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    LVMH Group Also Began To Aim At The Middle East Tyrant Market.

    2015/7/4 19:01:00 54

    LVMH GroupMiddle EastTyrant Market

    In recent years, luxury diversification strategy is more obvious. LVMH group's acquisition of Jade Restaurant Group is only a microcosm of the diversified development of luxury goods market.

    In March 2014, Prada (Prada) announced the acquisition of a 80% stake in Angelo Mackey Ltd., which owns the Milan dessert Mackey pastry.

    It is reported that this "surname" PRADA sweet shop began to provide exquisite cakes and chocolates for Milan people in the Corso Magenta street as early as 1824. Now it has become a landmark store for tourists.

    Prada said in the announcement that the brand will be strengthened strategically in the future. Apart from Milan, it will also enter the international market and develop its brand.

    Burberry, a luxury British brand, has entered into children's clothing, home and bags. It involves multiple product lines in various fields.

    In addition, Hermes has opened a coffee shop with brand branding from architectural style to product details in Seoul, Korea. Chanel has a restaurant called Beige in Tokyo, Japan, and Versace, Bvlgari, Armani and other brands have opened hotels in famous resorts such as Australia's Gold Coast, Bali Island and Dubai.

    Before them, LVMH beat Prada in the bidding and bought a majority stake in Cova, a nearly 200 year old cafe in Milan, Italy.

      

    Cova

    It started in 1817, located between Montgomery Street and St. Andre street in Milan.

    This was once a great musician, Puccini and Verdi, who had never forgotten where to go; the American writer Hemingway once mentioned this place in his masterpiece, farewell to arms.

    Chairman Bernard Arnott (Bernard Arnault) expressed the hope that this Milan brand will enter in the past century.

    overseas market

    Let more young consumers accept it.

    In January 30, 2015, L Capital Asia of LVMH's private equity fund announced the acquisition of a minority stake in Dubai's food retailer Bateel.

    Bateel's main chocolate products are currently operating in 15 countries, including the United Kingdom. In addition, the company operates a coffee chain and bread chain with the same name, while in the main market.

    Middle East

    Bateel has become the most popular local food brand for foreign tourists.

    Ata Atmar, general manager of Bateel, expressed the hope that L Capital Asia will expand outside the Gulf area, and the fund has excellent background and is a good partner.

    LVMH management also said in 2015 that it would not follow the moves of luxury companies such as Chanel recently to flatten the global price gap (raise prices in Europe, and reduce prices in China). LVMH financial controller Jean-Jacques Guiony believes that luxury companies' pursuit of global parity is by no means a wise move, because as a multinational company, there is room for flexibility in dealing with exchange rate fluctuations. LVMH does not want to rush to respond to a steep change in the exchange rate, but hopes to calm down and respond calmly.


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