You are on page 1of 20

COMPANY OVERVIEW:-

TRADE NAME :- H&M( HENNES & MAURITZ AB)


TYPE:- PUBLIC
INDUSTRY TYPE :- RETAIL
FOUNDER:- ERLING PERSSON
FOUNDED:- 1947 (76 YEARS)
HEADQUARTE :- STOCKHOLM, SWEDEN
NUMBER OF LOCATION:- 4801 STORE
HISTORY:-
 The business was established in 1947 by Erling Persson when he opened his first shop in Vasteras,
Sweden.

 The shop was called Hennes (Swedish for 'hers') and only sold women's clothing. Another store opened in
Norway in 1964.

 In 1968, Persson acquired the hunting apparel retailer Mauritz Widfors in Stockholm, which led to the
inclusion of a menswear collection in the product range, and the name was changed to Hennes &
Mauritz.

 The company was listed on the Stockholm Stock Exchange in 1974.Shortly after, in 1976, the first store
outside Scandinavia opened in London. H&M continued to expand in Europe and began to retail online
in 1998 with the domain hm.com, which was registered in 1997 according to data available via WHOIS.

 The opening of its first U.S. store on 31 March 2000 on Fifth Avenue in New York City marked the
start of its expansion outside of Europe.
• H&M is a global fashion retailer known for its trendy and affordable clothing,
accessories, and home decor items.
FAST MOVING CLOTHING:-
• Fast fashion refers to clothing designs that quickly move from the catwalk to stores to
capitalize on trends.

• These collections are often based on runway shows or celebrity appearances, allowing
mainstream consumers to purchase new styles at an affordable price.

• Fast fashion has gained popularity due to cheaper manufacturing and shipping methods,
increased consumer demand for up-to-the-minute styles, and increased purchasing power,
particularly among young people.

• It challenges established clothing labels' traditional seasonal collections and often introduces
new products multiple times in a week.

• Major players in fast fashion include Zara, H&M, UNIQLO, GAP, and Topshop. However,
fast fashion also has negative impacts
H&M brands:-
All our brands share the same
passion for offering the best
combination of fashion, quality, price
and sustainability. Each brand has its monki.com cosstores.com afound.com

own unique identity. Together they


make it possible for people around
the world to be inspired and express
their own personal style.

hm.com/home weekday.com singularsociety.com

hm.com stories.com arket.com sellpy.se* treadler.com

* Sellpy, an e-commerce platform for second-hand items,


is majority owned by H&M Group but not part of its organisation.

O U R W AY 5
PRODUCT CATEGORY:-
Men's Clothing
Elevate your style with our collection of
fashionable and comfortable men's
clothing.

Women's Apparel
The perfect outfit for any
occasion, from casual
everyday wear to elegant
evening gowns.
Men's Clothing
Elevate your style with our
collection of fashionable
and comfortable men's
clothing
Kids & Baby
Adorable and high-quality
clothing options for the little
ones in your life.
Sports Wears
SWOT ANALYSIS :-

Strengths Weakness Opportunity Threats


• Global presence • Controversial • Exploit • Rising operation
• Competitive Products Ecommerce Cost
Pricing • Overdependence Fully • Global Pandemic
• on Outsourcing • Focus on
Emerging
Market
SHAREHOLDERS:-
NAME OF THE SHAREHOLDERS SHARES
The Stefan Persson family and related companies 57.1%
The Lottie Tham family and related companies 5.4%
STATE STREET BANK AND TRUST CO 3.6%
JP MORGAN CHASE BANK 1.9%
Swedbank Robur Fonder 1.4%
Handelsbanken fonder 1.3%
FJARDE AP-FONDEN 1.3%
NORTHERN TRUST COMPANY, LONDON BRANCH 0.9%
THE BANK OF NEW YORK MELLO 1.0%
OTHERS 26.1%
COMPETITOR:-
BRANDS

Zara was founded by Amancio Ortega and Rosalía Mera in 1975 as a family business in downtown
ZARA Galicia in the northern part of Spain. Its first store featured low-priced lookalike products of popular,
higher-end clothing and fashion

In 1965, the Benettons opened their first store in Belluno and three years after in Paris. The company's
BENETTON core business consists of clothing brands United Colors of Benetton and Sisley

In 1984 Mango opened its first shop on the Paseo de Gracia (Barcelona). A year later, the company
MANGO had five outlets in Barcelona and from this point on, with the opening of a shop in Valencia; it began
its expansion in the domestic market.
Zara  Product Type: Fashion clothing and
accessories.
 Founded: 1975,
 Founder: Amancio Ortega and Rosalia Mera
 Brand Value: 13 billion U.S. dollars (2022)

 Product Type: Fashion clothing and


Uniqlo accessories.
 Founded: 1984,
 Founder: Tadashi Yanai
 Brand Value: 13 billion U.S. dollars (2022)

GAP  Product Type: Fashion clothing and


accessories.
 Founded: 1659
 Founder: Donald Fisher and Doris F.
Fisher.
MACRO FACTOR
• POLITICAL FACTOR:-

• H&M operates in 71 countries with over 4300 stores and 47 online stores, facing political
influences and economic failures in countries like Turkey, Egypt, Lebanon, and Ukraine.
Political instability affects sales and has led to low net sales in these countries. H&M also
works with local or franchising partners in countries with strict regulations, such as UAE,
Egypt, Bahrain, Qatar, Indonesia, and Jordan. Franchising is not part of H&M's general strateg ic

• ECONOMIC FACTORY:-

• H&M's sales increased by 7% in 2018 despite Brexit concerns in the European market. The
company's net sales increased by 10% in the Swedish currency, from 200,004 million SEK in
2017 to 210,400 million SEK in 2018. This growth in net sales makes H&M a profitable
fashion company, enabling the company to bring innovative ideas and improve employee
employment services. This has also allowed H&M to offer better customer service in stores.
• SOCIO CULTURE:-

• Trend

• H &M adapts to changing customer shopping trends by utilizing social media platforms
like Facebook, Instagram, Twitter, and TikTok to create buzz and meet customer demands.

• Women empowerment H&M

• A fashion brand, has been criticized for promoting women's empowerment by hiring more
women than men, despite conservative critics accusing it of objectifying women.

• Better wages safety standards H&M

• is empowering women by collaborating with International Labor Organizations for safe


working conditions, better wages, and hygienic workplaces, while also modernizing and
reducing exploitation.
• TECHNOLOGY:
• We’re living in a world of the digital age, technology, smartphones, the internet, and information. A vast
majority of the world’s population is using the smartphones and internet. The pandemic has pushed the
culture of online shopping via smartphone, desktop browser, or laptop. You can buy anything online.H&M
also has an e-commerce platform, and it allows people to order their favorite products online. The
company has connected its online store with various local distributors and logistics facilities. They make
the product available to the customers.

• LEGAL:
• LAWS & REGULATIONS H&M is a global multinational brand and the company is operating its
fashion business in different countries worldwide. The fashion brand has franchising partners in countries
like UAE, Kuwait, Oman, and others. However, IPR (intellectual property rights) is a severe issue in the
fashion industry. Many fashion designers and manufacturers stole ideas and designs from other artists all
the time. It puts the company’s products and designs at risk.
• ENVIRONMENTAL FACTORS IMPACTING H&M HIGH POLLUTION
According to a study, the textile is the world’s 2nd most polluting industry after oil & petroleum. It wastes
and pollutes a plethora of water. Resultantly, it endangers the lives of those who are living near polluted
areas. On the other hand, the cotton manufacturing units are also polluting the air. Different governments
have regulations regarding the air pollution level. However, H&M is also working on the production of
recyclable material and usage of clean energy at its facilities.

• CONCLUSION: H&M PESTLE ANALYSIS


• After an in-depth study of the pestle analysis of H&M, we’ve concluded that H&M is indeed the world’s
leading Swedish multinational fashion brand. Environmental challenges like higher pollution levels,
global economic recession, and higher production costs are some of the main issues. H&M should utilize
its resources and influence to address these challenges.
MICRO FACTORS:-
REVENUE:-

Sales in Millions SKE


250000 232755
223553
198967
200000 187031

150000

100000

50000

0
2019 2020 2021 2022

Sales in Millions SKE

You might also like