The Research Of The Luxury Retailer Decisions Considering Consumer Behaviors

Many luxury goods companies develop the market through the brand extension strategy,in order to get more customers.When buying luxury goods,the customers want the product which they have bought at high prices has the characteristic,and want the vice brand has the high similarity with the main brand.The company AM is the famous luxury clothing enterprise,when operating the product,they ignore the pursuit of the product scarcity and the high similarity of the customers,therefore,they can not lessen the effects of the strategic behaviors of customers,hindering the obtain of maximum profit.To solve the problems of the company AM,this paper make the price-order decision according to the customer behavior characteristics and the correlation of main and vice brands,on the basis of the classical newsboy and the strategy consumption model.Through the analysis of the price-order model,It found that the price and order quantity will be higher,so it is conflict with the rare strategy.In addition,the optimal price and quantity of goods will reduce after considering the pursuit of high similarity,so leading to lower profits.Through the study,It found that the company AM can optimize the price-order model by the corresponding coordination mechanism,so lessening the effects of the strategy behaviors and increasing the profit.To meet the pursuit of scarcity of the consumer,the enterprise can reduce the initial order quantity by the quick replenishment mechanism;To meet the pursuit of high similarity of the customers,the enterprise can enhance the design of the product on the basis of the quick replenishment mechanism,so preventing the negative impact of brand extension.Finally,Analyzing the optimized model,and giving the rational suggestions to the Company AM according to the research conclusion.