Viettel Group is a Vietnamese multinational telecommunications conglomerate that operates as both a telecommunications service provider and a defense industry enterprise.
It was established in 1989, as the Vietnam Post and Telecommunication Services (VNPT). In 2004, it underwent a transformation and was rebranded as Viettel Group, becoming a military-run enterprise.
Three decades later, Viettel has transformed itself from the leading telecommunications operator in Vietnam to an industrial and technological corporation reaching out to the world, with a promise of being a “caring innovator”.
These are the main business units:
- Telecommunications Services: Viettel is one of the leading telecommunications service providers in Vietnam. It offers a wide range of services, including mobile and fixed-line telephony, broadband internet, digital television, and other data services.
- International Operations: Viettel has expanded its operations internationally and operates in various countries across Asia, Africa, and Latin America. It provides telecommunications services in these regions, contributing to the economic development and connectivity of the countries it operates in.
- Infrastructure Development: Viettel has been involved in the development of telecommunications infrastructure, including the construction of fiber-optic networks, mobile towers, and data centers. This focus on infrastructure development is essential for expanding its service coverage and improving the quality of its offerings.
- Technology Development: As a part of its business strategy, Viettel has invested in technology development, including the deployment of advanced networks like 4G and 5G. This commitment to technological advancement allows the company to stay competitive in the rapidly evolving telecommunications industry.
- Defense Industry: Unique to Viettel is its dual role as a telecommunications company and a defense industry enterprise. It is operated by the Ministry of Defense of Vietnam, and part of its mission is to contribute to the country’s defense capabilities. This integration allows Viettel to leverage synergies between its telecommunications and defense activities.
Viettel’s strategy is built around
- Global Expansion: One of Viettel’s key strategies is global expansion. The company has entered various international markets, especially in developing countries, to provide telecommunications services and contribute to the development of communication infrastructure.
- Competitive Pricing and Value: Viettel often adopts a strategy of offering competitive pricing and value-added services to attract and retain customers. This approach is particularly relevant in markets where price sensitivity is high.
- Technological Innovation: Staying at the forefront of technological innovation is a crucial aspect of Viettel’s strategy. By investing in the latest telecommunications technologies, such as 5G, the company aims to provide cutting-edge services and maintain a competitive edge.
- Social Responsibility: Viettel places an emphasis on social responsibility, contributing to the economic development and connectivity of the regions it serves. This includes providing telecommunications services in remote and underserved areas, supporting education, and participating in community development projects.
- Integration of Defense and Telecommunications: The unique integration of defense and telecommunications allows Viettel to leverage resources and capabilities from both sectors. This integration can contribute to the company’s resilience and its ability to operate in challenging environments.
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Viettel continues to maintain its position as the largest enterprise in the industry.
In 2023, its telecommunications market share increased by 1.64%, maintaining a sustainable leadership position with 56.5%. The company also maintained its number one position in non-mobile services, including fixed broadband (FTTH) with a 43% market share and multi-platform television with 8.6 million subscribers, accounting for 31.2% of the market.
Viettel remains the network with the best service quality in Vietnam according to Umlaut’s assessment and ranks among the top 40 networks worldwide in terms of service quality. 5G services were successfully deployed with around 500 stations in all 63 provinces and cities, and a dedicated 5G mobile network was implemented in practice.
Viettel successfully transitioned 5.8 million 2G subscribers to 4G, surpassing the target by 109% and increasing the 4G subscriber base to 80%. Additionally, the company implemented AI technology to optimize the efficiency of blocking spam messages and calls.
During the year, Viettel also successfully conducted a pilot program for Mobile Money services with approximately 5 million users, with 73% of these users residing in rural, mountainous, remote, border, island areas, aligning with their intended direction.
Viettel launched several new digital platforms that delivered breakthrough results.
After 2 years since its launch, TV360 achieved 10 million regular users, making it the largest television service provider in Vietnam and expanding to international markets.
The Viettel Money digital financial ecosystem leads the rankings on Google Play and Apple Store in Vietnam with over 24 million users, holding a 32% market share in e-wallets and 60% in mobile money.
Leveraging AI technology, Viettel introduced new products including virtual legal assistants, virtual assistants for civil servants, chip-embedded chip verification services for the Ministry of Public Security, and data analysis platforms across 14 provinces nationwide.
In 2023, Viettel also deployed multiple large data center infrastructures in Hanoi and Ho Chi Minh City, contributing to the development of the largest cloud services ecosystem in the country.
Pioneering in the export of telecom and technology services
Viettel’s overseas revenue grew by 20.5%, maintaining high growth for seven consecutive years, surpassing the industry average worldwide by five times. Natcom excelled in Haiti, securing Viettel’s position as the number one telecom provider in six foreign markets, including Natcom in Haiti, Metfone in Cambodia, Unitel in Laos, Mytel in Myanmar, Telemor in East Timor, and Lumitel in Burundi.
Viettel expanded its information security business to four international markets, including Japan, Myanmar, East Timor, and Hong Kong.
The Viettel Digital Finance platform was exported to seven international markets, with some markets achieving high growth rates, such as Mozambique (450%), Laos (244%), Haiti (232%), East Timor (139%), and Burundi (91%).
The completed 5G Private network has export contracts to India, the most populous and technologically advanced country in the world.
Maintaining the position as the most comprehensive digital service provider
Viettel retains its status as the most comprehensive digital ecosystem provider, encompassing six platform areas: digital infrastructure, digital solutions, digital finance, digital content, cyber security, and high-tech production.
Viettel’s digital solutions and services hold the number one market share in healthcare, education, and provincial governance sectors. The digital healthcare ecosystem connects 30 million health records, the digital education solutions serve 4 million students, and the Intelligent Operations Center (IOC) operates in 35 provinces and municipalities.
Viettel remains the core force for ensuring network security and cyber security with a 58% SOC market share, asserting itself as the number one provider of ATTT services in Vietnam. Notably, Viettel’s team won the championship at the world’s largest cyber attack competition, Pwn2Own Toronto 2023.
Mastering 5G chip research and production
Viettel has successfully conducted research, production, and widespread testing of the 5G product ecosystem, both in hardware and software, placing Vietnam among the top five countries to master 5G technology. Viettel has announced the successful research of the 5G DFE chip, the most complex component of the 5G ecosystem, capable of performing up to 1,000 trillion calculations per second. This marks a breakthrough in Vietnam’s semiconductor industry. Test results have shown that Viettel’s 5G devices meet technical standards equivalent to those of many global providers.
Breakthrough growth in the logistics sector
Viettel Post achieved its highest growth rate in five years, with the core delivery sector growing by 31%, nearly four times the industry average growth. To explore new opportunities, Viettel Post has initiated the construction of a multi-modal transportation link connecting China, Vietnam, and ASEAN. The company also participated in the development of the latest smart border gate project in Vietnam.
Participating in the conference and hearing the report on Viettel’s 2023 results, Nguyen Manh Hung, Member of the Party Central Committee and Minister of Information and Communications, acknowledged that in the context of the industry’s common difficulties, Viettel’s 5.4% growth and 20.5% international telecommunications growth were impressive. Viettel has been highly successful in telecommunications and high-tech industry research and production. The Minister emphasized Viettel’s role: “Viettel must become a global technology conglomerate, actively participating in digital and green transformations. Viettel should create technologies and platforms for others to innovate and create products and services for society.”
Under the leadership of the Ministry of Information and Communications, Lieutenant General Tao Duc Thang, Chairman and CEO of the Group, has issued challenging tasks for each unit within the organization while reaffirming, “What we have achieved together in 2023 has added strength, a great source of motivation for Viettel to reach new heights in 2024.”
In 2024, Viettel aims to achieve a 7.2% increase in total group revenue, further improve foreign investment efficiency with a capital return rate of 84%, ensure 4G coverage equivalent to 2G, transition all 2G subscribers to 4G by September 2024, maintain the number one position in data center and cloud market share, expand the provision of cyber security services internationally, deploy extensive AI solutions, implement Digital Twins solutions for smart city management, officially announce the 5G device ecosystem produced by Viettel, expand the green energy product line, provide end-to-end solutions for cross-border logistics, and establish a cross-border railway transportation route between Vietnam and China.
Wuliangye is a Chinese company that specializes in the production of Baijiu, a traditional Chinese distilled alcoholic beverage. The company is best known for its flagship product, Wuliangye, which is one of the most popular and prestigious Baijiu brands in China.
The Chinese brand, formally known as Yibin Wuliangye Group Co., Ltd., was established in 1980 in Yibin City, Sichuan Province, China. The company’s roots, however, trace back to the Ming Dynasty (1368–1644) when the Wuliangye brand was first created. The modern incarnation of Wuliangye emerged during the economic reforms of the late 20th century.
It primarily engages in the production and sale of Baijiu, a distilled spirit with a strong cultural and historical significance in China. Baijiu is often consumed during important social and business occasions.
Wuliangye’s product portfolio includes various types of Baijiu, with the flagship Wuliangye brand being its most well-known and prestigious offering. The company has established a strong market presence in China, where the demand for high-quality Baijiu remains robust. In addition to the domestic market, Wuliangye has also expanded its international presence, targeting consumers interested in Chinese spirits globally.
Wuliangye’s strategy is built around
- Premium Positioning: Wuliangye has positioned itself as a premium Baijiu brand, emphasizing the quality and craftsmanship of its products. This positioning has allowed the company to cater to the high-end consumer segment and command premium prices for its spirits.
- Brand Building: Wuliangye has invested significantly in building and promoting its brand. The company leverages its long history and cultural significance to create a sense of tradition and authenticity around its products. Marketing efforts often focus on the heritage and craftsmanship associated with the Wuliangye brand.
- Product Diversification: While the Wuliangye brand remains the flagship, the company has diversified its product portfolio to cater to different consumer preferences and market segments. This includes the development of new Baijiu varieties to appeal to a broader range of consumers.
- International Expansion: Recognizing the global interest in diverse alcoholic beverages, Wuliangye has pursued international expansion. The company aims to introduce its Baijiu products to a wider audience, capitalizing on the growing curiosity about traditional Chinese spirits outside of China.
- Strategic Partnerships: Wuliangye has formed strategic partnerships and collaborations to strengthen its position in the market. This may include distribution agreements, joint ventures, or collaborations with other companies in the beverage industry.
OpenAI was founded in December 2015 with the goal of advancing artificial intelligence (AI) in a way that benefits all of humanity. The organization was established as a non-profit with the mission of conducting research in the field of AI and promoting the development of safe and beneficial AI technologies.
OpenAI’s initial team included notable figures in the tech and AI community, such as Elon Musk, Sam Altman, Greg Brockman, Ilya Sutskever, and others. The organization’s focus was on addressing the potential risks associated with powerful AI systems and ensuring that the benefits of AI were distributed broadly.
In 2019, OpenAI transitioned to a for-profit model with the creation of a new entity called OpenAI LP. The shift in structure allowed OpenAI to secure additional funding and partnerships to accelerate its research and development efforts. However, the commitment to long-term safety and broad benefits for humanity remained central to OpenAI’s mission.
Over the years, OpenAI has achieved significant milestones in AI research, with projects like GPT-3 (Generative Pre-trained Transformer 3) showcasing the capabilities of large language models. These models, including the one you’re talking to right now, have applications in natural language processing, text generation, and various other AI tasks.
OpenAI’s strategy revolves around three key principles:
- Broadly Distributed Benefits: OpenAI is committed to ensuring that the benefits of artificial general intelligence (AGI) are shared with all of humanity. The organization aims to avoid enabling uses of AI or AGI that could harm humanity or concentrate power in a way that harms the broader population.
- Long-Term Safety: OpenAI recognizes the potential risks associated with the development of powerful AI systems. The organization is dedicated to conducting research to make AGI safe and promoting the widespread adoption of safety measures across the AI community. OpenAI actively cooperates with other research and policy institutions to address global challenges related to AGI safety.
- Technical Leadership: To effectively address AGI’s impact on society, OpenAI believes in being at the cutting edge of AI capabilities. By maintaining technical leadership, OpenAI aims to be in a position to effectively address AGI’s societal impact and contribute valuable insights and guidance.
The transition from a non-profit to a for-profit model in 2019 was driven by the need for increased resources and funding to pursue these strategic goals effectively. OpenAI collaborates with other research and policy institutions, shares research findings, and engages in initiatives that align with its mission of ensuring AGI benefits all of humanity.
A year after the launch of ChatGPT, in November 2023, OpenAI imploded. The board dismissed CEO Sam Altman without explanation. The business was in free fall, and almost every employee signed a petition demanding his return. Meanwhile key investor Microsoft started exploring bring Altman and most of his team in-house. However with 4 days, the entire OpenAI board resigned, and Altman was back as CEO again.
A month later, Time magazine made him CEO of the year:
Nubank is a leading Brazilian neobank, or fintech business, recognised for its innovative and customer-centric approach to banking services.
Nubank was founded in 2013 by David Vélez, Cristina Junqueira, and Edward Wible in São Paulo, Brazil. The founders aimed to challenge the traditional banking model by providing a more transparent, accessible, and customer-friendly alternative.
Its first product was a credit card that differentiated itself by not charging traditional fees, such as annual fees or over-limit fees. The credit card application process was entirely digital, allowing customers to apply and manage their accounts through a mobile app.
Over the years, Nubank expanded its product offerings beyond credit cards. It introduced a digital savings account (NuConta) in 2017, offering a simple and fee-free savings experience. Additionally, the company introduced personal loans and other financial products to cater to a broader range of financial needs.
Nubank achieved “unicorn” status in 2018, reaching a valuation of over $1 billion. The company’s success was driven by its customer-centric approach, digital focus, and the popularity of its products in a market where traditional banking services often came with high fees and bureaucracy.
Nubank expanded its operations beyond Brazil, targeting other Latin American markets. The company ventured into Mexico in 2019, marking its first international presence. The expansion aimed to replicate Nubank’s success in providing accessible and user-friendly financial services.
In 2021, Nubank filed for an initial public offering (IPO), marking a significant milestone for the company. The IPO was closely watched, as Nubank continued to disrupt the traditional banking industry and attract a large customer base.
Nubank’s story is characterized by its commitment to simplicity, transparency, and customer empowerment in the financial services sector. It has gained popularity for challenging the status quo and offering innovative solutions to meet the evolving needs of consumers in the digital age.
Nubank’s strategy revolves around challenging traditional banking models by providing a customer-centric, transparent, and digital banking experience. Here are some key elements of Nubank’s strategy:
- Digital-First Approach: Nubank is built on a digital-first model, allowing customers to access and manage their financial products entirely through a mobile app or website. This approach eliminates the need for physical branches and paperwork, offering a more convenient and efficient banking experience.
- Customer-Centricity: Nubank places a strong emphasis on customer satisfaction and aims to address pain points commonly associated with traditional banking, such as hidden fees, complex processes, and poor customer service. The company focuses on simplicity, transparency, and responsiveness to customer needs.
- Fee-Free Banking: Nubank initially gained attention by offering a credit card with no annual fees, over-limit fees, or other traditional charges. This fee-free model was extended to other products, including savings accounts and personal loans, creating a more attractive value proposition for customers.
- Product Diversification: While Nubank started with a credit card, the company has expanded its product portfolio to include digital savings accounts (NuConta), personal loans, and other financial services. This diversification allows Nubank to cater to a broader range of financial needs for its customer base.
- Innovation and Technology: Nubank invests heavily in technology and innovation to enhance its products and services continually. The company leverages data analytics and machine learning to provide personalized financial solutions, improve risk assessment, and streamline processes.
- International Expansion: Nubank has pursued international expansion, starting with its entry into the Mexican market. The company aims to replicate its success in other Latin American countries, bringing its customer-centric approach to a broader audience.
- Financial Inclusion: Nubank has a commitment to financial inclusion, targeting underserved populations and providing them with access to essential financial services. The digital nature of Nubank’s offerings makes it more accessible to individuals who may have limited access to traditional banking infrastructure.
- Transparency and Education: Nubank prioritizes transparency in its communication with customers, ensuring that users understand the terms and conditions of their financial products. The company also focuses on financial education, providing resources to help customers make informed financial decisions.
Nubank’s strategy revolves around disrupting the traditional banking landscape by leveraging technology, prioritizing customer satisfaction, and offering a range of fee-free and accessible financial products. The success of this strategy is evident in Nubank’s rapid growth and popularity among consumers in the markets it serves.
EssilorLuxottica is a multinational eyewear company that was formed through the merger of two major players in the eyewear industry: Essilor and Luxottica.
Essilor, founded in 1972, was a French company specializing in the manufacturing of ophthalmic lenses. It became a leading player in the global eyewear industry, focusing on providing innovative lens solutions to improve and protect eyesight.
Luxottica, founded in 1961, was an Italian company created by Leonardo Del Vecchio. Luxottica initially started as a small eyewear component manufacturer and later expanded into the design, manufacturing, and distribution of eyewear frames. Luxottica became well-known for owning popular eyewear brands like Ray-Ban, Oakley, and Persol, and for its retail chains such as LensCrafters and Sunglass Hut.
In 2017, Essilor and Luxottica announced their merger, creating EssilorLuxottica. The merger aimed to combine Essilor’s expertise in lens manufacturing with Luxottica’s strength in eyewear frames and retail. However, the merger faced some challenges, including corporate governance issues and power struggles between key stakeholders.
Despite these challenges, EssilorLuxottica continued to be a major player in the eyewear industry, controlling a significant portion of the market. The company’s focus remained on providing a comprehensive range of eyewear products, from lenses to frames, and maintaining a strong presence in both manufacturing and retail.
EssilorLuxottica’s strategy revolves around being a vertically integrated company that covers various aspects of the eyewear industry, from lens manufacturing to frame design and retail distribution. Here are some key elements of their strategy:
- Vertical Integration: The company aims to control the entire value chain of the eyewear industry. By merging Essilor’s expertise in lens manufacturing with Luxottica’s strength in designing frames and owning popular eyewear brands, EssilorLuxottica can offer a comprehensive range of eyewear products.
- Brand Portfolio: EssilorLuxottica owns a diverse portfolio of eyewear brands, including well-known names like Ray-Ban, Oakley, Persol, and Vogue. This allows the company to cater to different market segments and consumer preferences.
- Innovation: As a leader in the industry, EssilorLuxottica focuses on innovation in both lens technology and frame design. The company invests in research and development to bring new and advanced products to the market, with a particular emphasis on improving vision quality and addressing specific eye care needs.
- Retail Presence: EssilorLuxottica has a significant retail presence through its own stores and partnerships with other retailers. This includes optical retail chains like LensCrafters and Sunglass Hut. This retail strategy enables the company to directly reach consumers and showcase its diverse range of eyewear products.
- Global Reach: The company has a strong global presence, allowing it to tap into various markets and demographics. This global reach is crucial for expanding its customer base and adapting to regional preferences and trends.
- Digital Transformation: Like many industries, the eyewear sector is undergoing a digital transformation. EssilorLuxottica invests in digital technologies to enhance the customer experience, whether through online retail channels, virtual try-on tools, or other digital innovations in the eyewear space.
- Corporate Social Responsibility (CSR): EssilorLuxottica places importance on CSR initiatives, including sustainable practices in manufacturing and a commitment to social responsibility. This aligns with the growing consumer demand for socially and environmentally responsible business practices.
ABG specializes in acquiring and revitalizing iconic and well-known brands across various industries, including fashion, sports, entertainment, and lifestyle. The company focuses on building long-term value for its brands through strategic partnerships, licensing agreements, and collaborations.
Some of the notable brands in ABG’s portfolio include Marilyn Monroe, Elvis Presley, Muhammad Ali, Sports Illustrated, Nine West, Forever 21, and many others. The company is known for its ability to breathe new life into established brands, leveraging their heritage and popularity to create diverse and innovative product lines.
Under Jamie Salter’s leadership, Authentic Brands Group has become a major player in the brand licensing and management industry, working with a wide range of partners to extend the reach and appeal of its portfolio of iconic brands.
ABG now owns more than 50 brands, including Juicy Couture, Hervé Léger and Forever 21.
In 2022, ABG bought a majority stake in David Beckham’s brand management company DB Ventures for $269m (£200m) to drive growth in the EMEA and Asia-Pacific regions. ABG opened a European HQ in London. In March, ABG finalised its largest acquisition since 2010, buying Reebok from Adidas for $2.5bn (£2.2bn) and expanded its share in the sportswear market.
It also bought Ted Baker for £211m, turning the premium British lifestyle brand into a privately-owned company. By 2022 ABG generated £20bn in global retail sales annually and has more than 9,100 stores.
Authentic’s brand portfolio now includes Marilyn Monroe®, Elvis Presley®, Muhammad Ali®, Shaquille O’Neal®, David Beckham®, Dr. J®, Greg Norman®, Neil Lane®, Thalia®, Sports Illustrated®, Reebok®, Brooks Brothers®, Barneys New York®, Judith Leiber®, Ted Baker®, Hunter®, Vince®, Hervé Léger®, Hickey Freeman®, Frye®, Nautica®, Juicy Couture®, Vince Camuto®, Lucky Brand®, Aéropostale®, Forever 21®, Nine West®, Rockport®, Eddie Bauer®, Boardriders®, Quiksilver®, Billabong®, Roxy®, DC Shoes®, RVCA®, Element®, VonZipper®, Honolua®, Spyder®, Volcom®, Shark®, Tretorn®, Prince®, Airwalk®, Izod®, Jones New York®, Van Heusen®, Hart Schaffner Marx®, Arrow® and Thomasville®.
It continues to innovate with retail and celebrity brands, not just in terms of product development but physical stores too. Here’s a clip of its recent deal to feature Shein, the Chinese e-commerce giant, within its physical Forever21 stores, and drive footfall to its Simon shopping malls.
Excerpt from Jamie Salter interview with Drapers, January 2024:
Toronto native Jamie Salter launched New York-based conglomerate Authentic, also known as Authentic Brands Group, in 2010.
Authentic’s reach is undeniable. It owns more than 50 global brands and has recently swept up some of the most recognisable businesses in fashion retail including Reebok for $2.1bn (£1.78bn), Ted Baker for £211m, Hunter and the US’s Forever 21, alongside a $200m (£157m) majority stake in David Beckham’s brand management business DB Ventures – Salter counts Beckham, a shareholder in Authentic, as a close friend and business partner.
Despite the tough economic climate, Authentic’s acquisition trail continues in 2024. Last week, Authentic acquired US footwear brand Sperry from Wolverine Worldwide and rumours are circling that it will add Topshop to its roster this year by buying it from a beleaguered Asos.
Authentic licenses the brands it owns by segment. When Authentic buys a fashion business, it breaks it down by category or market and licenses these segments out to different suppliers, which Authentic then collects performance-based royalties from. Salter explains: “When we buy one company it may get broken up into 40 different partners around the world”. It has more than 13,000 franchise stores and 1,600 licensees in total.
The acquisition of Sperry has seen Authentic partner with Aldo Group to run Sperry’s design, production and distribution as well as lead its wholesale, ecommerce and store operations in the US.
Dividing up a business and outsourcing the different functions has been seen by many in the industry as a controversial practice. Outsourcing the Ted Baker business led to 200 redundancies in June 2023. However, the numbers are working for Authentic: global revenue in 2023 at the business was $29bn (£22.7bn) and further expansion is in the works. The business is opening a new head office in central London at the end of January, which will house its UK team of 75, alongside showrooms for its brands.
The new year will see Salter expand Authentic’s existing fashion businesses by introducing new categories, alongside setting his sights on more multi-million pound deals to grow the business. However the conglomerate is not immune to the wider economic environment and Salter expects to see a downturn as consumers continue to be hit with cost of living challenges and rising interest rates.
Salter began his career selling sporting goods and acquired Kemper Snowboards in the late 1980s. He then co-founded snowboard business Ride Inc in 1992 before stepping down in 1996 after taking the company public on tech stock market Nasdaq. Salter then co-founded financial services company Hilco Consumer Capital in 2006, a subsidiary of Hilco Global, before leaving in 2010 and launching Authentic.
Partnerships with fellow fashion retail giants are one way that Salter is growing Authentic. The business is working closely with Chinese fast fashion giant Shein. In August, SPARC group – which is a joint venture between Authentic and major US landlord Simon Property Group, acquired a minority shareholding in the Singapore-based etailer. Shein also acquired a one-third interest in SPARC Group.
Shein is now producing and selling Forever 21 products on its platforms. As part of the deal, Shein customers can return any product brought from the ecommerce to Forever 21 stores. Shein also has a series of permanent shop-in-shops at Forever 21’s 450-strong US store portfolio.
Salter says he watched Shein “very closely” as the business was “really effecting Forever 21”. He explains: “In 2021 [Forever 21] had this amazing year, right after Covid. Then starting in 2022 we saw our sales start to deteriorate and the more I looked into it, the more I saw that Shein was taking market share from us.”
Salter explains that he told Shein it was a “race to the bottom” in terms of pricing architecture, as Chinese competitor Temu began snapping at Shein’s heels. He proposed a partnership, as he said the Forever 21 brand resonated with US consumers far more than Shein, which attracted buyers only through affordable prices: “I said, you have to understand that the reason that people pay a higher price for a product is because that product has a heartbeat.
“If you give a choice to the consumer of Forever 21 or Shein at the exact same price, they will go for Forever 21 every time,” he adds.
The Shein return-to-store strategy began in early January and Salter predicts that it will “start off slow but pick up momentum.”
Meanwhile across the pond, Authentic has its eye on heritage British brands. It acquired Hunter’s IP in June 2023 after it fell into administration and will work with licensee Batra to expand Hunter’s apparel line in 2024. Batra operates Hunter’s production in the UK and Europe with footwear supply business the Marc Fisher Footwear Company at the helm of Hunter’s US operations. Salter adds that apparel “will start out of Europe and then move around the world”.
However having many licensees comes with its own challenges. After buying the struggling Ted Baker business for £211m in 2022, Authentic licensed its UK and European operations to Danish group AARC in 2023. However AARC needed additional capital to bolster its operations, leading Authentic to provided AARC with a short-term loan. In December AARC secured further funding from Secure Trust Bank Commercial Finance (STB CF) and Modella Capital to allow it to grow the Ted Baker business.
The Farfetch fallout has also impacted Authentic. Farfetch narrowly avoided bankruptcy after being plagued by falling revenue and profit, when South Korean retailer Coupang swept in with a last-minute rescue deal on 18 December. In February 2022, Authentic announced that was partnering with New Guard’s Group (NGG), Farfetch’s wholesale and licensing arm, to operate Reebok’s European wholesale operations and ecommerce. Salter says that Reebok accounts for between 30%-40% of NGG’s business and Salter predicts that NGG it will be sold this year, although he says Authentic is not interested in purchasing it.
Growth is on Salter’s agenda for 2024: “Bigger is better, globally is better – this is the company’s mandate,” he states.
Authentic will not confirm its quest for Topshop but Salter says “we’ve got our eyes on a pretty big deal”.
Salter is confident in Authentic’s licensing strategy and says the business is going “to continue to be careful, stick to our global [strategy] and continue to buy brands that stand the test of time”.
And what keeps him up at night?
“I think the economy slowing down is going to hurt us the same as it hurts anybody else. So that’s a good and a bad thing, as it makes things easier on the ‘buy’ side.”
Salter says businesses with debt will suffer with rising interest rates and that “there’s going to be a lot of pressure on big companies to unload some of their prime assets”.
Rains is a Danish outerwear company that was founded by Daniel Brix Hesselager and Philip Lotko in 2012 in Aarhus, Denmark. The brand is known for its stylish and functional rainwear, including waterproof jackets, coats, and accessories. Rains focuses on providing modern and minimalist designs that are not only fashion-forward but also highly practical for rainy weather.
The company takes inspiration from its Scandinavian roots, incorporating clean lines and simplicity into its designs. Rains aims to create rainwear that not only keeps you dry but also looks good, making it suitable for both urban environments and outdoor activities.
Rains’ products are characterized by their use of durable and waterproof materials, ensuring that wearers stay protected from the elements. The brand has expanded its product range to include backpacks, travel bags, and other accessories, all featuring the same commitment to quality and functionality.
Rains has gained international recognition for its contemporary approach to rainwear and has become a popular choice for individuals who value both style and practicality in their outdoor gear. The brand’s headquarters and flagship store are located in Aarhus, Denmark, and they have a global presence with distribution in various countries.
Bad Bunny, whose real name is Benito Antonio Martinez Ocasio, is a Puerto Rican singer, rapper, and songwriter. Born on March 10, 1994, in Vega Baja, Puerto Rico, Bad Bunny rose to prominence in the Latin music scene with his unique blend of reggaeton, Latin trap, and other musical influences.
Bad Bunny gained attention in 2016 when he released music on SoundCloud, and his popularity continued to grow with the release of his debut single “Soy Peor” in 2017. He quickly became a leading figure in the Latin music industry, known for his distinctive style, energetic performances, and collaborations with other prominent artists.
His debut album, “X 100pre,” was released in 2018 and received critical acclaim. Bad Bunny’s music often explores themes of love, heartbreak, and social issues, and he has been praised for pushing the boundaries of traditional Latin music.
In addition to his successful music career, Bad Bunny has ventured into other areas of entertainment. He has made appearances in films, including a role in the 2022 film “Narcos: Mexico.” Bad Bunny has also been involved in fashion, collaborating with brands and making a statement with his bold and eclectic style.
Bad Bunny has become a cultural icon and a trailblazer in the Latin music industry, breaking barriers and gaining recognition on a global scale. His influence extends beyond music, making him a multifaceted and dynamic figure in the world of entertainment.
Whatever he creates becomes a worldwide hit. Over the last three years, he has been Spotify’s most-streamed artist, with 35.9 billion plays. His YouTube channel has attracted more than 32 billion views—more than those of Justin Bieber, Ed Sheeran and, yes, Taylor Swift. He has won three Grammys and 11 Latin Grammys. In April, he made history as the first Latin artist to headline the Coachella music festival.
And he’s done it all while singing solely in Spanish. “Spanish is part of me, it’s in my DNA,” he says. “I like speaking it wherever I go—not to force it on people, but because it’s who I am.”