Manufacturer of clothes and goods of daily demand, the British company Burberry has closed more than 30% of the stores in China because of an outbreak in the country of coronavirus.
the company stressed that at the moment in China, closed 24 out of 64 stores, and the employees of other stores operate on a reduced schedule that already had a negative impact on sales in China and Hong Kong.
As noted by General Director of the Burberry Marco Gobbetti, the spread of coronavirus in China had a “significant” negative impact on the demand for luxury goods.
in addition, Gobbetti announced that the company is taking steps to ensure the safety of their employees.
In an attempt to contain the spread of the virus, the Chinese government imposed transport restrictions and strict public health measures that greatly affect the transport and tourism sectors as well as retail trade.
meanwhile, many businesses in the country postponed the resumption of work after celebrating the New year on the lunar calendar.
against this background, analysts have warned that China’s economic growth in the first quarter may slow down by 2 percentage points or more from 6% last quarter.