I believe that effective business partnership and networking solutions across the globe have become the need of the hour. Indeed, the managerial leadership initiatives of Levi’s have encouraged the same through licensing agreements, alliances, and a network of retailers. The major objective is to increase the effectiveness and efficiency of delivery of the quality goods to all its stores across the world. With 414 company-operated stores in 26 countries and 55000 franchisee-owned retail outlets across 141 countries, we market our products (Levi, 2010). Thus to meet the demands of our customers across the world, our alliances and partnership with independent contract manufacturers have greatly increased our effectiveness in the delivery of the huge range of our products. The sourcing agents and logistics firms are used for procurement of the material, design, and manufacturing of finished goods. The company has a stringent code of conduct for all its alliance partners and therefore we are able to maintain the credibility for quality products.
Interestingly, the concept of mass production of jeans had come from one of our early partner, Custom Clothing Technology Corporation or CCTC which had promoted the idea and implemented the same through state of the art technology. In 1995, CCTC was acquired by Levi’s so that it could exclusively work for it (Lee and Epstein, 2004). The process had greatly facilitated the changing preferences of the customers and thereby significantly impacting its performance outcome. Through the acquisition, our capabilities, especially in terms of efficient and timely mass production of apparels, had hugely increased and had helped become a key enabling factor in our continued success.
The huge network of retailers across the globe helps the company to exploit the huge potential of the global market. It has especially become the highly crucial element of competitive advantage in the recessive times.