Blog: Hitting back at analysts
Leonie Barrie | 21 May 2009
Last week I mused about what Sir Stuart Rose would have to say to those analysts who suggested they were fed up with the way M&S management is running the firm.
True to form, he took a sideways swipe at their criticism on Tuesday at a media briefing to discuss the retailer’s annual results.
Analysts at broker Investec had slammed M&S’s “discounting to protect market share, and cost-cutting to protect the dividend,” and suggested that rather than trying to compete with the likes of Primark and Tesco it should focus on quality instead.
But Rose pointed out: “Our price architecture is the broadest in the land. You can buy a men’s suit for GBP49.50 or GBP600+ and we can serve everybody, which is why we have 22% of the men’s suit market. And in many other major categories we are the same.
“We are not a discount house, we are a value house. People who don’t understand that clearly aren’t talking the same language as our customers are; we were voted yesterday by YouGov as being the most trusted brand in the high street, and the brand they’d least like to see disappear.”
The analysts will no doubt be happy at M&S’s decision to cut its dividend by a third, but they’ll have to wait for some time before there’s a decision on who will be the next chief executive.
Fashion retailer H&M and UK based glove and leather manufacturer Pittards both say they are monitoring the situation in Ethiopia closely after the country's government declared a state of emergency af...
Increasing competition for garment sourcing contracts is seeing China not only being challenged by other countries in Asia, but by sub-Saharan African and even Russian suppliers too. And it is pushing...
The monthly minimum wage for workers in Cambodia's textile, garment and footwear sector is set to rise to $153 from January next year, following a vote on the issue last week. The increase marks a ris...
The results of two highly-anticipated initiatives in the sportswear sphere were revealed last week: the launch of Under Armour’s new UAS lifestyle brand and the first pair of running shoes created at ...
- Fashion fit for the future – strategies for speed
- How PVH is paving the way for connected apparel
- Digitisation to drive new apparel-making models
- Will new Vietnam wage hinder competitiveness?
- Under Armour Lighthouse will disrupt production
- US Q3 in brief - Rocky Brands, Gymboree Corp
- Child refugees found in Turkey apparel factories
- Chinese manufacturer invests $20m in US facility
- Managing change in the move to new tech tools
- Reebok Liquid Factory reinvents shoe production
- Africa-Med strategic sourcing review – comparing East Africa, North Africa and Turkey
- REPORT BUNDLE: Africa-Med, Southeast Asia and Central America strategic sourcing pack
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Apparel (GLOBAL) - Industry Report
- Global Sports and Fitness Wear Market 2016-2020