LV'S Attack On The Acquisition Of Rival Brand Has Been Criticized.

French luxury goods giant MOET & CHANDON Hennessy -

Bvlgari fans are frustrated.

In March 7th, LV announced that it would spend $3 billion 700 million on Bvlgari, the largest acquisition of LV in nearly 10 years.

In terms of business, this is a win-win deal. The top jewellery and watch area is a short board for LV, which is able to use Bvlgari to compete with Cartire and Tiffany, the best in these fields.

But in the eyes of Bvlgari's fans, the acquisition is very frustrating.

Many fans worry that Bvlgari, which has 127 years of history, will be pipelined and lose its exquisite workshops culture.

A "fan" worried that expensive craftsmen would be expelled.

Huaxing capital CEO package said: "too bad.

Bvlgari's IPO (initial public offering) was made when I was in London, when Bvlgari was really high-end, and the average price of a single product was above $25 thousand.

At that time, we thought that we could have something for Bvlgari as a souvenir when the listing was completed.

As a result, people say, "sorry, investment banks and lawyers are not our target customers."

So I never thought of it today.

LV is a snake.

At present, LV has penetrated into the industry of fashion, leather goods, cosmetics, jewelry, clocks, wine and retail, and has more than 50 luxury brands.

LV led by Arnott was named "snake" by netizens.

The "snake" has been covetous for those who may bring huge profits, and at the same time relentlessly lose profits.

Since 1987, LV has made more than 60 acquisitions and sold 48 companies.

Bvlgari CEOTrapani judged that the big group will become the leading role in the luxury industry.

Most of the famous brands in Europe are developed by workshop family businesses. They are passed down from generation to generation, low-key and elegant, and each brand pays attention to its distinctive characteristics.

The international financial crisis has brought shocks to many such enterprises, and some have not yet been restored.

At this time, mergers and acquisitions of large groups became a trend.

The road of acquisition is uneven.

Many luxury brand fans are clearly reluctant to see the snake buying.

A white-collar worker said he did not want to buy all luxuries in the future called LV.

LV's acquisition is by no means smooth sailing.

France's famous luxury group Hermes has been trying to get rid of LV's ties for many years, demanding Arnott to quit.

However, Arnott, who has always been good at business operation, has quietly increased the shareholding ratio from 17% at the end of last year to more than 20%. He has become the largest independent shareholder of Hermes.

In Arnott's eyes, luxury is nothing more than a business, but in Hermes's view, elegance is a kind of power, and the two way of thinking runs counter to it.

In the industry, Mr. Arnott was thrown out of the board when he opened the board last year.

Arnott's ambition is unstoppable, but the way of luxury acquisition is bound to be rough and bumpy.