15 Feb Inflation is high, but it seems to be subsiding. There are still some supply chain issues, largely because China was in lockdown for almost two years. Most of the more serious sup

Inflation is high, but it seems to be subsiding. There are still some supply chain issues, largely because China was in lockdown for almost two years. Most of the more serious supply chain issues seem to be easing. Gas prices are more reasonable, but food prices are still too high with eggs costing $7/dozen. Unemployment continues to be at an all-time low, despite the tech industry laying off thousands of workers in an effort to trim its workforce. The US GDP is at a healthy +3.2%, but many economists fear we are at risk of a recession.
So how is the fashion industry doing in this complex economic environment?
Some stores are struggling. ‘Bed, Bath, and Beyond’ is on the brink of bankruptcy. Wayfair, which is a large furniture aggregate, and Kirkland’s are struggling. Note that these are both Home businesses. Despite the stress on the Home business, the clothing and accessory businesses are doing well. In fact, the Christmas business was brisk and enjoyed a 7.6% increase. Of course, this number is not yet adjusted for inflation that is was about 7.1%.
Let’s take a closer look at the retail business environment as we into the Spring Business.
What is the current unemployment rate for Jan?
What was the inflation rate for the month of Jan?
Will inflation impact retail revenue? Why?
How did retail specialty stores do for the month of Jan?
What stores reported strong sales revenue and what stores reported weak sales revenue?
What is the economic outlook for Spring ’23 revenue for retail stores?
Your Original Post must be in essay format. Include the answers to the above questions as your Essay; don’t just repeat the questions with an answer. Present a cohesive essay about the current financial state of the retail fashion business.