China 's Luxury Brand Shaping And Development

Internationally, luxury is defined as consumer goods, with unique, rare, exotic features, that transcend normal survival and development needs, also known as non-necessities. It has been less than two decades, since China’s luxury consumption market started; however, china is now the second biggest luxury consumption country in the world. Considering the growth rate, China will be the world’s biggest luxury goods consumption market. The quantity of costumes and growth rate of Chinese market has captured eyes all over the world, so far, almost all of the well-known luxury brand stores have been opened in China.China has been world’s top luxury brand consumption country, and with large luxury consumer groups. To some extent, imports of luxury goods can promote domestic industry. It can also create more employment opportunities and social wealth, as well as make contribution to social and economic development. On the other hand, it also brought a negative impact on our own luxury brand development. "Big luxury consumption country" is not equal to "luxury goods producing and exporting country". Chinese company lacks skills to build a semi-luxury or luxury brands. Luxury industry is still on early stages. China needs to reconsider its attitude to luxury brand, and help to complete the transformation form "Big luxury consumption country" to "luxury goods producing and exporting country".This paper analyzes the development history of foreign luxury brands, and look into luxury goods industry development under China’s macro and micro environment. SWOT, PEST analysis model has been established in the process. By exploring the traits and secrets of foreign top luxury brand, Louis Vuitton’s success, this paper fully analyze the well-known Chinese luxury brand, "Shanghai Tang". By stick to the brand positioning, and through careful study of the overall business development strategy, it is possible to finally build exclusive international luxury brands in China. In addition, through research and analysis on China’s luxury market and luxury brands, new ideas has been prompted in this paper about Chinese luxury brand development.