Tuesday, May 20, 2008
Specialty retail at risk
Specialty store retailers are likely to be the worst affect in the ongoing economic slowdown in the US. According to an analysis by investment bank JPMorgan, higher costs of food, gasoline, rent, energy, interest rates, increasing unemployment rates and falling equity markets are all factors that will contribute to this occurrence. The bank lowered the forecast for Just Group, a fashion retailer due to this slowdown by 2%. The worst affected segment will be middle market fashion retailers who are most at risk of losing their customers.