Swatch is one of the most competitive and largest watch makers of all over the world. It is known for the high technology of making watches. It is employing more than 20,000 workers, and sells its products to more than 50 countries. However, the price of the raw material of making watches is rising continuously, which heavily affects the cost of production, so that the company will not gain as much of profit as it gained before.
Swatch Group enjoys a strong brand reputation and a prominent market position. It is a huge and successful company which owns nearly 20 world famous watch brands, such as Omega, Rado, Tissot, Swatch, Longines, Tinffany & Co., ck watch & Jewelry, Certina, Blancpain, Jaquete Droz, Leon Hatot, Union Glashutte, balmain, Mido, Hamilton, Flik Flak, Endura, Tourbillon. All of the world famous brands owned by Swatch Group enable this company to occupy the world’s leading position of all its competitors. Among all these impressive brands, each of them targets its consumer segment. For example, Brequet is the number one of the world’s luxury watch brands. And next to Cartier and Rolex, Omega can
be counted as the world’s third largest brands. Besides, Swatch, due to its casual, fashionable and cool design, is focusing on the youth segment. What is more, the Flik Flak, which has a very cute and adorable design, never fail to fascinate the kids’ eyes. From men to women, young to old, everyone can enjoy the joy brought by Swatch Group. It is why the Swatch Group can have so prominent a reputation and so large a market share. Moreover, Swatch Group is good at making watch components and electronic components, and then provides them to the third party.
Unlike many other companies, Swatch Group has a good way to fully use its revenue, which is to diversify its revenue to several markets, such as 23.6% of total revenues are invested in the jewelry production(2006), 66.3% to watch production (2006), 10,1% to electronic system,...