Port congestion, factory shutdowns, and labor shortages contributed to a plethora of supply chain issues last year which negatively affected the shoe and apparel industry, among many others. However, with continuing shortages predicted, retailers are preparing themselves to survive in this environment. Stretching inventory, reducing marketing expenditures, sourcing locally, creating alternative products, and using more factories are some of the measures through which retailers expect to meet the consumer demand.
Furthermore, factories are adopting new predictive analytics methods and other technological tools to stay more informed regarding delays, make better real-time decisions, and drive new business models. According to a UBS report, supply chain challenges are expected to ease by mid-2022.
