Profits Are Better Than Wages Pdf Download
Despite a dip in margins, discount and luxury outperformed the wider market in 2020, while the midmarket continued to be squeezed. However, performance was uneven, as countries with strong healthcare systems and economic resilience fared better than others. Among product categories, it was a breakout year for sportswear, with 42 percent of positive economic profit in the MGFI index coming from sportswear companies, amid strong growth for Chinese players.
profits are better than wages pdf download
Polarization continues to be a stark reality in fashion: fully 97 percent of economic profits for the whole industry are earned by just 20 companies, most of them in the luxury segment. Notably, the top 20 group of companies has remained stable over time. Twelve of the top 20 have been a member of the group for the last decade. Long-term leaders include, among others, Inditex, LVMH, and Nike, which have more than doubled their economic profit over the past ten years (Exhibit 2).20To view exhibit, refer to The State of Fashion 2019. According to our estimates, each racked up more than $2 billion in economic profit in 2017.