Global luxury giants are encountering significant challenges in China as domestic economic recovery remains sluggish. Once the primary drivers of international luxury spending, Chinese consumers are increasingly pivoting away from high-end Western labels. This shift is fueled by a growing preference for the secondhand market and the rise of competitive local fashion brands. Major retailers, including Louis Vuitton and Galeries Lafayette, have responded to this cooling demand by closing flagship locations and boutiques across mainland China. Industry observers note a fundamental change in consumer behavior, as shoppers move away from the previous trend of conspicuous consumption toward more cost-conscious purchasing habits. This transition forces established international firms to reevaluate their long-term strategies within the Chinese market as they grapple with reduced revenue and changing local priorities.
Source : Hong Kong Free Press
Photo : Hong Kong Free Press
