Earthquake of 251 billion euros in the luxury market in the world The rich stopped buying the giants of the European fashion industry grounded! The global luxury goods industry faced an unprecedented drop in market value of 251 billion euros. Europe's six biggest giants, including Louis Vuitton, Hermès and Kering, experienced a bigger-than-expected decline due to lower middle-class shopping, inflation and stock volatility. The decline in economic growth and the ongoing crisis in China's housing market have hurt demand in the world's second largest economy. The imposition of new taxes on foreign capital and the collapse of the stock market forced Chinese buyers to retreat and sharply reduced sales of luxury brands. Kering suffered the most damage due to a 20% drop in demand from Chinese customers for brands such as Gucci. Even the Hermes company, despite its historical resistance to crises, faced a decline in global sales in the clothing sector due to its dependence on the Asian market. Despite the general recession, luxury segments such as Hermes Birkin bags and Tiffany and Boucheron brand jewelry enjoyed double-digit growth. Traditional capitalists continue to buy very expensive products, but the decline in spending by ordinary consumers has disturbed the profitability balance of fashion companies. In the American market, the increase in fuel prices and fluctuations in the stock market reduced the desire to buy luxury goods. Analysts believe brands have no choice but to cut costs and improve productivity until demand recovers; Because the return of prosperity to the market will not materialize soon. Read the details on the Akhtaznews website and Instagram.

Earthquake of 251 billion euros in the luxury market in the world The rich stopped buying the giants of the European fashion industry grounded! The global luxury goods industry faced an unprecedented drop in market value of 251 billion euros. Europe's six biggest giants, including Louis Vuitton, Hermès and Kering, experienced a bigger-than-expected decline due to lower middle-class shopping, inflation and stock volatility. The decline in economic growth and the ongoing crisis in China's housing market have hurt demand in the world's second largest economy. The imposition of new taxes on foreign capital and the collapse of the stock market forced Chinese buyers to retreat and sharply reduced sales of luxury brands. Kering suffered the most damage due to a 20% drop in demand from Chinese customers for brands such as Gucci. Even the Hermes company, despite its historical resistance to crises, faced a decline in global sales in the clothing sector due to its dependence on the Asian market. Despite the general recession, luxury segments such as Hermes Birkin bags and Tiffany and Boucheron brand jewelry enjoyed double-digit growth. Traditional capitalists continue to buy very expensive products, but the decline in spending by ordinary consumers has disturbed the profitability balance of fashion companies. In the American market, the increase in fuel prices and fluctuations in the stock market reduced the desire to buy luxury goods. Analysts believe brands have no choice but to cut costs and improve productivity until demand recovers; Because the return of prosperity to the market will not materialize soon. Read the details on the Akhtaznews website and Instagram.