Ferragamo to expand in China

Italian luxury group Salvatore Ferragamo plans to expand in China and Indonesia to boost profitability.

According to its CEO Michele Norsa, Ferragamo is eyeing cities like Surabaya in Indonesia and Yantai in China.

“There are openings in China, Asia and Latin America while in Europe and the US the investment is very much in renovation or relocation, where it is possible to do more and also get very important results in terms of profitability,” said Norsa.

“There are still elements of structural growth in China which has kept up in the second and third tier cities, despite having slowed in big capitals like Shanghai and Beijing,” said Norsa.

The company said Asia accounts more than a third of its global sales.

Ferragamo is also upping the ante against counterfeiters.

“We have recently begun taking action in China, where we have already won a civil case against a high-end hotel whose store sold counterfeit products,” said Ferruccio Ferragamo, chairman of the group.

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