COVID-19 INVENTORY FLOOD PILES THE PRESSURE ON BRANDS AND MANUFACTURERS’ BOTTOM LINE
May 2nd, 2020
With spring/summer now a write-off for most retailers, creating excess inventory levels, Richard Hyman, an independent UK-based retail analyst, said that the excess stock flooding the market, and the subsequent discounting and margin erosion, will lead to widespread administrations for clothing brands in the UK, Europe and the US, to varying degrees.
“Brands are very, very threatened in a way that they haven’t been before,” he said. “This is a completely unprecedented situation, and this amount of stock is mind boggling. The market’s natural stance is ...
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