How does the luxury industry become all business?
“Fashion” look very attractive, but at the end of the fashion show in Paris last Wednesday in New York, London and milan at the exhibition, obviously the runway has been changed to a racetrack.
In recent years, the pace of the multibillion-dollar fashion industry has gone from luxury to hardship. Even the seasons have speeded up.
Luxury brand consultant Julie gilt (Julie Gilhart) in 18 years has been a New York Barnes fashion director at Barneys New York, she said: “in the past, there are two distinct seasons – autumn and spring. “Now you have autumn, autumn, vacation/vacation, spring and spring.”
One reason: americans spent more than $200 billion on clothing and related goods and services in 2013. We, consumers, attract fashion. This reflects a global shift in the old way of doing business in Europe, where design firms pioneered creative boundaries.
Fashion writer Dana Thomas says: “the luxury fashion business is small – it’s a niche business for a niche customer. “Louis vuitton has only two stores in nice and Paris.”
In her new book, “the god and the king: Alexander McQueen (Alexander McQueen)” and John Galliano “rise” (John Galliano), Thomas recorded the influence of the old world industry turmoil. The fashion world has changed dramatically in recent decades, as many family businesses have been snapped up by conglomerates.
“They were private, they had no ambition to be the global giants of these companies,” says Mr Thomas.
They are also attractive investments – especially for Bernard Arnault, a French property developer who thinks the luxury industry is important to Europe. He saw Christian Dior, part of a big deal with several other companies.
In 1984, Mr. Arnault bought the entire group, closing some businesses and focusing on dior. He globalized it and turned it into a publicly traded company called LVMH, representing Louis Vuitton Moet Hennessy.
The lifestyle empire now has more than 50 luxury brands, including wine, clothing, perfume and cosmetics. Arnault is called “the Wolf in the cashmere coat”, and fashion has become the new testing ground for ambitious executives.
“These executives have nothing to do with fashion, but they know how to make money, and they know how to recruit the right executives from other areas,” says Mr Thomas. “Employees from Whirlpool’s Unilever were brought into fashion houses and applied the business techniques they learned to these old family homes.
With all the money, power and glamour of a new fashion industry, chief executives are easy to be grandiloquent.
In a new corporate game, the juggernaut arnault has anointed fashion designers.
“The business exploded,” Mr. Thomas said. “The designers make the headlines – it’s their job, and these shows are propaganda, even more than people can buy.”
But people buy a lot.
“The power of LVMH – especially economic power they can bring the fashion designer – you know, you put all of the internal gear, you put a star designer in front of it, so you have a sort that is a very unstoppable force,” New York fashion institute of technology, dean of the graduate student Mary Davis (Mary Davis) said.
But in a high-risk world, there are high casualties. It was not his first time in 2011 that John Galliano, the chief designer of dior, was fired after being yelled at by anti-semitic jews at a bistro in Paris. A year ago, Alexander McQueen, a designer struggling with depression, committed suicide. Other fashion giants are in trouble.
“Mark jacobs has been well twice,” Thomas said. Tom ford, when he was fired from gucci, said he suffered from severe depression. “I thought,” wow, what happened here. In order to keep all the time, to meet all these wishes, it is too nervous, and it is impossible, and you on the hamster wheels run more and more difficult – you are then thrown into a pile of dung.
In spite of this, John Galliano (John Galliano) in Paris last week trying to make a quiet comeback is possible, in London, the design of the late Alexander McQueen opened the Victoria and Albert museum on Saturday.
As for their boss, Bernard Arnault, their boss, Forbes, put him and his family on its global billionaires list last month. As Thomas points out, Kings come and go, but god still exists.