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Opportunity for luxury brands in China

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Author Info

  • Ronald Jean Degen

    ()
    (International School of Management Paris)

Abstract

Given the scale of the Chinese market, international luxury brand to continue or become successful must win in China to continue wining in the rest of the world. Chinese yuppies are driving the demand, buying everything from expensive watches to imported cars. Those that are able to gain and maintain a preferential share of these Chinese affluent consumers will be able to sustain their global image and compete in equal terms with the future emerging Chinese luxury brands. The reason Chinese affluent men and women buy Rolex watches and Louis Vuitton bags are not simply because of the Swiss craftsmanship or French design. Their motivation to buy these luxury brands has its roots in the more complex Confucian values and demand for social recognition, and the growing influence of Western values. For this reason it is important to understand the roots and changes of the culture and values that determine the buying behavior of the modern Chine affluent consumer.

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Bibliographic Info

Paper provided by globADVANTAGE, Polytechnic Institute of Leiria in its series Working Papers with number 31.

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Date of creation: 17 Jun 2009
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Handle: RePEc:pil:wpaper:31

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Web page: http://globadvantage.ipleiria.pt
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Related research

Keywords: Luxury brands in China; China affluent consumer; Chinese yuppies; The Me generation; The young emperor generation;

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Cited by:
  1. Rohm, Andrew J. & Gao, Tao (Tony) & Sultan, Fareena & Pagani, Margherita, 2012. "Brand in the hand: A cross-market investigation of consumer acceptance of mobile marketing," Business Horizons, Elsevier, vol. 55(5), pages 485-493.
  2. Degen, Ronald, 2009. "China?s challenges to future sustainable economic growth and the implications for the United States," Working Papers 45, globADVANTAGE, Polytechnic Institute of Leiria.
  3. Ronald J. Degen, 2010. "The success of luxury brands in Japan and their uncertain future," Working Papers 52, globADVANTAGE, Polytechnic Institute of Leiria.

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