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

Covid-19 leads to countrywide lockdowns

The coronavirus pandemic continues to cause chaos throughout the global apparel industry, with countrywide lockdowns and the switch of production to personal protective equipment (PPE) all dominating ...

BLOG

Pandemic continues to wreak havoc on industry

The ongoing impact of the coronavirus (Covid-19) pandemic on the global apparel industry and its supply chain continued to dominate content on just-style over the past week....

BLOG

Coronavirus continues to disrupt retail and supply chains

It’s resilience – not re-shoring – that clothing buyers should be seeking from their supply chains in the face of the Covid-19 outbreak....

BLOG

Coronavirus continues disruption of apparel and textile supply chain

Fuelled by new investment from its recent listing on the Hong Kong stock exchange, fashion supply chain manager Lever Style is realigning its business model to be the product engine for rising e-comme...

just-style homepage



Forgot your password?