Abraham-Louis Breguet created the first known wristwatch in history in 1810, for Caroline Murat, sister of the Emperor Napoleon l and Queen of Naples.

History In the 1970s, the watch making of Swiss city fell in an unprecedented crisis. The people of Switzerland: if you are not sleeping, you are making the watch. The Swatch group was created by Nicolas Hayek with the merging of the ASUAG and SSIH in Headquarter is Biel, Switzerland In 1998, it was renamed the Swatch group.

History (cont.) Product: Watches, jewelery, electronic systems for timekeeping. Brand: Swatch, Omega, Rado, Longines Radar, Tissot, Calvin Klein, Blancpain, Mido, etc. “S”watch: “Second-watch”or “Swiss-watch” In 1999, Swatch purchased the famous brand “Breguet” to expand the top luxury in the table. Employees: 23,560 (2009).

Current and Future Profile Swatch is a very popular watch company that began twenty seven years ago. In 2009 Swatch reached a gross sale of nearly six billion. There are more than 400 new designs through swatch group every year New conveniences such as cell phones may potentially hurt Swatch Proper Fashion updates is necessary

SWOT Analysis Strengths profusion colors & lively design styles plastic sheet, 51 parts, save a lot of cost has a lot of permanent customs Weaknesses fashion style just for most young people no variety market around the world mainly produces the wrist watches Not comparable price advantage

SWOT Analysis(Cont.) Opportunities show its creation and love of life enormous potential market Threats so many competitors customs have special taste The requirement of the world

Global Market Expansion Swatch is the second largest watch company with having 18 brand watches Low cost and good fashion designs has made Swatch very popular New automated assembly line produces watches a day including millions of parts Labor reduced 30% to 10% to ensure quality 1983 to 1992 Swatch hit sales breaking 200 million watches

Industry Analysis Luxury watches (most expensive) Sport watches Casual watches Average price of all watches is $125 Most expensive outfit accessory on average

Problems for the Industry Cell Phones Computers Clocks Cars

New Industry Innovations Internet capability Environment friendly (solar powered) Satellite calibration Weather updates Thermal powered Spring drive * industry up 4% in past year

Revenue of $7.72 billion Creators of the G-Shock (a popular collector’s watch) Added solar technology to G-Shocks Created Atomic Timekeeping watches 5 transmission stations (2 in Japan, 1 in America, 1 in Europe, 1 in China)

American based out of Connecticut America’s largest watch manufacturer Official timekeepers for New York City Marathon and New York Giants Recently introduced “Expedition watches” “takes a licking and keeps on ticking” Yearly revenue of approximately $700 million

Japanese company based out of Tokyo, Japan Founded in 1881 and incorporated in 1917 Revenue of $2.64 billion Invented the kinetic and thermal powered watch Official timekeeper of 5 Olympics and 4 World Cup soccer tournaments Invented the revolutionary quartz watch

Short—Term Recommendation Focus marketing towards lower priced watches Reason: the economy is in recession Purchase other companies to increase market share Advertize products in TV commercials and magazines Reason: brand image is not impressive this time.

Long—Term Recommendation Expand Globally Reason: as a global corporation, expanding is a basic and necessary strategy. Market to an older generation Reason: Swatch’s products are almost concentrated solely on young generations Marketing to older generations increases potential consumers for business

Change the design strategy to be new and creative Reason: as a creative company, it would transfer its creativity in designing wrist watches to designing ring or necklace watches. Focus on some environmental friendly watches using some green materials. Long—Term Recommendations