Most people desire some sort of materialistic possessions ranging from clothes, to jewelry, to watches. Society uses these high class brands to evaluate people and in turn, people are labeled by what they wear or carry. If you take a walk downtown, both sides of the street are occupied by massive high class stores. Something that every woman needs to carry her every day belongings in is a precious handbag. Companies such as Louis Vuitton, Chanel, and Burberry are aware of this. Therefore, they offer a range of bags for consumers to choose from, with their signature logo plastered all over the bags. For decades, when someone mentions “handbag”, they think of the top chains such as Louis Vuitton because of brand positioning. Since the top chains already occupy all the market shares, it becomes difficult for new brands to enter the market. However, a second-place company, Coach, has been able to break through the market by using a new marketing strategy of affordability. Women’s handbags are either very expensive or very inexpensive department store products. Therefore, Coach became the middle ground and marketed itself as a high class brand that is affordable. Found in both expensive downtown areas and outlets, it caters to a wider population of consumers. Instead of being the first leader for fine handbags, it found an unoccupied position of affordability and entered the market, steadily gaining market shares and profits.

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