Crackerjack Finance states that business models which don’t evolve are always threatened by disruption and suggests the US speciality apparel sector is a fascinating case study with brands entrenched for decades now facing imminent destruction. It points out that shopping mall concept is dated as millennials use technology to find the very best price points and that Primark, newly launched in the US is all about very low prices. The report also highlights how retailers have been forced into mergers or acquisitions over recent years due to rising competition from online retailers.
Crackerjack Finance states that business models which don’t evolve are always threatened by disruption and suggests the US speciality apparel sector is a fascinating case study with brands entrenched for decades now facing imminent destruction. It points out that shopping mall concept is dated as millennials use technology to find the very best price points and that Primark, newly launched in the US is all about very low prices. The linked article cites the decline of share prices in Abercrombie, Gap and Aeropostale vs the rise in H&M and Inditex (Zara) as evidence of the first round of disruption, which started a decade ago.