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We introduce a model to explain how an increase in intermediation costs leads to structural changes in the corporate bond market. We state three facts on corporate bond markets after the Dodd-Frank act: (1) an increase in customer liquidity provision through prearranged matches, (2) a paradoxical decrease in measured illiquidity, and (3) an increase in the illiquidity component on the yield spread. Investors take longer to finish a trade and require higher illiquidity premium even though measured illiquidity decreased. We introduce a search and matching model which explains these facts. It also suggests the possibility of multiple equilibria and financial instability when dealers face high costs to intermediate transactions. [ABSTRACT FROM AUTHOR]

Australia's top grocers, Woolworths and Coles, are being investigated for allegedly importing cheap canned tomatoes, which local growers claim undermines competition. The Australian government's Anti-Dumping Commission is reviewing a complaint by local canned tomato business SPC, which accuses the supermarket chains of selling Italian tomatoes at lower prices than domestically-produced ones. SPC is seeking the imposition of dumping measures to address the issue. The investigation is ongoing, with a final recommendation expected by March 19 next year. [Extracted from the article]

Bikaji Foods International, an Indian snacks company, is acquiring a majority stake in The Hazelnut Factory Food Products, a bakery and patisserie business based in Lucknow. The acquisition, valued at Rs1.31bn ($15.6m), is part of Bikaji's strategy to expand its market presence and create cross-selling opportunities. The Hazelnut Factory's founder expressed excitement about reaching a broader audience and blending artisanal sweets with global coffee culture. This move follows Bikaji Foods' recent acquisition of a 55% stake in frozen-food business Ariba Foods. [Extracted from the article]

Salmon farmer and processor Mowi aims to achieve up to €400m ($446.3m) in cost savings over the next five years through the use of Industry 4.0 technology, including digitalization, automation, and robotics. The cost-improvement program is important for combating inflation, biological measures, and complex regulations. Mowi has already realized €307m in savings since 2018, with €207m coming from farming. The company is targeting annual revenue growth of 7-8% over the next five years, with a goal of reaching €8.5bn in 2029. Mowi also plans to increase annual fish output to 600,000 tonnes by 2029. [Extracted from the article]

Nestlé is selling its Cremora creamers business in South Africa to Lactalis, a dairy giant. The Cremora brand, which has been in South Africa for over 77 years, is currently manufactured at Nestlé's plants in Babelegi and Potchefstroom, which will be part of the deal. However, the plant in Harare, Zimbabwe, will no longer produce Cremora but will focus on making other creamers and breakfast cereal. Nestlé remains committed to the region's economic development and will continue to operate its other production facilities in South Africa. The deal is subject to regulatory approval, and financial terms were not disclosed. Lactalis looks forward to diversifying its product offering and ensuring a seamless continuity for customers and consumers. [Extracted from the article]

Laurent Freixe, the incoming CEO of Nestlé, has outlined his priorities for the company, including gaining market share and improving execution. He emphasized the importance of engaging with employees and investing in the business to raise the quality of execution. Nestlé recently trimmed its forecast for organic growth and EPS guidance, leading to concerns among investors. The change in leadership at Nestlé has raised eyebrows, but the company's chairman believes a new CEO could benefit the business. Freixe plans to increase investments in innovation and focus on meeting consumers' needs to drive sales and gain market share. [Extracted from the article]

Non-alcoholic beer in Brazil experienced significant growth in 2023, outperforming other strength beers as consumers embraced a health and wellness trend. According to a report from GlobalData, the volume of non-alcoholic beer increased by 71.8% in 2023, with very low-alcohol beer (between 0.0% and 0.5% abv) also seeing a 7.7% growth in consumption. The wider beer category in Brazil saw a 1.4% increase in volume sales, while cider volume increased by 8%. The report predicts that the Brazilian beer and cider sector will continue to grow at a CAGR of 2.5% between 2024 and 2029, driven by improved economic conditions and tourism. Lager was the most consumed beer type in Brazil, with Skol and Brahma being the top brands. Premium beer saw the strongest growth in 2023, with Heineken and Amstel leading the segment's expansion. [Extracted from the article]

Ted Baker, a British high street fashion retailer, has closed its final UK stores, leaving a gap in the market. Retailers such as Reiss, Whistles, and Phase Eight are well-positioned to capture Ted Baker's former customer base, as they offer similar collections and cater to a comparable demographic. Other potential winners include Flannels, Fred Perry, and Ralph Lauren Polo. While Ted Baker's exit is significant, its impact may be less dramatic than expected, as much of the gap has already been filled. The brand's downfall can be attributed to its failure to pivot its business model during the pandemic, a misalignment with consumer taste, and a critical misstep in corporate governance. The future of Ted Baker as an online-only brand remains uncertain, and it will need to address the issues that led to its downfall and rebuild its brand image. The broader message for the fashion industry is the importance of staying relevant, adapting to consumer trends, and maintaining a strong brand identity. [Extracted from the article]

The remaining 31 Ted Baker stores in the UK and Republic of Ireland are set to close, resulting in 500 job losses. The closure comes after financial difficulties for the brand, with Teneo Financial Advisory Limited being appointed as the administrator of NODL, which licensed the Ted Baker brand. The closure of the stores is seen as a sad day for British apparel, and there are concerns about the future of the brand, with the possibility of it becoming an online-only presence or disappearing altogether. The closure of the stores follows previous closures in the UK and Europe, and suppliers are unlikely to have their debts settled due to the administration of NODL. [Extracted from the article]

Virtual wardrobe apps, such as Whering, Indyx, Combyne, 30 Wears, and Good on You, are gaining popularity as consumers look for alternatives to real-world shopping. These apps allow users to virtually log their wardrobes, create outfits, and track their wearing patterns, helping them avoid impulse purchases and reduce costs. Virtual wardrobes also cater to the trend for classic and timeless styles that can be worn for multiple occasions. Additionally, these apps address environmental concerns by encouraging users to maximize the use of their existing wardrobe and suggesting sustainable alternatives. However, the time-consuming process of cataloguing and uploading items remains a challenge. Fashion brands can potentially partner with these apps to be featured in personalized shopping guides and gain valuable insights into consumer preferences. [Extracted from the article]

Snak King, a US-based private-label and branded snacks manufacturer, has received an undisclosed investment from Falfurrias Management Partners. The investment was made through Falfurrias Capital Partners IV and V funds, although the size of the stake taken in Snak King was not disclosed. Snak King, founded in 1978, supplies tortilla chips, potato crisps, popcorn, and nut clusters as a co-manufacturer and own-label business. The company also has a branded portfolio and employs over 780 people. CEO Barry Levin will continue to lead the company, and Falfurrias Management's Ken Walker and Chip Johnson will join the board. [Extracted from the article]

The US state of Florida's ban on lab-grown meat made from animal cells is being challenged in court. The Institute for Justice (IJ), a non-profit law firm, has partnered with cell-based meat company Upside Foods to file a lawsuit arguing that the ban violates the US Constitution's provisions against protectionist measures. Florida Governor Ron DeSantis signed the ban into law in May, stating that it was intended to protect local meat producers. The lawsuit aims to protect consumer choice and promote innovation in the food industry. [Extracted from the article]

This article provides an overview of how fashion retailers and brands can develop a profitable and ethical sourcing strategy. The authors emphasize the importance of understanding factors that influence profitability, such as blended margins, cross-costing between factories, optimizing container fills, and exchange rates. They also discuss the decision between nearshore and farshore sourcing, highlighting the benefits and considerations of each approach. The article offers tips for working with manufacturers in new regions, including understanding regional nuances, addressing language barriers, and staying informed on trade agreements. Additionally, the authors suggest de-risking and diversifying sourcing strategies through exit planning, margin management, discussing cancellation policies, diversifying the supplier base, and investing in long-term relationships with suppliers. The article concludes by emphasizing the need for a balanced approach that considers cost, ethics, and risk management in order to build successful global sourcing partnerships. [Extracted from the article]

Ted Baker, a UK clothing brand, is set to close all of its stores in the country due to financial difficulties. The closure of the stores follows the appointment of Teneo Financial Advisory Limited as the administrator of NODL, which licensed the Ted Baker brand. In addition to the UK closures, Ted Baker's European-based stores will also close, resulting in job losses. The brand has also filed for bankruptcy protection in the US and Canada. The Istanbul Apparel Exporters Association has called on Ted Baker and its administrators to pay back what it owes to its member apparel suppliers, but it is unlikely that these debts will be settled. [Extracted from the article]

A new report from GlobalData titled "Global Shopping Trends: Factors of Influence for Purchases" reveals that while value for money is the most important factor for consumers in almost all sectors, quality is the key factor influencing footwear purchases. 78.9% of consumers identified quality as a factor that always or often influences their decision to purchase footwear, slightly ahead of value for money at 78.1%. The report also highlights that older consumers place a greater emphasis on value for money, price, and quality, especially for less frequently purchased items like furniture. The research was conducted between December 2023 and January 2024 among a representative sample of consumers. [Extracted from the article]

UK retail sales fell in June for the fourth time in six months, with clothing, textile, and footwear stores experiencing a 1.6% decrease in sales volumes. Non-food store sales volumes fell by 2.1% in June, with department stores, clothing and footwear retailers, and furniture stores all contributing to the decline. Factors such as election uncertainty, poor weather, and low footfall were cited as reasons for the decrease in sales. However, there is hope for improvement as the year progresses, with a new government in place and a gradual easing of inflation. Retailers are hoping for a boost in sales during the summer months, driven by events such as the Euros and Wimbledon finals. Loyalty rewards, AI, and innovation are suggested as strategies for retailers to combat the downward trend in sales. [Extracted from the article]

The EU's Green Claims Directive, also known as the 'greenwashing ban,' will require consumer product sustainability claims to be supported by evidence starting in 2026. This legislation aims to provide clearer information to help consumers make informed purchasing decisions. A recent survey found that 74% of global consumers consider sustainability to be important when choosing a product, particularly among younger consumers. However, the ban may pose challenges for brands that rely on unsupported green claims to connect with consumers. Examples of brands accused of greenwashing include Lululemon, Boohoo, and H&M. [Extracted from the article]

Whering, a fashion app, is aiming to promote sustainability and personalization in the fashion industry. The app allows users to digitally browse their own wardrobes and offers AI insights, moodboards, wishlists, and now a social element. Users can browse each other's wardrobes, submit style suggestions, view moodboards and wishlists, and compete on leaderboards. The app also provides statistical breakdowns of personal habits and promotes sustainable practices by showing users what percentage of their wardrobe is new, preloved, rental, and handmade. Whering hopes to create a community of sustainable and conscious consumers through its social features and gamification. [Extracted from the article]

The demand for personalized food and drink products is increasing, with consumers seeking products tailored to their interests, diets, cultures, and lifestyles. Market research shows that the value and volume of food products appealing to specific consumer groups have grown at a compound annual growth rate. This growth aligns with shifting consumer behavior and the increasing importance of health and wellness in grocery shopping. Consumers are influenced by health labeling on product packaging and are looking for options that suit their taste and dietary requirements. Manufacturers are incorporating functional ingredients, such as postbiotics, into food and drinks to customize the nutritional content and address health issues. However, manufacturers face challenges in product development and ensuring that functional ingredients do not compromise the flavor and texture of their products. Postbiotics, in particular, are becoming popular due to their unique characteristics and resilience in processing conditions, making them suitable for a wide range of food products. Scientific advances in postbiotics are expected to contribute significantly to the demand for personalized food products in the future. [Extracted from the article]

A report from McKinsey & Co. reveals that consumer loyalty is declining due to factors such as affordability over sustainability and increased interest in wellness products. The global pandemic has caused approximately half of consumers to switch products or brands, and this behavior continues as consumers remain open to exploring alternatives. In advanced markets, over a third of consumers have tried different brands and 40% have switched retailers in search of better prices and discounts. The report also highlights that weakening brand loyalty is not limited to a specific age group, as older consumers are now embracing new brands and alternative retailers. Private-label brands have benefited from this shift, with 36% of consumers planning to purchase private-label products more frequently. GlobalData suggests that building customer loyalty in the apparel industry is challenging due to the saturation of similar products and numerous options available to consumers. The article also emphasizes the importance of a streamlined and efficient supply chain in maintaining customer loyalty, as errors or issues in the supply chain can lead consumers to purchase from other retailers. [Extracted from the article]

Diageo, the owner of brands like Guinness and Johnnie Walker, is driving its innovation strategies through sustainability, digital technology, "neo-hedonism," and moderation and wellness trends. The company has implemented initiatives such as a paper-packaging trial for its Baileys liqueur and a global pilot with Ecospirits for reusable packaging. Diageo is also investing in non-alcoholic products and using artificial intelligence to identify consumer trends and personalize drink choices. The company aims to achieve distinctive growth through its innovation efforts while staying true to its brands and differentiating its products. [Extracted from the article]

Authentic Brands Group (Authentic) has acquired the Champion Athleticwear brand for $1.2 billion, with the aim of increasing its system-wide annual retail sales to over $32 billion worldwide. Authentic plans to convert the Champion business into a licensed model and is in discussions with potential operators to manage manufacturing, retail, e-commerce, and wholesale operations. However, Authentic will need to address Champion's declining results by refreshing its product offering, aligning its image with consumer preferences, and improving its online proposition. The deal is expected to be finalized in the second half of 2024, pending regulatory approval. [Extracted from the article]

PicoNext founder, Dickson, believes that Digital Product Passports (DPPs) can be used as a brand engagement tool to drive awareness around sustainability. PicoNext simplifies the data collation process for DPPs, allowing companies to quickly source their sustainability data and display it in a branded format for consumers. DPPs enhance transparency and traceability in the supply chain, addressing consumer concerns and building trust. Dickson recommends a three-step strategy for fashion brands to leverage DPPs effectively: pilot, refine, and scale. [Extracted from the article]

Zero10, a company specializing in augmented reality (AR) technology, is collaborating with major fashion retailers such as Tommy Hilfiger and Nike to bring virtual try-on experiences to physical stores. The CEO of Zero10, George Yashin, believes that AR can enhance the consumer experience and attract customers to physical stores. Consumer sentiment towards virtual try-on technology is positive, with over 40% of respondents considering it practical and useful. Yashin sees potential for AR in the Asian market and believes that AI can further enhance AR try-on technology by personalizing the experience for customers. [Extracted from the article]

Primark has maintained its position as the UK's largest apparel brand, with a market share of 6.2% in 2023. The brand's low prices and trend-led assortment have resonated with shoppers, and collaborations with celebrities have further boosted its popularity. Marks & Spencer and Next also saw growth in their market shares, while Adidas experienced a decline. Primark has made efforts to improve its style and quality, and has introduced click and collect capabilities and revamped its website. The brand has also implemented initiatives such as reducing prices on essential items and offering adaptive lingerie for disabled customers. The UK apparel market has been affected by rising inflation, leading consumers to prioritize value for money and seek more affordable options. The market is expected to grow modestly in the coming years, with an uplift in demand from 2025 onwards. [Extracted from the article]

According to research from GlobalData, the fashion retail sector is expected to benefit greatly from augmented reality (AR), with the market projected to be worth $100 billion by 2030. Retailers are using AR technology to gain a competitive edge, adapt to consumer preferences, and stay on top of emerging trends. Home, fashion, and cosmetics retailers are leading the way in AR adoption, creating immersive and personalized shopping experiences. Nike and Marks and Spencer are mentioned as leaders in AR adoption, using the technology for advertising, marketing, and enhancing personalized shopping experiences. Additionally, incorporating AR technology can have sustainability benefits by educating consumers and reducing waste. [Extracted from the article]

UK grocers The Co-op and Waitrose have launched "Best of British" sections on their websites, supporting British farmers and appealing to shoppers looking for homegrown produce. The Co-op's Best of British range offers same-day delivery for 100% British meat, poultry, fruit and veg, and dairy produce, catering to the growing consumer interest in locally-sourced products. Online grocery shopping remains popular, with a survey showing that 56% of UK consumers plan to buy groceries online in the next three months. The campaign benefits local farmers and attracts consumers who prioritize sustainability. Waitrose has also launched a similar section on its website, promoting its 100% British meat, eggs, and milk range. The UK government plans to make food labeling clearer and fairer to ensure British farmers' products receive recognition. Many UK consumers associate British meat and poultry with higher quality production values and stricter animal welfare standards. The focus on locally produced products should raise the interest of retailers who have not yet launched a range of locally sourced produce. [Extracted from the article]

The Hungarian Competition Authority (GVH) has launched an antitrust investigation into Temu's European operator, Whaleco Technology Limited, following allegations of unfair trading practices and deception of consumers. GVH claims that Temu may be using non-existent discounts, psychological pressure, and misleading green messages. In response, a Temu spokesperson stated that the company is eager to cooperate with the investigation and ensure compliance with the highest standards. GVH alleges that Whaleco Technology Limited engages in misleading price indications and promotional practices, and Temu's promotional offers may psychologically pressure consumers. The investigation aims to clarify the facts and does not imply guilt, with potential fines of up to 13% of the company's annual turnover. [Extracted from the article]