Lvmh

Introduction

LVMH is the leading luxury brand conglomerate in the world. Based in Paris, it employed over 80,000 people in 2010, 77 per cent of whom are outside France. It has more than 2,500 stores worldwide and sales of 12 billion (Dr Harris and Dr. Dickmann, 2008).

Since its creation in 1987, LVMH has sought to create a pool of global managers with a working knowledge of international markets. A global manager is defined as a person with the training or experience needed to manage a global business. He or she can perform from any place in the world thanks to a global vision and skills in managing multicultural and multilingual teams. To have such abilities, an individual must have worked in several countries to develop the necessary skill that the job requires and the need to be able to work internationally. (Dr Harris and Dr Dickmann 2005).

The report will mainly focus on the LVMH career development strategy through international mobility and examines the main issues raised by the case in terms of external and internal factors affecting the strategy. Four questions regarding the
International mobility issues and challenges that LVMH faces when operating business globally will be discussed and clarified along the report.

LVMH believes that the best way to develop its employees is not formal training but mobility. This includes several movements in the organisation in different departments and mainly in different countries to achieve a development of multicultural knowledge and skills to operate business globally (Cerdin, J. 2003)

In 2001, LVMH had 260 expatriates and 650 other employees working abroad, today this number has hit over 560 and 3.000 respectively due to the successful development of the company and the HR teams (LVMH, 2011).

International mobility

International mobility of employees is increasing. People tend to not to limit themselves to working in their home country. People going to work in other countries are known as