1、Retail PracticeWinning in China:Top priorities for global apparel and fashion brandsDespite a challenging landscape,China remains one of the most attractive markets in the world for multinational companiesif they strike the right balance between global and local.March 2023by Alice Scalco,Michael Str

2、aub,Jacob Wang,and Daniel Zipser BJI/Blue Jean Images/Getty ImagesWinning in China:Top priorities for global apparel and fashion brandsThe apparel,fashion,and luxury(AF&L1)market in China remains one of the largest and most dynamic in the world.After a difficult 2022,the industry is likely to resume

3、 double-digit growth,fueled in part by a rising middle class(see sidebar“Why brands cant afford to ignore China”).However,for multinational companies(MNCs),doing business in China is getting harder.Strict pandemic-imposed restrictions were not the only cause of the countrys dampened consumer spendin

4、g in the first half of 2022.According 1 For the purposes of this article,AF&L includes apparel and footwear,beauty,fashion,sportswear,urban outdoor,and luxury.2 China National Bureau of Statistics.to the National Bureau of Statistics,the China Consumer Confidence Index fell by 28 percent from Octobe

5、r 2021 to October 2022(Exhibit 1).2 Chinese champions are increasingly outpacing their global peers,and many are adopting a more agile operating model and supply chain to enable greater responsiveness to changing consumer preferences.They are also adept operators of the various social-media and-comm

6、erce channels in China,engaging local key opinion leaders and consumers(KOLs and KOCs)to connect directly with consumers(see sidebar“About the research”).2Exhibit 1Web Exhibit of Consumer confdence index,monthly15014013012011010090807060Jan 2019Jan 2020Jan 2021Jan 2022Jan 2023Source:China National B