Abstract:
The paper examines the evolution of the brand Diesel in the US markets. The desire to research the development of the Diesel brand with a focus on its American subsidiary led to the creation of the current work. The paper is dedicated to accurately portraying the Diesel American reality in the years leading up and following the 2008 recession. The suggested goal is to vividly depict the events of the American branch of the Diesel brand, from its initial entry into the country in 1995 to the major difficulties that followed the recessionary years.
Diesel had been the exclusive distributor of Diesel’s goods in the United States since its establishment in 1995. At the beginning of the 2000s its denim jeans dominated the contemporary culture. However, Diesel USA fell victim to the worldwide recession, which had a detrimental effect on the retail industry.
Diesel USA was forced to seek Chapter 11 bankruptcy protection as a result of post-recession decreasing sales and poor managerial strategy decisions. The current work focuses also on investigating the primary causes of the US division’s bankruptcy and the solutions applied by the company with the purpose of overcoming the challenging situation.
