Diane von Fürstenberg thinks about the post-pandemic strategy by applying tough choices that are involving the majority of employees. Indeed, the American entrepreneur and designer fired most of the staff by closing all her stores except the one in New York located in the Meatpacking District of Manhattan.
The New York brand had been severely tested during the most critical months of the pandemic. DVF had in fact declared the closure of the boutique in London on Bruton Street together with the entire British supply chain.
About 400 employees will lose their jobs. However, the brand crisis had already started before the pandemic. Now DVF is thinking of restarting from China, encouraging the e-commerce sector.
Investing in China does not seem the wrong choice, considering what is said in “The State of Fashion 2020“, the study conducted by McKinsey & Company and the Business of Fashion.
According to the report, China has accounted for 38% of the global growth of the fashion sector in the past ten years. From 2012, the country would represent 70% of the expansion of the luxury business, a trend that seems destined to grow until 2025.
Cover image credits: Masterclass