Kohl's launching another celebrity

During a previous class, we discussed extensively Vera Wang launching a mid-priced brand for Kohl's. I's sure you all remember it is called Simply Vera. We talked about how successful it would be and if it was a good idea. We also talked about how she would be able to move from couture to mass market. But it has been hard to keep up with the news because no one ever really talked about it. The line is still alive and kicking, although I'm not sure how hard. Now Kohl's is launching a new line from "The Hill's" star Lauren Conrad. The line, called LC Lauren Conrad, will launch in 300 stores in October of this year. For now it will be just apparel, but in the future could expand into footwear, jewelry, handbags and intimates. Kohl's will lead the manufacturing, production, distributing and marketing of the brand, while LC's image and likeness will be used in national advertising, in-store graphics, online/digital media and public relations.

The pic above is from the Lauren Conrad Holiday 2008 Collection. I really like her designs. They are colorful and fun and I love her use of different necklines. The yellow dress is my favorite! I hope her line for Kohl's incorporates these aspects! I wish her success and hopefully more people will talk of this line.

The Business Journal of Milwaukee (April 22, 2009). Kohl's to Launch Lauren Conrad Brand. Retrieved May 4, 2009 from http://www.bizjournals.com/milwaukee/stories/2009/04/20/daily37.html

Estee Lauder Losing Profit

Estee Lauder stated on Monday that its third-quarter profit fell 70%! That is a big loss. The reason for the decline is due to restructuring of the company and weakness in the company's travel retail business. The company is in the middle of a four year restructuring, led by Chief Executive Fabrizio Freda. The changes will boost sales over time, but we are in the middle of a slow economy. Consumers have been saving money and that means less travel. Because of little traffic through the airports, Estee Lauder saw few customers in their airport based stores. The company is now turning its sights to its Asian market. The marketing program in Asia is very effective and the market is expanding. Estee Lauder can look to those markets to see rising profits.

It is really sad to see the company struggle like this. They makes some of the finest cosmetic products, in my opinion, like Mac, Origins and Clinique. If you have some extra money, splurge on that designer fragrance or perfect shade of lipstick! Sometimes you just can say no!


Associated Press (May 4, 2009). Estee Lauder Profit Falls 70% on Charges. Retrieved May 4, 2009 from NT Times http://www.nytimes.com/aponline/2009/05/04/business/AP-US-Earns-Estee-Lauder.html?_r=1&ref=business

Freelance instead of full-time?

These days more people are struggling to find and keep full-time jobs. The answer may be freelance. Freelance can be beneficial to job seekers and businesses. Businesses can save money by paying for work when they need it and save on costly benefit packages. Job seekers get what they are looking for, a job. But the risks are higher for freelance seekers. The employment is erratic, meaning a steady paycheck is inconsistent. They also have to pay for their own health insurance and fund their own retirement plan. It seems that the risks out-weigh the benefits, but when you are unemployed you will do anything that comes your way. For the ones that are just about to graduate, some of us may not have the experience for a freelance job. But it takes putting yourself out there and we know how to do that. All you can do is try and maybe you will make some money working a really cool job! Obviously, you also want to continue to look for that full-time position in the mean time!

Dickler, Jessica (May 4, 2009). Freelance is the New Full-Time. Retrieved May 4, 2009 from http://money.cnn.com/2009/05/04/news/economy/freelance_workers/index.htm?postversion=2009050403

E-Readers

Hearst Corporation is looking to launch a wireless e-reader. The e-reader is a hand-held device that allows the consumer to purchase periodicals, magazines and books. The e-reader displays electronic "ink" on low-power screens that show one page at a time, like a regular book. The experience is similar to reading on paper. I think this is a great idea. It just proves how fast our society turns to technology for any aspect of life. Having e-readers will also cut down on paper use. This will save our trees and forests and is a great example of "going green." The cut in cost also effects printing and distributing the product. This will cut costs by more than 50%. There is a downside though. The device is going to market sometime later this year. With the recession keeping money in consumers' pockets, I don't see many people splurging for this device when they can easily get the paper version. I think another problem to this idea is the people that love to collect and read actual books. I love to read and am currently building up my library. The device is more efficient than a book(s), but some consumers will miss the tangible product.





Copeland, Michael V. (February 27, 2009). Hearst to Launch a Wireless E-Reader. Retrieved February 27, 2009 from CNN Money.com http://money.cnn.com/2009/02/27/technology/copeland_hearst.fortune/index.htm?postversion=2009022712



Sony Reader image retrieved February 27, 2009 from http://www.mobilewhack.com/reviews/ebooks/

Buy Stocks!

If you are young, and we are, now is the time to buy stocks. It is a great time to invest in stocks at sale prices. With the recession and the stock market struggling, everyone else is selling. If you have the money, invest and watch your money grow over the next 30 years. Stocks are long term and most people selling right now have been invested for awhile (that makes sense to them). The market will be struggling for months to come, maybe even years, but that is irrevelant to us in our 20s and 30s. If we invest now, in 30 years, we will have a great nest egg. When we get to retirement age, social security probably will not be available to us. Investing now will allow us to have freedom when we are older. Most students don't think this far in the future, but I think that's a mistake. You can never start too early. Our teacher assigned our class a stock project this semester and I think it's a great idea (also fun!). It is teaching us the basics of stocks and the importance of investing. I am excited to build my own stock portfolio in the very near future!

Fried, Carla (Feb. 17, 2009). Younger Investors Can Proft From the Crisis. Retrieved February 20, 2009 from CNN Money.com http://moneyfeatures.blogs.money.cnn.com/2009/02/17/younger-investors-can-profit-from-the-crisis/

There are some fun calculators on CNN Money.com. This one is called "When will you be a millionaire?" Try it out...http://cgi.money.cnn.com/tools/millionaire/millionaire.html

Microsoft opening retail stores

Microsoft is planning to open its own retail stores this year. The stores will be set up with displays of computers with Microsoft software and Xbox 360 consoles, along with other products the company makes. David Porter, a 25-year Wal-Mart vet, was named head the project. The stores are meant to "help shoppers make smarter decisions about spending money on technology." It's interesting that Microsoft would make such a decision during a recession. Electronic sales, in general, have declined. Circuit City was forced to shut their doors last year. Even Best Buy has laid off thousands of corporate employees and seen a drop in sales. I'm not sure if now is the best time to make such a bold move. Competing with Apple stores will be difficult for Microsoft. Apple is known for their unique, modern stores. Microsoft will really have to convince consumers that their products are superior and worth the money. I hope Mr. Porter comes up with some great ideas! I wish him luck!

Associated Press (February 13, 2009). Microsoft Plans to Open Retail Stores. Retrieved February 13, 2009 from NY Times http://www.nytimes.com/2009/02/14/technology/companies/14soft.html?_r=1&ref=business

Ford Refuses Bailout Aid

Ford has had it's worst year ever with a loss of $14.6 billion in 2008. But the company refuses to let the government aid them with bailout money. Competitors like GM and Chrysler are involved in the bailout. Ford says they have enough liquidity to stay afloat. But at the end of 2008, Ford had $24 billion in cash on hand and a debt of $25.8 billion (more debt than assets). So why is the company not involved in the bailout? Ford believes that the economy will improve in the months to come. Some analysts believe the economy will get better around July, but how can they know that? Ford will continue to support themselves during these hard times until the economy significantly worsens or one of their competitors files for bankruptcy protection. If the economy continues into this recession, it will be the longest on record since the Great Depression of the 30s. Because most of my class is graduating in May, this recession is an important factor for us. Are we going to be able to get jobs in retail? Will the economy start to stabilize in the coming months? I am kinda worried, but only time will tell! Props to Ford for refusing government aid when that money can be used elsewhere. I really hope things work out for the company that made the automobile popular!