Michael Kors' layoffs will continue if they can't turn around their business categories like watches and hand bags. Watch used to represent over a billion dollars. I don't see them competing with smart watches. Apple has single handedly killed Michael Kors business in this sector. Kate Spade continues to also take more market share.
2 replies (most recent on top)
Just confirming that Michael Kors watch business is dead. Just check out Fossil. Fossil produce MK watches. And Fossil's stock tanked. Another causality from Apple's superior product.
Michael Kors will continue to let more staff go as they mature in the market. Following Coach's trajectory of growth, Michael Kors built as quickly as possible and copied other brands. Their growth peaked last year and they will continue to contract. If they continue to follow Coach's play book, they will hire a new creative director to turn the brand around. This is unlikely since the brand and name is linked so closely to the founder.