Due to the success of Swedish affordable fashion company H&M’s market strategy, sales of original-priced goods increased and sales of discounted goods declined. The company’s latest financial report for 2022 (December 2021 to February 2022) The figures are impressive, with net profit reaching SEK 5 billion, a significant increase of 30% compared to the same period last year.
H&M CEO said that despite the pressure of inflation, companies have observed that consumer purchasing behavior has not changed much, and H&M will continue to pay attention to the impact of inflation. In addition, H&M has been greatly affected by the Russia-Ukraine war recently, especially after closing its business activities in Russia, Ukraine, and Belarus, which caused the company’s sales in Eastern Europe to drop significantly by 22%.
In addition to the impact on the Eastern European market, H&M in the Chinese market was sanctioned by Chinese consumers in 2021 due to the Xinjiang issue. Coupled with the impact of epidemic control, market sales have not been complete so far. recover.
H&M spares no effort in the well-being of its employees. In response to the recent rejection of women’s right to abortion by the U.S. Supreme Court, the company has proposed a funding plan to assist employees who need abortions with transportation expenses.
