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Versace to shed 26% of jobs in shake-up

The Italian fashion house unveils sweeping restructuring that includes shredding a quarter of its workforce

Luxury goods industry on track for recovery

Fast-growing sales in China will return the industry to growth next year, while the decline in 2009 will be less severe than expected, according to a Bain & Co study

Versace pulls out of Japan

Italian designer label Versace is pulling out of Japan after nearly 30 years in the country – highlighting the depth of the slump in the world’s largest luxury markets

Related content and features

Video series

Can luxury survive a downturn?

A slowdown in Japan, coupled with weak spending in the US and Europe is forcing luxury goods companies to reassess their strategies. Luxury brands are now shifting their hopes from Japan, which once accounted for 40 per cent of global spending on luxury, to emerging markets such as China, India and Russia. In this video series, Vanessa Friedman, the FT’s fashion editor, interviews CEOs of luxury brands to explore these issues.

    Play a video

    Part I: The luxury business shifts its gaze to emerging markets

    Part II: Ermenegildo Zegna, Ermenegildo Zegna Group chief. Kim Winser, Aquascutum chief

    Part III: Michael Kowalski, chairman and chief of Tiffany. Patrizio di Marco, Bottega Veneta chief. Marco Bizzarri, Stella McCartney chief

    Part IV: Toni Belloni, LVMH Group managing director

    Martin Clarke, head of consumer at Permira Advisers

      Comment and Analysis

      Luxury M&A

      The ingredients for consolidation are there but talk of deals has dried up, perhaps understandably given fashion’s reputation for egos and feuds

      Japanese luxury

      Sales in the $15bn-$30bn luxury market fell 10 per cent in 2008 and are forecast to drop another 7 per cent this year

      The new fashion retailers

      A group of fashion insiders that have developed social networks through their sense of style are joining the high street, seen by some to be the next evolution of niche retailing, writes Vanessa Friedman

      De Beers learns lessons from the crisis

      Chief admits industry was left vulnerable and plans to take more conservative view in the future rather than trying to maximise production

      When not cutting prices becomes a luxury

      John Gapper

      Discounting can exact a terrible price, as the imminent bankruptcy of General Motors shows. The company was the king of price-discounting even in the good times. But luxury and premium brands have grown so much that their owners cannot choose from a menu of cutting costs, output or prices. All are required, says John Gapper

      More stories

      Asian demand helps lift Bulgari

      Hermès aims to keep luxury of exclusivity in the bag

      HK becomes Sotheby’s largest fine wine market

      Inconspicuous consumption in the bag

      Sheikh’s position strengthens in Lacroix auction

      Fountains of dismay greet ‘Gandhi pen’

      Google closer to victory in keyword ads legal battle

      Aquascutum bought by Jaeger owner

      Theo Fennell suffers £3.3m loss

      Burberry to check in to FTSE 100

      Hatton Garden rings changes with fresh talent

      Tillman eyes bid for Aquascutum

      LVMH wins $32m damages over web fakes

      Tiffany’s second-quarter profits fall 31%

      Classic cars put investors in pole position

      A seriously chic makeover

      Ducati cuts production and salaries

      Ferrari floors throttle to steer out of downturn

      Luxury yacht maker plots a new course

      LVMH reports 23% fall in first-half net profits