Fashion is the style of clothing, shoes and accessories that people wear. It is often influenced by trends and popular culture, as well as one’s personal tastes and preferences.
It also involves a range of cosmetics, hairstyles and body postures. It can include the selection of a particular type of clothes and footwear, or the way that one dresses to represent a certain group or status in society.
The fashion industry has become a large, globally integrated business that generates substantial revenues and profits (see below). But the fortunes of this industry are highly polarized, and the economic outlook is bleak.
A number of leading companies are suffering from this polarization, and the fashion industry has not seen a sustained recovery in recent years. In fact, sales growth has been slowing over the past decade and profit margins are stagnating.
Despite the challenges, some key players continue to show strong financial performance in the fashion industry and a good outlook for the future. This is reflected in the 20 companies that racked up the most economic profits for the industry in 2018 and are our “Super Winners.”
In contrast, some big losses have also been reported by the industry. As a result, we have revised our forecasts downward for 2020 and the broader economy.
The Fashion Industry faces a tough outlook for the next decade, as external shock waves and internal problems are expected to impact consumer behavior and operating costs. The industry is also under pressure from inflation, geopolitical concerns, and a weaker economic backdrop.
Those in the fashion industry should be able to respond to the crisis by implementing recovery strategies and adapting their operations to meet changing needs. Those outside the industry will need to take more of an active role in supporting the sector’s recovery. This will help to ensure that the industry is well-positioned to meet the challenge of a postcoronavirus world.