Originally Posted by Macallan
From a business point-of-view, I am suprised that they want to combine the brands, it would have made sense to keep them separate (brand and location). Could you imagine going to an Omega boutique and walking out with a 'Swatch' brand watch.
Huntsman is a private company so no one can see their books. My guess is they make a profit but not a huge one on a % basis. I would think bespoke is such a labor intensive business that lacks sufficient economies of scale and has high input costs. I would have to think when an investor buys an operation like Huntsman, a day doesn't go by where they don't ask how they can leverage the brand to generate increased scale and sales for a higher return on equity. The owners of Huntsman are clearly looking at a lot of different avenues. An optimist would say this could be good because if they can make more money through these other ventures it will take pressure off the bespoke operation to turn a higher profit (leading to fewer fittings and rushed suits). On the other hand it presents a very confusing image to the customer and customers are image conscious. If they weren't, they wouldn't be buying bespoke to begin with. The trick I think is to have a bespoke operation with a clear identity that feeds a retail operation that provides you production scale and profit. This is where I get a little lost with the multitude of different ventures, all with unique and competing identities.
A&S seems to be doing it a bit more wisely.
In any event, economics is a powerful force and no doubt it will continue to exert itself on the Row. There are no benevolent owners.