5. Do you think Lang ' s relocation to Italy will pay off?

Why or why not?

Goal To encourage students to apply global business strategies to a small-business situation.
Situation Some people might say that Yolanda Lang is a bit too confident. Others might say that she needs confidenceand more-to succeed in the business she's chosen. But one thing Is certain: Lang is determined to grow INDE, her handbag design company, into a global enterprise.
At only 28 years of age, she has time on her side-lf she makes the right business moves no.v.
These days, Lang spends most of her time in Milan, Italy. Backed by $50 000 of her parents' personal savings, she is trying to compete with Gucci, Fendi, and other high-end handbag makers. Her target market is women willing to spend $400 on a purse. Ironically, Lang was forced to set up shop in Italy because of the snobbishness of these customers, who buy high-end bags only if they're European-made. "Strangely enough," she muses, " I need to be in Europe to sell in North America."
To succeed, she must first find ways to keep production costs down-a tough task for a woman in a male-dominated business culture. Her fluent Italian is an advantage, but she's often forced to tum down inappropriate dinner invitations. She also has to figure out how to get her 22-bag collection into stores worldwide. Retailers are showing her bags in Italy and Japan, but she's had little luck In the United States. " I intend to be a global company," says Lang. The question Is how to succeed first as a small business.