Luxury is different between US and China

When I was in China as a undergraduate student maybe two years ago, I felt Coach was really a luxury brand same as Gucci and Louis Vuitton. But when I went to the United States and first shopped in Outlets, I lost.

In China, most of products of Coach Priced between ¥4,000-¥7,000. But in US Outlets, a Coach handbag just $200. In other side, focused on the salary level of two countries. An ordinary Chinese white color employee got ¥6000 every month, same as an ordinary US white color employee got ($6000). So a handbag priced in $100 dollar in US is not a luxury products. But in China, it is a real luxury product.

I think price is really an important element to define a product’s value….coach1coach2

(Taking from coach.com  &   coach.com.cn)

Advertisements

2 thoughts on “Luxury is different between US and China

  1. Qi Qin–” Exactly ture about Chinese luxury market. The customers income are lower but have to spend higher to buy the so called luxury stuffs in China. And as Chinese customers have to spend more money to purchase, some brands such as Coach, Lancome, or even CLINIQUE can be called as luxury brands in China, let along the real luxury brands Dior, Chanel, Hermes etc. It seems unfair that Chinese gain less but have to pay more. The main reason for this strange phenomenon in China perhaps is that Chinese Customers have unpredictable crazy passion on “luxury” pruducts.” In my mind the market of luxury enjoys decades of bubbles in China.

  2. Actually not only Coach as handbag, some brand in other industry also face similar situation. In Auto industry, a car costs double in China than that in USA. Chinese passion toward luxury brand is one reason, for another, extremely high tax on luxuries also need to be taken into consideration. —Sai,Z

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s