customers. The suppliers can affect the business of Rolex because the suppliers are to help Rolex to supply goods and services ordered by the business in the time and condition as laid down by the purchase contract or supplier’s service agreements. This is how the suppliers affect the business of Rolex.
Conclusion
By doing this assignment, I have learnt how to develop a company. To develop a company, we must create mission statement, vision statement, goals of the organisation. Yet another, when we want to start to do a project, we must use the four function of management that is planning, organizing, leading and controlling because this is the best and easy way to accomplish the organizational goals. In addition, I also have learnt about the internal stakeholders and external stakeholders is very important to a company because the stakeholders can affect the business of a company. At here, I want to thank to my managing business’s lecture, Mr. xxx for his teaching. That is because he has taught me how to develop and managing a company. Now, I have about it. Thank you, Sir.
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