Debating the Divide: Should LVMH Consider Splitting Up?

As LVMH continues to dominate the luxury sector, a growing debate emerges among industry experts and investors about the potential benefits of splitting up its vast portfolio. On one hand, proponents argue that spinning off divisions like Moët Hennessy or Sephora could lead to higher valuations and more focused business strategies. On the other hand, critics maintain that LVMH’s strength lies in its conglomerate structure, which enables resource sharing and cross-brand synergies that bolster the group’s competitive edge. With CEO Bernard Arnault expressing a preference for unity, the discussion also touches on succession planning, highlighting the strategic moves shaping the future of the luxury titan.

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