Burberry welcomes new CEO
British fashion house Burberry is about to get a new boss. Outgoing chief, Christopher Bailey, is arguably a creative genius – but many observers have felt that he lacks the business acumen required for the top job. The company will get to retain Bailey’s proven creative talents, as well as his oversight on the brand, when he steps aside from his role as CEO to become Burberry’s president, in addition to his role as chief creative officer (which he did not give up after his appointment as CEO in 2013).
Burberry’s share price has appreciated by 10% year to date
SOURCE: Yahoo Finance
Bailey himself is amongst the people eager for the company’s new CEO, Marco Gobbetti, to step into his role. When the appointment was announced a year ago, Bailey said:
"I am very excited that Marco Gobbetti is joining us as chief executive officer and as a partner to me. Marco brings incredible experience and skills in luxury and retail with him that will be invaluable to us… On a personal level, I know that we are going to enjoy a wonderfully collaborative partnership that makes me very excited for our future at Burberry."
It is Gobbetti’s background as a business mind in a world dominated by designers that makes him so appealing to Burberry. Before joining the company, he was chief executive at French label Céline, part of LVMH. During his time there, he was able to work effectively with the brand’s creative powerhouse, Phoebe Philo, delivering great fashion and great business working hand-in-hand. Investors are hoping he can recreate some of that magic with Bailey.
Dominion holds Burberry in its Global Trends Luxury Fund.
If you would you like to receive the Newsfeeds daily, please click here to sign up now!Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
- Click here to print this story: Print
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.