Chanel Cancels Fashion Presentation for Crisis

Besides Chanel, other French houses have felt the crisis. They plan on firing 10 percent of their employees for losses in 2008.

French fashion houses plan on firing 200 employees due to fears that the market of luxury goods will become another victim of the current global financial crisis.

The largest French concern CGT predicts that nearly ten percent of those who are not permanently employed will be fired during 2009, because of large losses in this year.

Large layoffs are the result of a turbulent year for the fashion industry, in which the positive growth of sales has nearly stopped.

Prompted by the problematic economic situation, Chanel announced the cancellation of a fashion presentation of their new collection of classic bags and jewellery via mobile phones, in order to shift their focus on investment strategy.