The decline is not only the largest among European companies in the luxury sector; it is also larger than the decline the company suffered during both the pandemic and the 2008–2009 financial crisis.
LVMH, with brands such as Louis Vuitton, Dior and Marc Jacobs, has significant exposure to the Middle East and is also being affected by reduced tourism and travel. In addition, LVMH, unlike many of its competitors, has a wine and spirits division; in particular, the cognac maker Hennessy has experienced a decrease in demand for several years.
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