LV Will Open A Factory In The US.

Affected by rising demand for products, France Luxury goods The brand Louis Vuitton is taking place in other parts of the world outside France, and has recently confirmed that it will open factories in the United States.

this brand In the past, it was possible to open factories in Texas or Carolina. MichaelBurke, chief executive of Louis Vuitton, said the brand is also likely to open another factory in Paris and open a workshop in Portugal.

Unlike the previous presidents, Trump has made several appointments to the big business people before trying to get the manufacturing industry back to the United States. In order to create more job opportunities for the United States, "let the work remain in the United States" has become a hot topic of the US government. In January this year, Trump first met with Bernauld Arnault, chairman of Louis Vuitton parent company, to discuss the group's expansion plan in the United States. In addition, the group's factory in California will also be expanded. If the expansion plan is implemented, it will create a large number of employment opportunities for the United States.

It is an open secret for luxury brands to open factories overseas. British journalists visited the Louis Vuitton factory in Transylvania, Romania, not long ago, and found Louis Vuitton. Shoe shoe Almost all production is done in this factory, and each pair is priced between 500 euro and 1800 euros. At present, the manufacture of luxury clothing is in accordance with the Pyramid mode. The products with high technological requirements such as advanced customization are produced in workshops in France and Italy, while medium quality garments are produced in large factories with low labor costs.

Louis Vuitton plans to open factories in the United States from the growing demand for products. It is reported that the first quarter sales of the parent company LVMH group increased by 15% euros over the same period last year, 9 billion 900 million euros. During the period, LVMH group's sales revenue increased by 13%, including the sales of fashion and leather sectors including Louis Vuitton, Givenchy and other luxury brands, which rose 15% to 3 billion 405 million euros compared with the same period. The sales of perfume and make-up departments also increased 15% to 1 billion 395 million euros, while jewelry and watches sales increased 14% to 880 million euros, and the group's performance in Asia, Europe and the United States showed a positive growth trend.

According to the world clothing and shoe net, the future strategy of Louis Vuitton will shift from retail expansion to product orientation, focusing on the development of more expensive handbag products, focusing on the current double digit growth of classic letter print handbags and small leather goods. At present, Louis Vuitton can contribute to the group with a profit of about 50% before the total interest, forming a slight operating leverage, so that the profit growth rate is greater than the growth rate of production and sales. HSBC predicts that Louis Vuitton consumers from China will account for 30% of total brand sales in the future, and this group will continue to be an important consumer group of brands.

Thanks to the revival of the luxury industry, LVMH has exceeded 100 billion euros in value this year, making it the first luxury group in the world with a market value of more than 100 billion euros.

It is noteworthy that there is an analysis of Louis Vuitton setting up factories in the United States or France's rising labor costs. According to foreign media reports, in April of this year, Louis Vuitton held the first strike protest in 15 years in France's leather goods factories, and was seriously dissatisfied with the new wage increase proposed by Louis Vuitton, and asked Louis Vuitton to further improve their salary. In March, Louis Vuitton will normally issue new wage standards and raise staff's basic hourly wage. Citing Agence France-Presse news, the average hourly wage increase for Louis Vuitton this year will be 30 euros, of which 80% will increase by only 10 to 20 euros, and 10% of employees will be paid 35 euros, which will be somewhat different from those expected by workers. The LVMH group's first quarter earnings report was good, and the workers thought that the increase in salary should be consistent with the growth of brand performance.

According to statistics, Louis Vuitton currently has 18 leather factories, 12 of which are in France. According to the trade union statistics, Louis Vuitton employs 4500 employees, including 2000 employees in French factories.

According to internal sources, Louis Vuitton handbags and shoe accessories will not be lowered due to origin. It is reported that the "made in the United States" handbag will also be sold to more than 2000 dollars.

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