LONDON, U.K. - For the first time in its 110-year history, the luxury goods maker Chanel has decided to gather its global business functions and put them under one roof.
According to a report in BBC, Chanel has decided to set up its global headquarters and it has reportedly picked London to set up its office.
Officials heading the luxury goods brand, which is most well-known for its tweed suits, handbags and perfume, said in a statement to BBC, that it "wanted to simplify the structure of the business and London is the most appropriate place to do that for an international company. London is the most central location for our markets, uses the English language and has strong corporate governance standards with its regulatory and legal requirements."
The company, which generated global sales of over 7 billion pounds last year, currently employs over 20,000 people.
According to the report, the decision by Chanel to set up its global base in London comes despite the company having the option of Paris, and New York.
The report quoted Justine Picardie, editor-in-chief of Harpers' Bazaar and Coco Chanel's biographer as hailing the move as a mark of the global powerhouse's confidence in the U.K.'s long-term prospects.
Picardie said that it also moves Chanel closer to one of its fastest-growing customer bases with "spending on luxury goods by affluent London households being only second to Hong Kong, in terms of growth."