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Word Count: 435
Liz Claiborne did very well according to the 1999 Annual Report and the letter from the CEO Paul R Charron According to the Annual Report sales were up 103 percent as compared to the previous year Liz Claiborne Companies produce a wide selection of jewelry attire for adults and children Cosmetics and casual wear The company is widespread across the United States when the article was published and are internationally accessible In fact the company expanded its products in 1999 which lead to the increase in earnings Therefore Liz Claiborne is not a subsidiary An external control problem that had a major effect on the companys increase in sales is a diverse line of products As a company it is inevitable to try to beat out the competition However Liz Claibornes Company offers a selection for a wide range of ages The more the customer is interested in the product the more that individual will buy Many factors contribute to a companys success as seen in this case Keeping customers satisfied with their purchases having a selection for a diverse set of individuals and keeping the cost reasonable are only a few factors taken into account As the article states we have successfully established a profitable business model which plays off the design and sourcing strengths and fashion credibility of our Liz Claiborne brand but dies so in a lower-price context for consumers in multiple channels of distribution The external control I focused on was the variety of merchandise Liz Claiborne offers their customers An external problem not mentioned that might start the decline of the companys success repetition of product and style This may seem harmless but a customer will expect some differences in product and selection among different stores Merging helps the company expand selection however it can also have a bad affect on the company if customers dont see different products within the different stores Such an example is if Liz Claiborne
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