Babcom: Opening Doors

In 2011, newly appointed CEO Chip Bergh needed to urgently turn around the iconic but floundering denim apparel firm, Levi Strauss & Co. (LS&Co.) Famous for its blue jeans, LS&Co. had suffered a decline in revenue of 29% from $6.8 billion in 1997 to $4.8 billion in 2011. Bergh faced some urgent decisions. Should LS&Co. focus more on the wholesale channel or direct-to-consumer channel? What parts of its product mix should the firm emphasize? In which geographies should it invest? With only a short window of time in which to build momentum, Bergh knew that he needed to prioritize, given the firm's limited resources.