The Limited, Inc. Three Limited Parkway Columbus, Ohio 43230 614-415-7000
www.limited.com s_djdipietro@clarion.edu Administrative Decision Making BSAD 490
Dr. Roth July 12, 1999 Overview Name: The Limited, Inc. Headquarters: Three
Limited Parkway Columbus, Ohio 43230 Telephone: 614-415-7000 Internet Address:
www.limited.com Top Officers: Leslie H. Wexner, Chairman and Chief Executive
Officer Kenneth B. Gilman, Vice Chairman and Chief Administrative Officer V. Ann
Hailey, Executive Vice President and Chief Financial Officer Arnold F. Kanarick,
Executive Vice President and Chief Human Resources Officer Total Number of
Employees: 131,000 Number of Locations: over 5,600 in Domestic U.S. S.I.C.
Number: 5621 Current Stock Price: $47.50 History The Limited, Inc. was founded
by Leslie H. Wexner on August 10, 1963, beginning with one store located in
Columbus, Ohio. During its first year in operation, this store achieved sales of
$157,000. His strategy was to provide a limited assortment of quality,
fashionable sportswear at medium prices. The limited concept worked well and by
the late 1970s, Wexner began a twofold strategy of market development and
product development. New stores were opened and acquired an appeal to women of
different ages, sizes, and budget limits.
The Limited, Inc. is comprised of a unique family of brands. Since the grand
opening in 1963, the Company has grown to over 5,633 stores and 13 retail
businesses. Businesses that fall under the umbrella of The Limited, Inc. are:
Express, Lerner New York, Lane Bryant, Henri Bendel, Structure, Limited Too, and
Galyan's Trading Company. The Limited, Inc. also owns 83% of Intimate Brands,
Inc., IBI, which consists of Bath & Body Works, and Victoria's Secret. Instead
of offering a wide-variety of types of clothing, the stores offer a limited
assortment in large quantities and a variety of colors. The company emphasizes
rapid turnover of inventory so only the newest fashion is in the stores at all
times. As of 1997, the Limited, Inc. is a $9.2 billion specialty retailer
selling women's, men's, and children's apparel; lingerie; personal care
products, and sporting goods through its 5,633 stores and a catalogue. The past
few years have seen significant change in the business. In May 1998, The
Limited, Inc. completely divested itself of Abercrombie & Fitch stock. They gave
shareholders the choice of exchanging their Limited shares for shares of A&F in
a process known as a modified Dutch tender. Today, The Limited, Inc. operates as
four separate business groups: Women's Brands, Emerging Brands, Intimate Brands,
and Support Businesses. Women's Brands: Express: The Express underwent
reconstruction in the early 1990s to have a more sophisticated European image
instead of the neon-lit high-tech store of the mid-1980s.
The company now describes its Express stores as providing hot new fashion to
young women in their early twenties. Merchandise includes young and spirited
fashions of good taste and quality. A private label brand created for the
Express is called Compagnie Internationale. Express added petite sizes in 1995.
The 753 Express stores in operation as of year-end 1997 were located mostly in
shopping malls. Limited Stores: This is the flagship division of the
organization. Originally, merchandise in these stores was targeted to women
between the ages of 16 and 25, but that orientation changed to women in their
thirties and forties several years ago. Limited Stores recently shifted its
orientation to women who want casual American fashion. These stores focus on the
sale of medium-priced fashion clothing and accessories. The company began
opening larger-format Limited stores in 1990, and older stores took on a new
look to provide additional selling space. Most of the 629 Limited stores are
located in regional shopping centers or malls across the U.S.
