Crisis in Luxury field in france because of terrorism

Crisis in Luxury field in france because of terrorism

The attacks have also taken a toll on the luxury industry, which relies heavily on foreign tourists, especially from Asia, for European sales. Leading brands like Hermès, Louis Vuitton and Prada have reported slumping sales as high-spending tourists stay away.

On a recent morning, a handful of visitors flitted through Louis Vuitton’s mammoth flagship store on the Champs-Élysées, a contrast to previous years, when the summer tourist season would see the shop buzzing with customers. This week, LVMH Moët Hennessy Louis Vuitton reported flat sales in the first half of the year, citing a falloff in European tourism after the attacks.

“We do not see any improvement in tourist traffic in France, and we will not see one while we are in a state of emergency, which prevents customers from coming,” said Axel Dumas, chief executive of Hermès, the maker of €10,000 Birkin bags.

For Mr. Gohier, whose hotels and restaurants face the Mont-Saint-Michel, that can only be bad news for a smaller business like his. “When you lose business, it has an economic impact,” he said. “The terrorists want to create maximum damage.”

 

Anissa CHABBA

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2016-12-12T22:18:35+00:00