dreamstime_s_99682100
© Deanpictures

A fascinating look into the problems at Swedish apparel behemoth H&M, from Retail Dive. The fast-fashion retailer recently reported some very disappointing quarterly figures, which it blamed on external factors such as bad weather and Amazon. However, this piece argues that its problems stem from its business model – fast-fashion relies on retailers making “big bets” on short-term consumer tastes and sometimes these gambles misfire. And when they do, the problem is passed on to supply chain teams: “What’s at stake is really the fast-fashion business model, which is suffering the side effects of its own thin margins. To adapt, the retailer will have to build in operational resilience, creating a faster, more flexible and technology-driven supply chain.”

Comment on this article


You must be logged in to post a comment.