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    The Sequela Of Britain'S Return To Europe Appears In Denmark'S Clothing Industry.

    2017/7/2 13:56:00 40

    ClothingMarketBrand

    Denmark

    clothing

    Industrial exports to the UK have been rising for three consecutive years, but the pound is weakening now.

    Recently, Denmark's clothing industry is worrying.

    Denmark's clothing export business, which has been holding up for many years, has been hit by the 15% decline in the value of the pound since the withdrawal of Europe.

    In 2014, Danish exports to British clothing increased by 15% over the same period last year, up by 25% in 2015, but the prospects for 2017 are no longer clear.

    Second Female, a Danish clothing company, understands this. Britain was the fourth largest.

    market

    The annual contribution of 10 million kronor. However, since the British announced its return to Europe, the company has lost 10 million kronor due to currency fluctuations.

    "We are making money by selling clothes, not money speculators, so such a huge financial fluctuation will certainly bring us challenges."

    Second Female CEO Preben Laust said so.

    The new pricing is the most direct factor causing its losses.

    Because of the depreciation of the pound, many companies, including Second Female, must adjust their prices to keep them.

    brand

    Competitiveness in the UK market.

    On the whole, if every store's revenues decline, it will bring huge losses to the company.

    The current situation is only half a year ago.

    In August 2016, many analysts believed that the Danish garment industry would suffer from the risk of Britain's return to Europe and would probably lose the market.

    You know, in 2015, Danish exports to British clothing amounted to 2 billion kronor, which was a good opportunity. But now retailers, manufacturers and designers are extremely anxious. "Exports to Britain are no longer difficult, but they become more expensive, which is not worth many companies."

    Michael Hillmose, general manager of Danish clothing group Dansk Mode, said 8 months ago.

    Vero Moda stores in Germany

    Therefore, the disappointed Second Female has begun looking for new alternative markets. They can only hope for Germany now.

    Germany has absorbed 30% of Denmark's total exports in 2016, followed by Sweden, Holland and Norway.

    In particular, those small and medium-sized clothing companies will never allow their performance to depreciate, and can not wait to shift their business positions.

    In fact, the whole industry in Denmark is facing the same problem.

    According to the database of World Input-Output Database, the UK is the fourth largest exporter of Denmark's entire economy, and the pound's depreciation is the most serious in 16 years, which will also damage Denmark's animal husbandry, food and manufacturing industries.

    For example, a Danish company called Arla food has invested in food processing plants in the UK, and is said to be one of the largest daily manufacturers in Europe, but now 20% of these investments have been wasted.

    China is playing an increasingly important role in Denmark's export business.

    In the Danish Export Economy rankings, China was ranked fifth in the UK, but now the situation may be greatly changed.

    This is also reflected in the clothing industry.

    Probably the most famous clothing company in Denmark is Bestseller, which runs Vero Moda, ONLY and Jack & Jones, which are very familiar to Chinese consumers.

    In fact, Europe remains the most important market for Bestseller. In 2016 alone, the wholesale business in Ireland gave the group nearly 1 million euros in profits.

    In the past interview, Bestseller, founded in 1975, has said that Britain is a very important market. But by July 31, 2016, the sales volume of Bestseller Irish distribution company increased by 3% to 45 million 400 thousand euros, but the profit fell to 1 million 800 thousand euros before July 31, 2016.

    In 2015, the figure was still 2 million 400 thousand euros.

    The reason for this result is the rising operating costs of the company.

    Bestseller therefore pays more attention to the market share in China. The group has adopted many strategies in the past five years to maintain its first mover advantage in China's fast fashion industry. From 2013 to 2014, the electricity supplier is the main force for its development. In 2016, Tmall ranked eleven in the women's clothing list of two and eleven, followed by UNIQLO ranked second and Vero Moda ranked seventh.

    More interesting reports, please pay attention to the world clothing shoes and hats net.

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