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Once again, the luxury segment is expected to generate the biggest share of economic profit. The ninth annual state of fashion report by mckinsey & company and bof insights, the business of fashions data and advisory team, reveals that economic and geopolitical challenges, combined with shifts in customer values, will define a turbulent year ahead. Retailers and fashion companies continue to face challenges in aligning their business key performance indicators (kpis) with sustainability objectives.
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There remains a notable disparity between. A recent survey by the global fashion agenda (gfa) found that 78% of brands have targets to reduce overproduction. But according to holly syrett, gfas impact programmes and sustainability director, respondents cited a lack of clarity about what overproduction means as a barrier to tackling it. A look into how the fashion industry has evolved since confronting its diversity issue and calls for change.
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Global trade turmoil, supply chain uncertainty, consumer jitters: 2025 is shaping up to be a challenging year for the fashion industryand many brands are worried. But in the words of mckinsey senior partner gemma dauria, yes, there are risks, but there are also opportunities to be captured. Here, sustainable fashion experts weigh in on what needs to happen in the year ahead. Raise the bar beyond regulations.
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