Here are the big questions the trade will be grappling with for the rest of the year:
- Will there be another major retail bankruptcy (or bankruptcies) this year?
- In 2008, we have seen Zale liquidate $100 million in merchandise, and a major liquidation from Friedman’s. Now Whitehall is liquidating most of its inventory. What impact will all this liquidated inventory have on the business?
– Even though the trade seems to have scored at least a minor victory in the Whitehall consignment case, will suppliers be more cautious regardless?
– Will the big retail bankruptcies seriously damage the wholesale sector?
– The best markets for the industry right now seem to be: The super-rich. The super-super-rich. Foreign tourists taking advantage of the weak dollar. And, still, generally, bridal. Any others?
– De Beers is saving most of its advertising dollars for Christmas. Could that give things a boost? Can anything turn things around for the holiday?
Any thoughts? Too negative? Things I’ve missed?