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Luxury Marketing Louis Vuitton in Japan

Written by Anonymous

Paper category

Term Paper

Subject

Business Administration>General

Year

2020

Abstract

Term Paper: Louis Vuitton is a luxury brand founded in 1854 by a visionary artisan luggage manufacturer. It offers luxury goods such as ready-to-wear, leather products, watches, shoes and jewelry ("Fashion Business", 2020). Since 1987, Louis Vuitton has been part of the Louis Vuitton Moët Hennessy Group, a French conglomerate and company that specializes in luxury goods from about 60 subsidiaries. What is LV's global brand value? Louis Vuitton's operations are based on decades of experience in the luxury goods industry. The value of brand development over the years, it represents today. Operating as a luxury brand requires Louis Vuitton's continuous commitment to its exclusive rights. Luxury customers remain loyal because they want to feel special when wearing the brand's products. Louis Vuitton has many problems with counterfeit and forged LV logos on counterfeit products, which leads to market dilution (Louis Vuitton, 2020). Sustainable fashion is an upward trend in the luxury goods industry. Louis Vuitton represents its sustainability by limiting carbon footprint, reducing waste and protecting natural resources (Feng, 2017). Many of their bags are partially made of leather, which is indistinguishable from real leather products. This represents an excellent product, which is another value of Louis Vuitton. Louis Vuitton has flourished with the excellent quality of its products, breathtaking store design, and store layout and location (Feng, 2017). The brand provides its customers with personalized monogram products to allow customers to accept their original taste. In order to maintain a leading position in the ever-changing fashion industry, Louis Vuitton uses technological innovation and typical styles to keep in touch with customers. While always adapting to the latest trends, Louis Vuitton stays true to its traditions and original patterns containing its luxurious trademarks. What are the unique challenges and opportunities in the Japanese luxury goods market? Currently, Japan has the world's second largest luxury goods market. The luxury goods market collapsed after the financial crisis and the disaster in Tohoku Fukushima, and recently experienced economic recovery, boosting the overall consumption of the Japanese luxury goods market. The crisis severely hit the confidence of Japanese customers. In 2012, spending in the luxury goods market decreased by 1 trillion yen (The Marketing Samurai, 2018). Since then, the market is back on track. A key feature of Japanese luxury customers is their emphasis on personalized expression. Millennials tend to mix different brands with more cautious or unknown brands to express their style. The main place of purchase is a department store, but it has become quite outdated, mainly for the elderly to shop there. They now compete with duty-free shops, independent shops and outlets. What are the advantages and disadvantages of the LV brand in Japan in 2020? Louis Vuitton is the number one luxury brand, as popular and profitable globally as Japan. Its brand and logo are highly recognizable and follow efficient management practices. Louis Vuitton has adapted well to the relationship between Japanese social culture and culture (Watson, 2018). The company has good distribution and influence, with large outlets and shops all over the country, so that everyone can understand its problems widely. This has led to a huge network that can be used as the basis for brand operations. Their products are of high quality and durable, which is very important to Japanese customers. In addition, Louis Vuitton provides free lifetime maintenance, which makes Japanese customers attractive to their products because it meets their expectations of luxury goods. Cooperation with well-known Japanese artists integrates Japanese culture into the essence of the brand and establishes connections with Japanese luxury customers. One of the most famous collaborations is the collaboration with Yayoi Kusama, who is considered one of the most important and influential artists today (Lohmann, 2018). Therefore, innovation is an important part of the Japanese market. One of the biggest advantages of the Japanese market is loyalty. Because Japanese people like high quality, they tend to stick to what they think is good and durable. Since Louis Vuitton can produce its products in Japan at a lower cost, the company can sell its products for less money than usual, which is in line with the price-sensitive mentality of Japanese customers. Because personal treatment is very important to Japanese customers, Louis Vuitton has a skilled workforce that is not only aggressive, but also highly diversified in terms of race, culture, and education. In addition, Louis Vuitton's online performance on social media is very good and customer engagement is high (Williamson, 2018). What advice do you have for LV Japan? In order to ensure that consumers' long-term attachment to LV still exists, Louis Vuitton should only hire experienced personnel. In addition, performance evaluations should be reassessed and tailored to the high level of expertise expected by employees to keep them motivated. Moving on, Louis Vuitton should expand into developing areas to keep abreast of the latest trends, which will be strengthened during the Olympics. The development of technology has brought various advantages to various departments, which not only reduces costs, but also improves efficiency. There are more and more online users, which is why Louis Vuitton should improve its online image. At present, customers prefer to shop in stores, but as society changes, online shopping will become more important in Japan and generate more income through e-commerce (Williamson, 2018). Read Less