Tiffany & Co

I.    EXTERNAL ENVIRONMENT

A.    Societal Environment

      1. Economy
?    Low-negative growth in economy/financial markets (T)
?    Reduced discretionary spending on goods that are, or are perceived to be, luxuries (T)
?    Unsettled regional/global conflicts e.g. military and/or terrorist activities (T)
?    Weak economic conditions in Japan (T)
?    Global competition (T)
?    Wholesale market for high quality cut diamonds will provide continuity of supply and pricing (O)
?    Soft employment market (T)
?    Post September 11th recession/reduced tourism (T)
?    Increase in 2-income families (O)
?    Number of families w/ household incomes over $100,000 to grow by 20% (O)
?    Low cost manufacturing abroad ? China, Brazil (O)
?    High discretionary income of baby-boomers through credit card use (O)

2. Technology
?    Increased availability of Internet (O)
?    Increased use of E-Commerce (O)
?    New QAD & MFG/PRO software to collect real-time data (O)

2.    Political-Legal  
?    Increase in free trade (O/T)
?    China's membership to WTO (O)
?    WTO ? World Trade Organization (O/T)
?    Tax benefits associated w/ ETI (O)
?    Government rules/regulations (O/T)
4. Socio- Cultural
?    Growth of seniors market-over 80 million baby boomers in U.S (O)
?    Baby boomer ...
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