Asia'S First Quarter Sales Slowdown

The sales in the first quarter of the Asian market were slower than that of P. LVMH group expressed the belief that the future development of the Chinese market was mainly focused on quality.

The LVMH group's revenue growth in the first three months of this year dropped to 5.5% from 12% in the fourth quarter of 2012, and its share price fell 3.8% to $165.25 per share last Tuesday. Jean-Jacques Guiony, the group's chief financial officer, said in a statement that it would reduce the number of stores in the Chinese market and focus on high priced luxury goods.

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< p > many analysts expressed dissatisfaction with the performance of LVMH group in the first quarter, resulting in a sales growth rate of only 3%, less than 5% of the market forecast. Guiony said that a large part of the decline in sales growth came from the decline in demand in Asian countries, while sales of Celine, Fendi, Givenchy, Kenzo and other brands in the first quarter were basically flat, with no significant growth trend.

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< p > China's market is mainly influenced by politics. With the upgrading of leadership, the strengthening of anti-corruption crackdown and the rise of RMB to the euro rate, Louis Vuitton sells some goods in the Chinese market, which is 50% higher than that in France.

Guiony also said that although the current sales situation is not ideal, but he is very optimistic about the long-term market trend, stressed that the group will focus on product quality, and make corresponding adjustments in commodity prices, in order to adapt to the development trend of the Chinese market.

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