Blog: Leonie BarrieGap CEO switch a sign of transition

Leonie Barrie | 13 October 2014

If evidence is needed as to the new direction likely to be pursued by US retail giant Gap Inc, look no further than the company's new leadership change. It was revealed last week that CEO Glenn Murphy is to step down in February, making way for Art Peck, the head of Gap's digital division.

The move is widely seen as marking the company's transition to a more digital focused business model, and potentially places a greater emphasis on non-flagship brands, which have been driving recent growth.

Gap, the US's largest specialty clothing retailer also revealed that September was "more challenging than expected", as same store sales stayed flat and it missed expectations for a second month. Indeed for many US apparel retailers, sales tailed off in September as back-to-school shopping wound down.

Shares in US department store group Sears Holdings tumbled after reports suggested that at least one vendor had halted shipments to the retailer on the recommendation of its credit department. Credit insurance providers were also said to have been sending out cancellation notices to vendors - claims Sears called "misleading."

As its name suggests, the lifeblood of the fast fashion industry is, largely, speed to market. In this month's management briefing, just-style looks at changing global sourcing trends, the role of air freight in fast fashion, how supply chains based on speed can avoid errors, and the way technology is helping companies share information more efficiently.

Spurred on by the back-to-school season and fears of potential disruption due to the ongoing dockworkers contract dispute, US apparel imports in August reached their highest level in more than a year. But while the top two suppliers China and Vietnam were the biggest beneficiaries, shipments from Bangladesh continued to fall.

A decade-long enthusiasm for cutting trade barriers might have come to an end, but Mike Flanagan points out that trade lobbyists are continuing to chase new barrier cuts, or defend concessions that have already reached the end of the road.

And for anyone who's not yet completed the just-style readership survey, you still have until 16 October to share your thoughts with us. We want to know what you think about just-style, and the challenges you're facing at the moment. It's all part of our aim to meet your needs. What's more, as a thank you for completing the survey, you'll be entered into a competition to win an iPad Mini or one of ten £25/$40/?30 Amazon vouchers.

Click here to take part in the just-style readership survey.

BLOG

Likely shifts in the sourcing landscape in 2017

Continuing our look at what lies ahead for the apparel industry and its supply chain in 2017, the panel of industry experts consulted by just-style last week tackled likely shifts in the sourcing land...

BLOG

Trump trade policies and China tensions top concerns

This week our focus turns to first thoughts from a panel of industry experts consulted by just-style on the challenges and opportunities likely to face the apparel supply chain in 2017, with prospects...

BLOG

Happy New Year – and a first look at 2017

Welcome back after the holiday break, and from the team here at just-style I’d like to wish all our readers a happy and prosperous New Year....

BLOG

New re:source to help unravel sourcing decisions

Apparel sourcing is a complex process built on a mix of location, logistics, lead-time, price, compliance, risk and reliability. And it's in a constant state of flux as retailers, brands and manufactu...

just-style homepage



Forgot your password?