Tokyo, Japan (CNS) – Italian luxury fashion house Gianni Versace SpA will be closing its Japan stores. The company said it will review its entire business strategy after it closes down its three stores in the Asian country.
According to the company, the Versace boutiques in Japan no longer represent the brand image and it was a sound move for the company to close them and start with a clean slate.
Versace Japan experienced a huge decline in sales. It only took $17.7 million last year compared to its earnings of around $45.4 million four years ago.
The Italian company wasn’t the only label that will close down in Japan. U.K. fashion brand French Connection has also announced it will be closing all of its 21 Japan boutiques over the next six to nine months.