Case | HBS Case Collection | July 2002 (Revised July 2008)

Value Retail

by Arthur I Segel and Ani M Vartanian

Abstract

Scott Malkin, CEO of Value Retail, a developer and operator of European outlet villages serving luxury brands, is planning on developing a 18,503 m2 open-air outlet village to be built 98 kilometers south of Milan on land he was about to acquire for 7.26 million lira. Is this a good investment? What are the risks associated with the project? Could Value Retail pursue its outlet strategy in Italy? Includes color exhibits.

Keywords: Acquisition; Investment; Risk and Uncertainty; Expansion; Retail Industry; Milan;

Citation:

Segel, Arthur I., and Ani M Vartanian. "Value Retail." Harvard Business School Case 803-008, July 2002. (Revised July 2008.)