Ornatus-Mundi
[Zenith]
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Breaking: Greubel & Forsey cuts workforce, does economic turmoil now hit independents?
Not much news to report, but in a Swiss trade publication it was reported that prestigious independent watch maker Greubel & Forsey lays off about a dozen of its highly skilled workforce. The reason apparently is that orders were coming in at an increasingly slower pace.
While the highly acclaimed brand certainly has a special position in the industry due to its exclusive focus on the highest market segment, this still may signal that even for the independent watchmakers the economic prospects are increasingly worsening.
I just hope that this is a singular incident and not a sign of an incoming overall industry problem.
Cheers,
Magnus
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Breaking: Greubel & Forsey cuts workforce, does economic turmoil now hit independents?
Not much news to report, but in a Swiss trade publication it was reported that prestigious independent watch maker Greubel & Forsey lays off about a dozen of its highly skilled workforce. The reason apparently is that orders were coming in at an increasin...
Times are not easy...
Times are not easy for anyone without a big name and a big marketing budget... i.e. all the independents. Whereby G&F is not one of the companies without a solid financial foundation being a part of Richement as they are. But maybe they have pushed th...
Cut backs from the Chinese
probably made a huge difference. My dealer in Taiwan told me last year was very tough, the swarm of Chinese buyers has died out dramatically due to China's cracking down on corruption.
Maybe.....
Maybe they should expand their target market like making smaller watches? please please please please please
A problem compounded
Multiple Factors have compounded the problem 1. Oil prices have hit disastrous levels. Liquidity strains are evident and curtailed spending on the luxury items is inevitable . 2. China is spending lesser and importing less oil + Chinese austerity measures...
I guess they are not the only ones in this situation, but ...
most try to avoid to make it public. Thanks for the information, Magnus. Oliver
I'm not sure about which accurate conclusion to choose...
First, the independent watchmakers are a very heterogeneous world: from 10 watches (RogerSmith), Voutilainen (around 40), DeBethune or MB&F (from 150 to 350 ?), FPJ (below 1000) to 3000 watches a year (RichardMille) ?.... And hence very mixed Ebit fig...
I am not sure what is the actual problem.
But one thing I am very sure is that the customers are buying much less watches now. The situation can only be worsen. Watch retailers are complaining of low sale in my region. I believe the honeymoon period has ended for watch industry and the nightmare ...
just wondering ....
what will happen to the watch industry in 2015 as the Swiss National Bank has removed the peg to the Euro. Small companies will be in big difficulty going forward I guess.
