Analysis: Li & Fung - Case Study Example

The case study "Study Analysis: Li & Fung" talks about the Li & Fung Company that was founded in 1906 by Fung Pak-Liu and Li To-Ming in China in the city of Guangzhou and it was founded as an export company making trades overseas. In 1945, Li To-Ming retired and sold his shares to the company though the company retained the name Li. After World War II, Li & Fung relocated to Hong Kong where their product line included garments, plastic flowers, electronics, and toys. In the early 1970s both Fung brothers, William and Victor returned from Harvard after getting their MBA and Ph.D. respectively and in 1973 they made the company public by listing it on the stock exchange.

In the 1980s, Li & Fung expanded its network of regional offices throughout the Asia-Pacific region. In 1995, Li & Fung Acquired Inchcape Buying services to expand its business throughout Europe. Li & Fung acquired the status of global export business worth $2 billion by the year 2000 came where it had 3,600 staff member globally which managed and sourced sensitive products worldwide. In the same year, Li & Fung sales were 69% in the USA and 27% in Europe while their key customers were big names like Warner Brothers, The Limited, Reebok, Levi-Strauss, Abercrombie & Fitch, Tesco, Avon Products and American Eagle.

Their product mix then consisted of hard goods and soft goods were soft goods included knit and woven garments while hard goods included fashion accessories, giftware, furnishings, sporting goods, toys, traveling goods, handicrafts.