Lagertha-Bold Lead’s Post

To all the “freight moaners” out there ! Happy Saturday and enjoy the summer. Here is something to make that coffee taste extra spicy this morning! People, who read my posts, know that I have very liberal views on capitalism and in particular profits in shipping (shipping runs through my blood for 4 generations of Northern Jutland solid stock, so it means something to me … it has put food on the table in my family for a long time). I deplore, when people bemoan high profits in container shipping, or any kind of shipping for that matter (ignoring previous 30 years of low rate environment for our industry). They show such a level of self entitlement… they (and even global politicians) berate and belittle our industry… as if we are not “good enough” ! Stay in your lane, and live off the crumbs the rest of the world drops ! Not to mention the millions of shareholders around the world making ready capital available to finance the global transport needs by buying ships, containers, terminals etc … they have no right to their profit either ! No one obsesses about profits in banking, IT, AI, computer soft & hardware, import of manufactured goods, Wall Street, Pharma, consumer food products, crypto, luxury goods etc.. the list goes on .. the higher the profit : “whoa that’s amazing” … Elon you are a genius ! 😁 but container shipping: “you blood suckers … you ruin the world… inflation mongers… you should be regulated! The abuse is never ending. And then I saw this … today morning from a regular poster on linkedin - Mr Roger Ng from Singapore. He posted about profits on luxury bags … I felt so much better… here was another industry we could attack and take the heat of shipping ! Have a nice weekend 🤪 Brgds HHN #shipping #cargogulf #nvocc #profit #rogerng https://lnkd.in/dSSNE_9v

I have two thoughts on this. First the branding. It took a long time for these brands to achieve their status. That has a cost. The second issue... KNOW YOUR FULL SUPPLY CHAIN.

Marketing is everything…

This is Extremity!!! Inspite of so much talking around ESG, especially the "S" element, These events keep increasing. I feel that there has to be a lesson for everyone to do good and earn money. Our people and community living near by are crucial and important to us. They work for us and they run thier families too. They should get thier fair pay!! #sustainability #sustainableliving #sustainabledevelopmentgoals #sdgs

This (kind of pricing) is valid for ANY product or service with a significant intellectual property component. And there is nothing wrong with that! Whether it is a chip from NVidia, a SAAS subscription, or a luxury item. You are paying for intellectual property, the brand, and relatively unique value. So long as LVMH or Dior can command such market value, the pricing will be justified—or Apple or Nvidea, Oracle, Microsoft, Google Ads, etc. Cost plus pricing is only for products and services that have become commoditized and have a low intellectual property component. Software services, for example, constructing a bridge/road/highway or the electrician or plumber who comes to your home. A handbag is a commodity. An LVMH-designed and marketed handbag is definitely not! It does not matter whether you sell something that costs you only ₹100 to buy or produce for ₹130 or ₹1000 or ₹10,000. The market determines the price. Your cost does not. The market may not buy it even at ₹50 if it doesn’t see value. And as for price gouging by monopolies or items of public necessity etc., there is regulation in almost all countries to police it. To ensure that markets function within acceptable boundaries.

If you simplify the business world, you can say that there are two different strategic positionings: cost leadership versus premium differentiation. A very interesting article and source about the underlying economics of premium differentiations 😂 Dior buying bags for less than $60 and selling them for more than $3000 …

Recent investigations by Italian authorities have exposed shocking truths about luxury brands. Subcontractors for Dior and Armani were found paying workers mere pennies to produce handbags sold for thousands. Dior’s $2,780 bags cost just $57 to make, while Armani’s $1,900 bags are produced for only $99. Workers endured appalling conditions, long hours, and even slept on-site to meet demands. Italian police raids revealed these exploitative practices, highlighting the dark side of luxury manufacturing. #LuxuryFashion #Dior #Armani #Exploitation #LaborRights #EthicalFashion #ItalianInvestigation #LVMH #FashionIndustry #WorkersRights

Is expensive really worth it ? Recent investigations have revealed that luxury brands like Dior and Giorgio Armani pay significantly low production costs for their high-end handbags. Dior, for example, pays just $57 to make a handbag that retails for about $2,800. These investigations have also uncovered poor working conditions at the subcontracted factories producing these bags. Key observations : 1. Low Production Costs: Dior pays $57 for a handbag that sells for $2,800, while Giorgio Armani pays $99 for bags sold at over $1,900. 2. Subcontracting Issues: Both brands subcontract production to Chinese-owned firms, where workers face poor conditions, including long hours and unsafe working environments. 3. Worker Exploitation: Investigations found that workers were forced to sleep in factories and safety devices were removed from machinery to speed up production. 4. Ethical Concerns: These practices have led to ethical concerns regarding the treatment of workers and the oversight of supply chains by luxury brands. 5. Judicial Actions: Some units of these companies have been placed under court administration for one year due to these violations, highlighting the need for better labor practices and transparency. https://lnkd.in/ggWXeAF8

The power of process Videos. A great way to show the process of your products expert craftsmanship. Gucci sets the perfect example through an immersive video edit with ASMR sound effects to pull the audience into the process. With the new editing softwares and portable cinema cameras this can be achieved with less effort but yields great results. You can record the video on on your iPhone and edit on a app like cap cut we prebuilt transitions and sounds. Try it out! #fashionmarketing #fashiondesign #businessoffashion #branding

Dior Handbags Linked to Exploited Chinese Workers: Italian Branch Under Investigation. Italian authorities have uncovered troubling practices within Dior's Italian operations. Dior handbags, including the leather model PO312YKY, which sell for €2,600, are reportedly produced by Chinese workers under exploitative conditions. These workers are allegedly employed "off the books" and are paid only €53 per handbag. The workshop involved is subcontracted by Manufactures Dior srl, a part of Christian Dior Italia, which is owned by the French luxury group LVMH. The production process follows detailed instructions from Dior, documented with technical specifications for each model. Following these revelations, Dior's Italian branch has been placed under judicial administration. The findings by the Carabinieri and the Milan Public Prosecutor's Office highlight significant labor exploitation issues in the luxury fashion industry. #Dior #FashionIndustry #LuxuryGoods #WorkerRights #LVMH #EthicalFashion