Chapter 5: Developing a Global Vision

TAG Heuer, like most Swiss watch manufactures, are Multinational Corporations. Though its main headquarters is centrally located in La Chaux-de-Fonds, Switzerland, their focus is on being global marketers. TAG Heuer, sports wristwatch extraordinaire, has a variety of luxury products aside from wristwatches including luxury mobile devices(TAG Heuer Meridiist) and eyewear. Their products are sold through authorized retailers and brand boutiques - located in Asia, Africa, The Middle East, Europe, and the United States; authorized retailers located throughout 6 continents, Antarctica excluded.

When a company such as TAG Heuer is already achieving success throughout the globe, what must they do in order to further themselves in the wristwatch industry? Open or authorize new locations in growing markets. According to a recent article in WatchTime magazine, many countries across the globe have had a surge in watch sales, with sales in China increasing 47.8%, Thailand 42.7%, and Hong Kong 23.6%, over the last year! Many of us American watch aficionados have learned this news the hard way, with products being pulled from shops in order accommodate these new consumers.

TAG Heuer, like many swiss watch manufactures, has plans to open more brand boutiques worldwide in order to further promote their product. In opening these boutiques, they feel you will be able to enjoy the complete TAG Heuer experience, in learning about even the smallest intricacies in your timepiece, not just buying another watch.

Chapter 4: The Marketing Environment

In the luxury watch industry, TAG Heuer is known as THE powerhouse in the sports watch sector. Their target market for the most part are sports enthusiasts, hence their relationships with F1, McLaren, Lewis Hamilton, Maria Sharapova, etc. To the general public, TAG Heuer is known for their magnificent timepieces priced pointed for even the average joe. They have their extremely popular Formula 1 line, priced from $1,100, which has been a hit in the 18-40 age range, as well as the consumer looking for a reasonably priced product from a well known luxury name brand. Though TAG Heuer specializes in sports watches, they still have product to suit even the savviest businessman, with their Carrera and Grand Carrera lines. With their new Monaco V4, they are testing the market to see whether or not consumers are willing to shell out $80,000 on a watch bearing their logo.

Early 2011, in collaboration with McLaren, they produced a product targeted directly to buyers of the new McLaren MP4-12C with the MP4-12C Chronograph. With an annual production exceeding 1,000,000 watches, their demographic is pretty broad. From the US to South America to China, I can guarantee that you will see a TAG Heuer on someones wrist. Interestingly enough, as of early this year, TAG Heuer has requested that their retailers note general demographic information on consumers purchasing their product - including ethnicity and approx. age. This information is crucial in order to further advance themselves with their existing audience as well as in areas where they are lacking.

Chapter 3: Ethics and Social Responsibility

TAG Heuer is a company I find to be completely "ethical" in its operations. Ethics, according to MKTG 5, is "the moral principles or values that generally govern the conduct of an individual or a group". As one of the biggest wristwatch companies in the world, and one that advertises in almost every luxury magazine, TAG has little room for error. TAG Heuer, like many companies, have brand ambassadors - people who are chosen to represent their brand and "embody the corporate image in appearance, demeanor, values, and ethics". Well, for 10 years their biggest brand ambassador was Tiger Woods, a man who made a living not only on the links, but as the face of many prestigious brands. TAG Heuer did not hesitate for a second in dropping him as their brand ambassador, with CEO Jean-Christophe Babin stating that TAG had to "take account of the sensitivity of some customers". Smart move by TAG. The last thing you need is a man who committed the immoral act of adultery representing your company.

TAG Heuer, to my knowledge, has never advertised or stated anything but the truth. In regards to their product, in the case when an issue arises, they are glad to view their product in their given warranty period and return your product in the condition it should be in, or a replacement of your product. TAG is a company that will continue to prosper as they continue to do the right thing in their consumer's eyes.

Chapter 2: Strategic planning for a competitive advantage

TAG Heuer has most recently developed their first completely manufactured product in its existence with the Caliber 1887. For TAG Heuer, leader of sports and chronograph wristwatches, it must find new ways to continue to further themselves not only in that market but others as well. By creating unique product such as the Monaco V4, it has shown potential to enter this sector of the watch industry and flourish, impressing audiences across the world and opening a new workshop in 2008 in order to focus on developing innovative product and to continue their goal in making timepieces as accurate as possible. If TAG Heuer, a company that focuses on introductory luxury, can continue working on manufacturing higher end product, and appeal to those who are looking to spend $10,000-$20,000 or $80,000(Monaco V4) on a watch, they will gain market share in that level and become a much stronger company overall - one that can not only sell a $1,000 watch, but a $100,000 watch as well. TAG Heuer continues to market themselves as often as an opportunity presents itself. They proved this with the opening of their first US boutique in Las Vegas and ranking 4th among all watch advertisers, spending 22.7 million dollars in 2010. Expect TAG Heuer to increase its presence on the wrists of young adults and adults around the world.

Chapter 1 - TAG Heuer: History and Mission

TAG Heuer is a luxury sports wristwatch and accessories company and a subsidiary of one of the worlds largest luxury conglomerates, LVMH. Although acquired in 1999, TAG Heuer has a rich history dating back to 1860. TAG Heuer is considered one of the largest chronograph wristwatch producers in the world, with an estimated annual production easily surpassing 1 million units. Considered by many enthusiasts as one of the greatest sports wristwatch innovators of all time, TAG is responsible for creating such inventions as the Micrograph, the first watch measuring time with an accuracy of 1/100th of a second and the Monaco V4, the first mechanical wristwatch using transmission belts as opposed to the standard series of gears, and many more over the last 150 years. TAG Heuer's current line - from approx. $1050 - $80,000 - includes various collections of Mens and Ladies wristwatches, quartz and mechanical. Such collections include the Aquaracer, Formula 1, Monaco, Link, Carrera, and Grand Carrera. Over it's history TAG Heuer has maintained successful relationships, further promoting their product among sports enthusiasts, with Formula 1 racing and McLaren and most recently announced as the official watch of the Rugby World Cup 2011. TAG Heuer strives to be the best sports wristwatch company in the world and does an amazing job at promoting their product with past brand ambassadors Tiger Woods and Steve McQueen, and current ambassadors including Maria Sharapova and Leonardo DiCaprio. TAG Heuer's mission - to continually promote their product as the best of it's kind in the world and to remain the pioneer that they have been over the last 151 years.

To learn more about TAG Heuer, visit them at: www.tagheuer.com