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    Luxury &Nbsp; Really Want To Keep Distance From China?

    2010/8/25 15:07:00 58

    Luxury Goods

    Beginning in March this year, Lu Qiang, chairman of Shanghai Fu's Industrial Co., Ltd., consciously disclosed his words. He has invested 20 million euros in acquiring a business consulting company in Italy and plans to buy it.

    PRADA

    Shares.

    In a media interview in June, he also said that he had acquired PRADA13% shares in the past two years.

    After the report was published, PRADA's public relations department issued a quick statement to deny it, saying it was a false report without basis.


    PRADA is so quick to respond. Some people say that PRADA is quick to "change its face" after learning that the boss behind the Italy consulting company is Chinese. "To the Chinese, it will make the quality and style worse."

    The reason is that Lu Qiang's idea is not so simple. He thinks too much. After he plans to succeed, he wants to improve the brand: change the strategy of PRADA in the Asian market, and introduce some fashionable and cheaper sub lines.

    Some people also wonder whether we can afford such a luxury brand on the basis of China's existing garment industry development format.


    In our view, if it is pure

    Capital injection

    Behavior does not involve changes in management and management. How can China's capital participation be tried?


    In fact, there are a few cases where Chinese people can not afford to spend money. The reason for PRADA's refusal is perhaps a microcosm of this situation.

    Lu Qiang, chairman of this event, the chairman of Shanghai's rich guest Industries Limited, met with the old German brand Escada, which was in contact with the crisis. It ended up in the end of the failure of takeover. There are two reasons for this: first, the price has not been talked about, and second is the most important reason. The Germans are very stubborn and unwilling to sell the brand to the Chinese.

    Not long ago, such as the rejection of the US Newsweek by the Southern Newspaper Industry, the rejection of Unocal oil company by CNOOC, the rejection of Guangming Food's acquisition of the Australian sugar industry, and the rejection of a Chinese consortium's acquisition of Manchester United club, it seems that the Chinese money is "hot".


    PRADA's quick response seems to be

    Fashion circle

    There is hardly any luxury in the mind which has long been tacit understanding.

    What they are more willing to do is to make money while they go deep into the Chinese market, while deliberately keeping distance with China.

    More importantly, on the one hand, they want to reduce costs, but "made in China" has long been criticized. On the other hand, manufacturers have spoken in an interview, without exception, they all say that China is the most important market.

    This deliberately keeps the distance. With the development of luxury enterprises such as PRADA rejecting the acquisition of Chinese private enterprises, it has touched our excited and sensitive nerves again.

    The development of events gradually broke away from the scope of commercial operation. "PRADA learned that the acquirer was Chinese, and the real time crazily added the share price to stop the Chinese takeover, because the Chinese people would make poor quality style". The language was also exaggerated by the media. At the same time, authoritative media came to several experts to discuss the matter, and the result of the discussion was that if the other party refused to buy, our consumers should refuse to buy.

    But can this really keep Chinese consumers from luxury goods?


    Judging from the appearance of the guests at the opening ceremony of a high-end brand in China recently, Chinese consumers are still soft in the face of luxury goods, and also exposed the mentality of the new rich class in China.

    In the concept of China's new rich class, it is necessary to express its extraordinary taste and identity, such as "Italy origin" and "PRADA" and other luxury brand symbols.

    In fact, Pierre Cardin had been widely talked about when he was quoted as a Chinese enterprise. However, PRADA's rejection of Chinese enterprises has once again made us sensitive. Although sometimes consumers say that tens of thousands of packages are good, they do not prevent their love for these luxury brands and their disregard for domestic products.


    A statistics show that 86% of Chinese customers are reluctant to continue buying or even return because of the word "MadeInChina" on luxury goods.

    Assuming that the acquisition is progressing smoothly, Chinese enterprises, once holding the controlling power of a top brand, can easily remind people of "made in China" and "Chinese design".

    This makes those luxury brands who want to maintain "noble blood" have to be careful to keep distance from Chinese enterprises, which also exacerbates the difficulties of Chinese enterprises heading for luxury goods giants.

    When we protest against PRADA's refusal to buy, should we also have the spirit of introspection? What is the problem of "made in China"?

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