What Burberry is doing right that other luxury retailers are not

Source: 
CNBC

While many of these European fashion houses suffered, unable to win market share from more cautious luxury customers, Burberry has been tackling all fronts of its business with full force, from hedging against the euro zone crisis to allocating capital for expansion, and so far investors have been noticing.

For one, the story lies in the weak euro, says Mike Moriarty, Partner at the retail consulting firm A.T. Kearney. As the euro continues to suffer to new lows against the major currencies, including the pound, in which Burberry is denominated, it has helped boost shares of Burberry along with the broader FTSE 100.

On the structural front, a successful merging of tradition and trend has been a successful growth story for Burberry, one which has bode well for Asian consumers. Its iconic check trench coats have been a staple in many closets for decades, and continue to be a must-have item today.

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