Louis Vuitton 's Business Model Successful For The Japanese Luxury Market

1419 Words Apr 9th, 2015 null Page
Louis Vuitton
What has made Louis Vuitton’s business model successful in the Japanese luxury market? Louis Vuitton’s success in Japan can best be attributed first to the fact that “Japanese women have a psychological need to own something considered to be beautiful” (Coovert, Kelley and Assoc., 2012). This is coupled with the prestige and exclusivity which the Louis Vuitton brand has been able to convey and maintain throughout the ages. And the fact that their products are perceived to be of the highest craftsmanship and quality possible anywhere has helped to generate and perpetuate the utter mystique and pride in owning a Louis Vuitton hand bag for Japanese luxury shoppers who are affluent enough to afford one. Additionally, Japanese culture is characterized by; rigidity, masculinity, competitiveness and social protocols in which an individual’s self-worth is gaged by possession and display of high dollar brand wares (Coovert, Kelley and Assoc., 2012).
All these factors have historically combined to make Japanese shoppers the highest per capita luxury spenders in the world, with an eye toward quality and products that convey social status for all to see and envy. Louis Vuitton’s ability to excel in this premier luxury market place can be attributed to; its business model which begins with highly skilled and hand crafted products which are made exclusively in France. And are then then sold in Louis Vuitton original shop-in-shop designed destination stores. These are…

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