Hartmarx tightens its belt
Article Abstract:
Hartmarx Corp., a Chicago-based men's and women's clothing manufacturer and retailer, suffered a 42 percent decline in earnings for the year ending November 1986. The firm has made key management changes, cut 500 employees from its workforce of 25,000 and sold some unprofitable retail outlets. To help make the retail division as successful as the manufacturing arm, Hartmarx centralized and streamlined it, with $12 million in projected annual savings. Company advertising is done in-house, and 75 percent of the budget is for a print campaign; although some creative television work is contracted out. Hartmarx is trying to establish brand name suit loyalties in the male, 35-to-54 age bracket, which is increasing at a 28 percent rate in the 1980's compared to four percent in the 1970s.
Publication Name: Madison Avenue
Subject: Business
ISSN: 0024-9483
Year: 1987
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The new Kraftsmen
Article Abstract:
Kraft Inc seeks to strengthen its prominent position in the packaged foods market, where it earns $8.6 billion annually at a 10 percent profit rate. Kraft completed a friendly divorce from Dart Industries in 1986. Kraft's six-year association with Dart allowed Kraft to purchase the Duacell battery division and several other smaller but profitable firms. Kraft marketing and product development activities have also enabled the company to extend its product lines and expand its international operations. COO Michael A. Miles built a reputation for aggressive marketing while working for former employers KFC Corp, Heublein, and Leo Burnett.
Publication Name: Madison Avenue
Subject: Business
ISSN: 0024-9483
Year: 1987
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