Effect of recession on U.K. clothing sector Literature review

Effect of recession on U.K. clothing sector - Literature review Example Not only the UK but also the developed countries throughout the world experienced reduction in the outputs (Bell & Blanchflower, 2010). The research paper aims at providing a thought upon the effects of recession on the UK clothing sector. It further tries to investigate the effect of recession on the buyer behaviour within the UK fashion clothing market. Aims of the Study / Research Objective Initially in this paper it has been intended to prove that the recession had really affected the overall UK economy and hence the affect on GDP will be demonstrated in this paper. The main objective of the study has been to understand the effect of the economic recession on buyer behaviour within the UK fashion clothing market. It has also been intended to analyse the impact of recession on the value clothing sector and upon the consumer spending. It will highlight the UK lingerie market and effect of recession on it. ... rature Review Impact of Recession on UK GDP According to Times Online (2009), the GDP can be defined as a measure of the goods and the services that is produced by the country. It also indicates the health of the nation’s economy. It was noted that between the months of October and December which was the final quarter of the year 2008, there was decline in the GDP by 1.5 percent. This figure was worst since the second quarter of 1980. There was a 0.6% decline between July and September of 2008. It was evident in the final quarter of the year 2008 that there was decline in the output in all sectors of the economy except agriculture by 4.6%. Therefore it is evident that because of the recession the GDP of the country was affected (Times Online, 2009). Geroski & Gregg (1997) had revealed in their study that it is believed by the economist and many people that recession are periods of waste and stagnation. The list of failed firms, derelict industrial sites makes it quite hard to believe that recession is part of natural functioning of the economy (Geroski & Gregg, 1997). Direct and Indirect Impact of Recession on the Textile Industry According to Thoburn (2010), there has been direct as well as indirect impact of the recession on the textile and the garments industries of Asia. The author further opines that the output of the non-garment textiles is also growing at a rapid pace and these uses if combined accounts for greater than ‘half of the world’s textile output’. Prior to the increase in Britain’s textile industrial production, the leading player in this sector has been Asia. The data that has been produced by the Eurostat agency of the European Union, the US Office of Textile and Apparel and Japan Customs Online clearly demonstrate the picture of what the