Essay On Luxury In China

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The modern day Chinese society has revolutionized the luxury industry as the Chinese consumer is receptive to luxury brands unlike any other consumer in the world. As a society that is fueled by Urbanization, with a myriad of cities that are economic centers of the world, China is now a country that has made great strides through industrialization to become an influential leader with purchasing power that transcends beyond gender and age as younger consumers are aspiring for luxury products, in which companies worldwide are marketing their luxury products in order to appeal to the Chinese consumer who is enamored by quality despite cost. Beyond the depths of Communism, and governmental control the modern Chinese consumer has accessibility to earn higher incomes, provide for their families, enjoy leisure and have amenities that were once rare in a country that was once rural land. Now, with technological advancements and modernization of cities the Chinese consumer is able to live a lifestyle of luxury unlike the past, where luxury was once only possessed by those who were rich. Through strong family structures, and high educational standards, the middle class in China has gained strength in order to aspire for an improved lifestyle. China is now the forerunner in the luxury sector with a society that is fueled by productivity, with a growing economy, an increasing population, and a demand for luxury products as those who were not able to attain wealth once before have gained access that was once rarity in the past. According to the World Luxury Association, China is the world’s second largest luxury market only surpassed by Japan. With 1.3 billion consumers and double-digit growth rates, Chinese consumers were responsible for 1... ... middle of paper ... ...s to the finer things. Niche markets have to be determined in order to reach the Chinese consumer who is unafraid to purchase goods that appeal to the senses, covey status, wealth and higher quality. According to the Best of the Best Hurun Report, Luxury brands such as Giorgio Armani, Louis Vuitton, Boss, Dunhill, Hermes, Prada, Zenga and Chanel are amongst top favorites for the Chinese consumers in China. Also Jewelry brands such as Cartier, Piaget, Tiffany, Bulgari, Dior and Van Cleef & Arpels have gained market share in China as well as the Chinese are well aware of these brands than ever before (Chadha, 2006). In China the key consumers are the 700,000 households with assets of more than 1 million dollars. Although the 700,000 households are just 0.2 percent of all households in the country, they control over 48 percent of its wealth (Silverstein,2012).

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