Wonkblog: What a Swiss watch factory fire tells us about luxury and competition

Over the weekend, something catastrophic happened in Switzerland: A fire gutted a workshop that rust-proofs the component of a wristwatch that literally makes it tick, halting production for an untold number of weeks. And this isn't just any workshop. It's owned by the Swatch Group, which is the biggest supplier of parts for high-end timepieces made by brands like Richemont and LVMH, and a work stoppage could create shortages throughout the industry.