Abstract

The case gives a detailed account of the dispute between two of the world’s leading luxury good companies, Gucci and LVMH. The case examines how Gucci managed to thwart the takeover efforts of its rival LVMH. The case is so structured as to enable students to understand the tactics Gucci used to avoid being taken over by its rival LVMH. The case explains how the Gucci management used the ESOP poison pill and the PPR white knight. They should be able to look at the controversy from Gucci’s as well as LVMH’s point of view. The case is aimed at MBA/PGDBA students as part of the Business Strategy curriculum.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Take over bid of Gucci by LVMH.

Keywords

Luxury good companies, Gucci, LVMH, thwart, takeover efforts, LVMH, Gucci management, ESOP, poison pill, PPR white knight, Business Strategy