The structure of how H operates the business is a bit more complicated than that. Someone can probably explain better than I do. But basically each store has different budget based on their previous performance. And each store determines what they want to / can order/ stock based on their budget. And what they can order for each category is determined by which tier they are in for that category. That goes back to their previous performance.
Okay, that's great, but that's just accounting. My point is, why, if you are H, why not just fill your stores with your merchandise? Right? You have all of these boutiques, you build these fabulous boutiques all over the world, you have grand openings, it's all very exciting...right up to the point where the stores actually have to conduct daily business. Why go through all this song and dance and then not let your boutiques sell your stuff?
A store cannot possibly sell bags they don't have. So the boutique says, "Hey Mama H we've got a lot of customers coming in asking for our bags. Could you send us some bags?" Then Mama H ostensibly says to its own boutiques, "Oh, gosh no, we're not going to give you bags. We're keeping all of the bags here in Paris. If your clients (Oh, whoops, our clients) want a bag, they'll have to come here." "Oh, and by the way, you needy little boutiques, not only are we going to make your (uh, our) clients fly to Paris to get a bag that we could have allowed you to put into their hands locally, we're going to make them wait in line for 8 hours here, endure mortal combat on our sidewalk, or flop about our store like (well-heeled) vagrants. Then most of them won't get an appointment anyway, possibly alienating them as customers and opening the door to our competition." My point is that H seems to be engaged in an adversarial relationship with its own stores.
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