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Understanding luxury consumption in China: Consumer perceptions of best-known brands

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  • Zhan, Lingjing
  • He, Yanqun

Abstract

This study investigates the underlying motivations for luxury consumption among Chinese middle-class consumers by testing the relationships between psychological traits and attitudes toward the best-known luxury brands. The study examines three psychological traits that make Chinese consumers unique compared to their global peers: value consciousness (VC), susceptibility to normative influence (SNI), and the need for uniqueness (NFU). Results suggest that consumers evaluate the best-known brands more favorably as they become more value conscious, indicating that luxury products are not necessarily extravagant purchases in China. In addition, SNI positively relates to brand attitudes, which suggests that social influence is an important driver for luxury consumption. The relationship between NFU and brand attitudes depends on consumer knowledge. As consumers learn more about different luxury brands, they evaluate the best-known brands more negatively as uniqueness-seeking becomes a more important goal. These findings offer insight into consumer perceptions of luxury brands and provide managerial implications for marketers to build sustainable luxury businesses in China.

Suggested Citation

  • Zhan, Lingjing & He, Yanqun, 2012. "Understanding luxury consumption in China: Consumer perceptions of best-known brands," Journal of Business Research, Elsevier, vol. 65(10), pages 1452-1460.
  • Handle: RePEc:eee:jbrese:v:65:y:2012:i:10:p:1452-1460
    DOI: 10.1016/j.jbusres.2011.10.011
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    References listed on IDEAS

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    Cited by:

    1. repec:eee:jbrese:v:83:y:2018:i:c:p:38-50 is not listed on IDEAS
    2. Park, Judy, 2014. "What women want: Creation of a luxury brand," Business Horizons, Elsevier, vol. 57(2), pages 247-257.
    3. Tiziano Vescovi & Charlotte Pellizzari, 2017. "Europe goes Chinese? The impact of Chinese globetrotters on European luxury shops," Working Papers 06, Department of Management, Università Ca' Foscari Venezia.
    4. repec:eee:jbrese:v:84:y:2018:i:c:p:72-81 is not listed on IDEAS
    5. Cristini, Hélène & Kauppinen-Räisänen, Hannele & Barthod-Prothade, Mireille & Woodside, Arch, 2017. "Toward a general theory of luxury: Advancing from workbench definitions and theoretical transformations," Journal of Business Research, Elsevier, vol. 70(C), pages 101-107.
    6. Francesca Checchinato & Giulia Zanichelli, 2016. "An analysis of factors influencing the online presence in distant countries: the case of italian fashion brands in china," MERCATI E COMPETITIVITÀ, FrancoAngeli Editore, vol. 2016(3), pages 45-67.
    7. repec:spr:soinre:v:132:y:2017:i:1:d:10.1007_s11205-016-1273-x is not listed on IDEAS
    8. Gentina, Elodie & Shrum, L.J. & Lowrey, Tina M., 2016. "Teen attitudes toward luxury fashion brands from a social identity perspective: A cross-cultural study of French and U.S. teenagers," Journal of Business Research, Elsevier, vol. 69(12), pages 5785-5792.
    9. repec:eee:jbrese:v:81:y:2017:i:c:p:192-202 is not listed on IDEAS
    10. Tatjana Mihailovic & Tiziano Vescovi & Andrea Pontiggia, 2017. "The Beauty Ideal in Chinese Luxury Cosmetics: Adaptation Strategies of Western Companies," Working Papers 07, Department of Management, Università Ca' Foscari Venezia.
    11. Park, JungKun & Han, HyoJoo & Park, JooHyung, 2013. "Psychological antecedents and risk on attitudes toward e-customization," Journal of Business Research, Elsevier, vol. 66(12), pages 2552-2559.
    12. Liu, Sindy & Perry, Patsy & Moore, Christopher & Warnaby, Gary, 2016. "The standardization-localization dilemma of brand communications for luxury fashion retailers' internationalization into China," Journal of Business Research, Elsevier, vol. 69(1), pages 357-364.
    13. Ko, Eunju & Megehee, Carol M., 2012. "Fashion marketing of luxury brands: Recent research issues and contributions," Journal of Business Research, Elsevier, vol. 65(10), pages 1395-1398.
    14. repec:eee:jbrese:v:77:y:2017:i:c:p:195-202 is not listed on IDEAS
    15. Wu, Chih-Wen, 2015. "Foreign tourists' intentions in visiting leisure farms," Journal of Business Research, Elsevier, vol. 68(4), pages 757-762.
    16. Yoo, Jungmin & Park, Minjung, 2016. "The effects of e-mass customization on consumer perceived value, satisfaction, and loyalty toward luxury brands," Journal of Business Research, Elsevier, vol. 69(12), pages 5775-5784.
    17. repec:eee:jbrese:v:82:y:2018:i:c:p:281-289 is not listed on IDEAS

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