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A Brand. A Style. A Concept. Caro Cuore has been a quality and design synonym in underwear since 1979. Is the attitude that defines who is seeking to look and feel good every time.

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Product Line
Caro Cuore: Caro Cuore Biancheria: Female underwear Female Lingerie

Caro Cuore Calze e Collants:

Caro Cuore Pianella: Caro Cuore Sport:

Stockings, Pantyhose
Slippers Female sports clothing

CaroUomo:
Minicuore:

Male underwear
Girls underwear

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Product Line

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Caro Cuore worldwide

More than 72 stores around the world. Presence in: Argentina, Spain, USA, Chile, Mxico, Brazil, Portugal, Saudi Arabian, Colombia, Costa Rica, , Francia, Ecuador, Paraguay, Dominican Republic, Bolivia, Uruguay. Strong emphasis in the development of new overseas markets.

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Competition
European and local high quality and prestigious brands. High income segments brands. Brands that have exclusive stores at the most outstanding places in the main cities. Brands with presence in Departament Stores of high incomes. ( Neiman-Marcus, Barneys , Bloomingdales, Nordstron, Saks Fifth Avenue) Brands with high presence in specialty stores.

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The Image
Quality Distinction Creativity Glamour Elegance Sofistication

Innovative Packaging

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Competition: a high fragmented market

6ixty 8ight Adea Alberta Ferretti Andre Sarda Antonia Ghazlan Arianne Aubade August Silk Bali Ballet Bas Bleu Beau Bra BelaBumBum Belly Berlei Bioform by Charnos Bodyhints Private Label Bordeaux Bracli Cabana Club Calvin Klein Carin Gilson Chantal Thomass Chantelle Charnos Chaslyn Cherry Pie Chiarugi Christies Christina Stott Christina Yaia CJ Grenier Claire Pettibone Cosabella Cor Cotton Club Cotton Soul Cotton Trend Collection D&G Daniella DKNY Dolce & Gabbana Intimo Donna Harvey Donna Karan Duet Eberjey Emma Jane Euro Fantasie of England Felina Fifi Chachnil First by Perele Fishnet Fleur't Francis Smily French Connection Freya Frisk Frost French Gap Gemma Gossard Hanky Panky Hanro Helen Sanchez Hipster G Huit Intimo Privato James Perse Janet Reger Jockey Khurana La Cosa La Perla Lady Marlene Laura Urbinati Le Mystere Leigh Bantivoglio Lejaby Lepel Lilo Lily of France Lise Charmel Liz Claiborne Lola C. Loungewear Betty Love It Luna di Seta Maidenform Malizia by La Perla Marvel Mary Green Millesia Moschino Muse Nancy Ganz Natori Nina Ricci Nomade by Chiarugi Occhi Verdi by La Perla OnGossamer Only Hearts Olga P. Jamas Panache Parah Passion Bait Passionata Pastunette Patricia Fieldwalker Play Safe Playtex Polka Dot Pretty Polly Prima Visione Princesse Tam Tam Rigby & Peller Ritratti Roberto Cavalli Rosapois Royce Sabrina Nadal Salomee Samantha Chang Schiesser Selmark Shock Absorber Silhouette Simone Perele Sloggi So Low StayKups Swan Sybaris The Cat's Pajamas Triumph Underglam Valentino Vanity Fair Verde Veronica Verena Viamode Victorias Secret Virginware Wacoal Warner's Wonderbra Zoe

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Competitors Group
La Perla Carin Gilson Simone Perele Aubade Dolce & Gabbana Escada Leigh Bantivoglio Hanro Patricia FieldwalkerKenzo

Cosabella Donna Karan Chantelle Cosabella D&G Wonderbra Victorias Secret Lejaby Wacoal Gap Natori OnGossamer Calvin Klein Roberto Cavalli Arianne La Cosa Berlei DKNY $50 Felina Triumph Maidenform Le Mystere Bali Lily of France Olga Jockey Warners Playtex Vanity Fair Liz Claiborne Barely There others...

$80+
- $80

Price

- $30

$30 - $50

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Brand Strategic Site

10 9 8 7 6 5 4 3 2 1 0 1 2 3 4 5 6 7 8 9 10

La Perla Caro Cuore Cosabella

Price

Victoria Secret

Differentiation
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Our target customers profile

Female teenagers and adults (17-40 years old) High Income (ABC1) Modern, proffesional, cosmopolitan, creative. Premium publications and fashion magazines readers. Few reaction to price.

Brand loyalty.

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Characteristics of our target customers

Teenagers (15-19) : dominate media- create tendencies Young Ladies (20-35): dominate expenditures Women over 35: dominate life status They favor the European image, which is high design and distinction synonym. Most of them (55%) never drop top brands, even though they buy less often.

There is always a chance for premium brands.

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Our target customers Perceptions to achieve

Sophisticated and comfortable style Quality and price according to the segment (ABC1) Prestiege, life status, sense of ownership High differentiation

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Market Target - Consumers

First Segment Target

Men
Second Segment Target Men who seek to reward women iin their life with special gifts. (wife, girlfriend, mothers, or sisters)

Women attracted by the brand prestiege and the intention to look and feel good

Teenagers

Women

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Entry strategy in USA

Repeat the strategy used in Argentina Considering the concept:

Global Vision - Local Touch (USA)

NEVER be chosen by PRICE Always by DIFFERENTIATION

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USA Market Entry

Strategic Goal
Position our brand as Top of Mind within three years in the High Income (ABC1) segment of the most important cities. New York - Los Angeles - Las Vegas - Chicago - Miami - San Francisco

Business Definition
Simultaneous entry through three sales channels: Exclusive Stores, Department Stores, Specialty Stores (multimarks). With a local structure and subcontructing services.

Communication and Advertising

It will be handled by Hill & Knowlton, engaging in : press, public relations, events, gifts to opinion leaders, promotions, direct marketing, and unconventional advertising.

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SWOT Analysis - Strengths

Quality of the products Differentiation

Innovation
Permanent promotion of new items Points in common with the fashion consumer Excellent customer service Lycra Dupont Creativity and Design award Swiss, English, Italian, French and Argentine raw materials and fabrics. (High Lycra percentage) Successful marketing strategies Wide product range Management experience and proffesionalism
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SWOT Analysis - Weaknesses

New market brand in USA Sizes under European norms

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SWOT Analysis - Opportunities

Distribution in underwear and lingerie specialty stores Development of a successful brand in the biggest world market American market consumer characteristics. Specific demand of new brands in the premium underwear

segment.
Very segmentated market with a lot of possibilities Selling VM Beauty products. (Cosmetics, fragances, body lotions)

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SWOT Analysis - Threats

Difficulty in covering the expanse geographical space. Disperse population across the a territory. Economic recession.

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PROPOSAL

Exclusive stores openings

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Stores Concepts
Suggested surface: 1200 sq.ft to 3200 sq.ft Designed by Caro Cuore architect department Located on the TOP places of the objective city. Territorial exclusiveness in relation to other stores with the same brand

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Exclusive Stores Architecture

Stores are designed by Caro Cuore architects, no charges. Every store has to keep the same style worldwide. Remodeling charges are the licensee duties. Architects will collaborate in the remodeling, designing on the existing elements, to keep costs as low as possible.
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Exclusive Store Image

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Exclusive Store Image

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Exclusive Store Image

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Estimated lease for an exclusive store

Rent should be between 8% and 12% of the monthly average sales. It is recommended to negotiate a monthly fixed rent representing a minimun sales volume, and a variable over that amount. Caro Cuore can give advise, if the licensee is interested, in the lease negotiation. Sales volume is directly affected by the location and exposition of the space to be rented .

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Sales Approximate
Average sales estimated for an exclusive store in the first 2 years: U$S 100,000 U$S 170,000.-

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Merchandise Supply
Licensee buys directly from an exclusive distributor in USA to reduce time in the supply and importing paperwork. Price from the distributor has a 120% discount over the consumer price. Caro Cuore gives advise about what product to buy and stock levels recommended for each occation. Rotation of products is favored by a remnants policy. At the time of opening, the store should have 2 months of sales in stock.

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License Benefits
One time entry fee, valid for 5 years. Buying a successful business in which the licensee is provided with the Know how of it. Effective communication and consulting in: marketing promotions, employees development, store management, shop window design, stock levels, adecuate product rotation, permanent promotion of new items, local supply of merchandise, local and national support for advertisement, legal y commercial advise related to the business .

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Numbers Summary

Store Opening Cash Flow Investment prior to opening

Concepts Tienda de 1200 sq ft Architect Entry Fee Rent Employees Advertising Merchandise Sales Balance Accumulated Balance

First Month

Second Month

Third Month

Fourth Month

Fifth Month

Sixth Month

Seventh Month

Eight Month

Nineth Month

Tenth Month

Eleventh Month

Twelveth Month

Thirteenth Month

Fourteenth Month

Fifteenth Month

$ $ $ $ $

-70,000 -25,000 -30,000 $ -10,000 -15,000 -3,000 -27,273 60,000 4,727 -250,273 $ $ $ $ $ $ $ -10,000 -15,000 -3,150 -28,636 63,000 6,214 -244,059 $ $ $ $ $ $ -10,000 -15,000 -3,308 -30,068 66,150 7,774 $ $ $ $ $ $ -10,000 -15,000 -3,473 -31,572 69,458 9,413 $ $ $ $ $ $ -10,000 -15,000 -3,647 -33,150 72,930 11,134 $ $ $ $ $ $ -10,000 -15,000 -3,829 -34,808 76,577 12,940 $ $ $ $ $ $ -10,000 -15,000 -4,020 -36,548 80,406 14,837 $ $ $ $ $ $ -10,000 -15,000 -4,221 -38,375 84,426 16,829 $ $ $ $ $ $ -10,000 -15,000 -4,432 -40,294 88,647 18,921 $ $ $ $ $ $ -10,000 -15,000 -4,654 -42,309 93,080 21,117 $ $ $ $ $ $ -10,000 -15,000 -4,887 -44,424 97,734 23,423 $ $ $ $ -10,000 -15,000 -5,131 -46,646 $ $ $ $ -10,000 -15,000 -5,388 -48,978 $ $ $ $ -10,000 -15,000 -5,657 -51,427 $ $ $ $ -10,000 -15,000 -5,940 -53,998 - $ -10,000 $ $ $

$ -120,000

$ 102,620 $ $ 25,844 -81,827

$ 107,751 $ $ 28,386 -53,441

$ 113,139 $ $ 31,055 -22,386

$ 118,796 $ $ 33,858 11,472

$ -255,000 $ -255,000

$ $

$ -236,285

$ -226,872

$ -215,738

$ -202,798

$ -187,960

$ -171,131

$ -152,210

$ -131,094

$ -107,671

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Building the Future Our Licensees

Entrepreneurs who are willing to participate in a long term project. Interchange information with CC LLC and our clients. To have a permanent presence in each store, to keep a close look at the business functioning . To have a invested capital according to the spread of the enterprise that can be kept through time .

Welcome to the big family CARO CUORE.

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A new future is being borne and we are here to help!

Alliance Business Ventures is proud to be presenting this offering here in the USA to qualified applicants. Contact us today to complete the application and get in on this ground floor opportunity. All inquiries should be directed to: Craig Ruotolo Alliance Business Ventures LLC 2780 Middle Country Rd Suite 211 Lake Grove, New York 11755 (631) 285-7676 Fax (631) 285-7677

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