French luxury group Kering is close to agreeing to pay between €1.3 billion (£1.1 billion) and €1.4 billion to settle a dispute with Italian authorities over unpaid taxes by its fashion brand Gucci, sources said.
FashionNetwork.com examines how diversity and inclusivity have now become strategic issues, as shown by the policies adopted by many labels, at a time when faux pas, notably about racism, are no longer tolerated.
Following last month's blackface controversy, the Kering-owned luxury brand has launched "Gucci Changemakers", a project aiming to promote diversity both at the company and around the world, starting with the USA.
The luxury group's leading label posted record results in 2018, and is expecting to grow at twice the market’s rate in 2019, reaching a 40% operating margin, as it prepares to launch a high jewellery line.
Luxury goods group Kering joined competitors in defying concerns of waning demand in China, as momentum at its powerhouse Gucci slowed slightly in the fourth quarter but still outperformed most other fashion brands.
The head of Gucci has reassured shop staff over a looming slowdown in the pace of sales growth after a revenue explosion at the Kering-owned label, according to an internal video message seen by Reuters.