Case study about the acquisition of Bulgari by LVMH. The case explores the high-end watch industry and describes the challenge that LVMH faces in such industry. The case is designed to stimulate a discussion about corporate strategy and the challenges that a company faces when competing in several industries.

This acquisition presents several challenges, such as whether it is worth the premium paid for Bulgari, whether Bulgari has the capability to compete in this sector and, particularly, how Bulgari complements LVMH's corporate strategy aimed at improving its position in its watch division.

The Case (B) provides additional information about the LVMH group's recent decisions, providing a discussion of the reasons for a takeover in an industry where it wants to strengthen its position and provides the instructor with a tool to examine the difference between competitive strategy and corporate strategy.

Accordingly, this case is ideally intended for Executive Education strategy courses. Alternatively, it could be a good case for MBA-level strategy courses, to discuss the concept of corporate strategy and its implications.