Factory Floor Is a Luxury Priority as Brands Take Control of Production

LONDON — Eager to secure rare know-how — and meet rising consumer demand for responsible, sustainable business practices — Europe’s luxury players are getting a tighter grip on their supply chains. On Tuesday, Manolo Blahnik took a big step closer to its peers by acquiring a top Italian women’s shoe manufacturer, Calzaturificio Re Marcello Srl, securing familiar artisanal talent and shoemaking know-how for its own purposes. The British footwear firm had been working with the family-owned facility since 1990, and said the purchase was part of a broader vision. “In 2016 we initiated a strategy to develop the foundations of Manolo Blahnik, future-proof our supply chain and allow greater freedom for customization and special exclusives,” said Kristina Blahnik, the company’s chief executive officer, adding the Re Marcello transaction was proof of the strategy. “Additionally, as we take on responsibility for the North American market, we are adopting a more dynamic and reactive business model.” Manolo Blahnik is the latest luxury brand to acquire production facilities — and on a day when two investment banks urged investors to focus on manufacturing integration and greater supply-chain transparency, or put their elite reputations in peril. “We see a specific risk in the luxury goods industry sourcing practices that we think investors need to

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