Burberry Terminates Licensing Deal with Sanyo Shokai

In June 2015, Burberry terminated its licensing agreement with Sanyo Shokai, a popular Japanese clothing manufacturer and distributor. This is in line with the trend of licensing by luxury brands declining due to the fact that licensing often creates a gap in pricing and brand perceptions between the original products and licensed ones. However, the luxury goods market in Japan remains promising due to increasing tourism and strong economic outlook.