Description:
Swatch Group announced that its mechanisms for reducing the supply / parts to third parties. Restrictions on supply arrangements with other companies head Swatch Group Nicolas Hayek said in 2002. However, under pressure from Swiss antitrust authorities has been established a “transition period” until 2010, during which the Swatch Group was obliged to continue supplying in volume no less than before.This decision naturally led to a wave of discontent with independent brands.
“We are against the decision of the Anti-Monopoly Commission (Soames) and intend to appeal the Commission’s decision,” – said CEO Peter Frederique Constant Stas. His indignation also shared CEO Louis Erard Spinedi Allen: “It’s a real scandal! We reserve at the end of movements. And we do not know what we will do next year. If the situation does not change, most companies simply can not exist.
Swatch Group is almost a monopolist in the market of components, which is according to the International Finance Corporation, Citigroup 70% of the parts for luxury watches. However, 60% goes into producing their own brands.