Sunday, November 14, 2010

Will Gap (the fashion brand) succeed in China?

Contributed by Ying Jiang

According to current opinions the answer seems to be no. The reasons come down to the culture and psychology of Chinese fashion consumers: that they are (1) brand and (2) fashion conscious. Therefore foreign luxury brands or middle-range brands who marketted their products as being high-end in China do well (think LV and Haagen Dazs respectively). Lower price-tiered brands, both foreign and local (think H&M and Metersbonwe respectively), that have successfully projected a forward fashion image, also win consumers. Gap, with a moderately known name but non-too-edgy design with relatively expensive prices, is predicted to have a questionable future in China.

Sources: Chinalawblog, Forbes

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