IFE MATRIX

Strengths
1. It has a strong iconic brand through its famous Tiffany Blue Box
2. It provides it customers with excellent quality craftmanship
3. Tiffany is vertically integrated
4. It has a wide range of products and product differentiation
5. Tiffany has 221 retail stores across US, Europe and Asia-Pacific
6. Tiffany has a well-designed website used for online sales transaction
7. Tiffany continues to collaborate with renowned designers
8. Tiffany is financially capable
9. It is opening 10 company operated stores in the next year
10. It is strategically located to expensive real estate locations

Weaknesses
1. Selling, general and administrative expenses increased in the first half of 2014
2. Decrease of net sales in Japan
3. Tiffany stores cannot be expanded easily
4. Tiffany was unable to adapt and appeal to the Asian market
5. Tiffany have high inventory holding cost
6. Tiffany have low promotion and advertising
7. Tiffany is greatly dependend on its Tiffany brand

Opportunities
1. Jewelry and watch whole saling is expected to grow from 2014 to 2019 in the US
2. US disposable income is expected to grow for the next five years
3. Percentage of high-earning households is expected to grow for the next five years
4. There is high demand for luxury goods in China
5. Global luxury industry is expected to grow over the next 10 years
6. There is continuous economic growth in the Asian market
7. There is an increase of Internet usage and e-commerce
8. Rules on trade barriers are eased
9. There is an increasing demand for men's luxury

Threats
1. Jewelry store industry is in a mature lifestyle stage
2. Marriage rates is projected to decline
3. Any unfavorable changes in foreign curreny could negatively impact Tiffany's profitability
4. Blue Nile is planning to expand internationally
5. Supply for diamond is decreasing
6. There is an increased concern over the environmental and social impact of mining
7. Counterfeited products continue to increase
Weight Rating Weighted Score
0.08 4 0.32
0.07 3 0.21
0.08 3 0.24
0.06 3 0.18
0.06 3 0.18
0.03 2 0.06
0.05 3 0.15
0.08 4 0.32
0.05 3 0.15
0.03 3 0.09
0
0
0
0.07 1 0.07
0.05 2 0.1
0.06 2 0.12
0.07 1 0.07
0.08 1 0.08
0.03 1 0.03
0.05 2 0.1
1 2.47

0.05 4 0.2
0.1 4 0.4
0.1 4 0.4
0.05 3 0.15
0.08 3 0.24
0.1 3 0.3
0.05 2 0.1
0.04 3 0.12
0.04 2 0.08
0
0
0.1 2 0.2
0.03 3 0.09
0.05 3 0.15
0.04 3 0.12
0.07 2 0.14
0.05 2 0.1
0.05 2 0.1
1 2.89