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    Riina Clare: How Can Luxury Goods Create Civilian Prices?

    2015/2/1 16:10:00 79

    Riina ClareLuxury GoodsCivilian Price

    Many Chinese girls who are squeezed in famous brand shops are not really bulging. There are many overseas students from well-off families, who have earned money from their parents' work or their own work.

    In front of the arrogant salesperson, he carefully inquired about the price and discount of the leather bag.

    Finally pick up the cheapest one, and also fear to see the shop assistant's disdain eyes.

    As a matter of fact, even they themselves know that this discount season product is no longer popular except for the huge Logo.

    I had a long talk with a friend who had done a lot of business in China.

    He said meaningfully: if you are looking for a job in the country, you must remember to come back from Italy one or two Riina Clare designer's RC bag, an advanced watch, even a very high-end folder and pen.

    When you talk with others, take a hand and feel that you are respectable and detail oriented.

    So half of what you want to talk about is safe.

    Italy RC

    Female bag

    The head of the mainland said, "from time to time, a famous brand bag is no longer a way to show off wealth for Chinese people, or even surpass the concept of" competition ". That is the real progress of society. We must make luxury goods a necessity for people to go to work, go to restaurants, shopping malls and social activities.

    Some children are too early to see the domestic customs and workplace cruelty. Distorted social values are more or less forcing some people to share a life attitude that they may not yearn for. This is something we do not want to see.

    In order to advocate the mainstream values, we have reduced the price of luxury goods to the public, and reasonably set the price range acceptable to the people. Whether the real rich two generation has put the display of wealth and enjoying life in front of their studies, or ordinary children need to pave the way for their future with the big Logo brand package, we need to reflect on what values our society will advocate before we criticize them for not doing their job properly.

    So the first step for RC to enter China is not to enter high-end department stores, but to become popular nowadays.

    Electronic Commerce

    Sale.

    Save the middle cost as much as possible so that the general public can also afford it.

    At the same time, we also thought of public interest reduction. In the future, we will pay instalments to the RC handmade women's bags, so that more people can afford them, so that they can have more sufficient time to repay the loans, so that they can realize that.

    Luxury goods

    In fact, it is the accumulation of daily life savings. We should take our RC bags to train young people to understand the sense of financial management.

    Related links:

    Luxury companies are old, multinational companies with hundreds of history. They have experienced the ups and downs of the economy in the past hundred years, and have a very mature exchange rate risk prevention mechanism in their internal management mechanism.

    Because these companies are multinational, they have euro market, dollar market, yen market and RMB market, so they will design a very professional foreign exchange hedging mechanism in their headquarters to avoid the risk of exchange rate.

    The two multinational companies I used to have had such a mechanism, and even in the financial statements of my China region, I could see the profit and loss of this column.

    So from this point of view, we are worried that the price adjustment of luxury goods companies is unnecessary because of the decline in exchange rate.

    Of course, luxury is a fully market-oriented market. Supply and demand is the main price determining factor. When the euro goes down, luxury goods will become cheaper for other market consumers.

    If everyone is in the market, there is a possibility that the price of the brand can be adjusted accordingly.

    But the premise is to think clearly about the brand.

    Who are the consumers of their brands? Europeans themselves? Americans? Japanese? Chinese? Russians? Gulf Arabs? In fact, the answer is long ago. Consumers in emerging markets, like the Chinese and Russians, probably account for less than half of the total, plus the Americans, Japanese and Arabs. The consumption of luxury goods is estimated to be very large, which may not be more than 20% of the consumption in the euro area.

    In this way, luxury brands seem to be "reasonable" in order to avoid exchange rate risks or gain greater profits.

    If Chinese consumers want to take the opportunity to "copy the European luxury goods", they should act quickly. Before and after the Spring Festival, it is estimated that the wily luxury companies are already taking advantage of the price increase.

    However, I personally think that they will certainly be cheaper in raising prices than in the domestic market and in Hongkong.

    In this round of euro decline, luxury Brand Company will have a "life to death" game.

    Who can make good use of the leverage of the euro and take advantage of the exchange rate to seize foreign consumers, especially Chinese consumers, when the consumption of luxury goods is depressed?

    On the contrary, the sluggish sales of luxury goods will cause them to languish for at least 3 years.

    Think about how to make Chinese consumers buy a bag and save two tickets to Europe.

    For brands, I personally think that raising prices must be an unwise option.

    The brand side should make more use of the weakness of the euro to push the winter luxury sales season to a climax and win by "quantity", not to mention the fact that luxury companies actually do not have exchange rate losses (because of the hedging mechanism mentioned above).


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