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The answer to these questions may have major implications for the comfort market. As the country’s leisure producers struggle to make a profit in clothing, they’re looking to boost sales and profitability by expanding into splendor. According to a Mckinsey review, flower and cosmetics are a “flagship” firm that can generate progress in many other categories for pleasure brands.
But the method is not without dangers. The crowded type can be difficult to split. And the divisions german lady of a brand often do n’t speak to each other, making it difficult to create integrated marketing and communications campaigns.
The event of Burberry, which took its attractiveness organization in- residence under past Ceo Angela Ahrendts in 2013, offers a cautionary tale. The decision to terminate the company’s licensing deal with Interparfums Sa, which held the license for its Montblanc and Van Cleef & Arpels perfume, sent shares of the company tumbling 9.4 pct on Sept. 6. Kering’s buy of Creed at a 14- occasions income three in October furthermore made investors sit up and take notice.