Lvmh :is china still a new market?

650-750 words

Understand the LVMH business

  • what is its history? (briefly)
  • what kind of business is it?
  • what products does it sell?
  • how many brands does it have? – what are they?
  • how many countries does it operate in? – which ones?
  • how successful is it?
  • how long has it been successful for?
  • is it successful across countries and brands?
  • what is the evidence for success?

Understand the Chinese market

  • How big is the Chinese market for luxury goods?
  • Is this market growing or shrinking?  How quickly and by how much?
  • How does the size and growth of the Chinese market compare with other countries?
  • What factors affect the Chinese market for luxury goods?  (Political, Economic, Social, Technological, Environmental)
  • Is this market stable or volatile?
  • How much competition is there for LVMH in this market?
  • What market share does LVMH have of the Chinese luxury market?  Is this different for different products/brands?  Is market share growing or shrinking/

Understand consumer preferences in the Chinese luxury goods market

  • What kinds of Chinese consumers buy luxury goods? (think about age, gender, income, geography)
  • What kinds of luxury goods are most popular with Chinese consumers?
  • Where do Chinese consumers buy luxury goods?
  • What are Chinese consumers’ reasons for buying luxury goods?
  • Where do Chinese consumers like to get information from about luxury goods?
  • How price sensitive are Chinese consumers when buying luxury goods?
  • How do Chinese consumers of luxury goods differ from consumers from other countries?

Understand the LVMH strategy and business model in China

  • Use your own words to describe the ‘six pillars’ of LVMH’s business model
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