Business Project Title: (Keep it simple, brief and attractive)
How can luxury brands gain more Chinese consumers in the current global market?

Introduction (Research Rational): please explain why it is important to research chosen topic
(100 – 200 words).
Currently, the luxury market is growing very fast, especially in China. Many luxury brands, such
as Hermes, Gucci, Louis Vuitton. Popular products of these brands will be out of stock, and once
many consumers choose a certain brand, they will always choose this brand of products. So, this
article wants to study the current status of the luxury goods market and how luxury brands have
acquired a large number of consumers and continuously improved their brand loyalty side by
side.
Aim and Objectives: please state the overall aim of your proposed research and clearly list 3-4
research objectives (100 words).
The purpose of this research is to dig deeper into the current popularity of luxury brands. How do
they start with their target customers step by step and turn them into customers with high brand
loyalty. How to maintain this trend in the future.

Literature Review: (1000 words)
1. McKinsey released “Annual consumer expenditure on personal luxury goods in China and worldwide
from 2008 to 2025 “in 2019. This statistic compares the annual consumer spending on personal
luxury products in China and the rest of the world in selected years from 2008 to 2018, with
projections up until 2025. This chart shows the trend of the whole luxury market, Give the article an
overall background.
2. McKinsey released “ Share of Chinese luxury consumers interested in multiple types of events hosted
by luxury brands as of January 2019, by generation” in 2019. The chart shows which age groups
luxury brands are most interested in promoting, and which are the ones with the most potential
customers.
3. Loken, B released” Annual Review of Psychology”. This book discusses Consumer psychology:
categorization, inferences, affect, and persuasion.
4. Based on the research by Shin, Eastman, & Mothersbaugh(2017), it is predicted that the luxury
market will maintain dynamic, with 85% of growth fuelled by Millennials. Millennials are more
receptive to social media and the internet, which has led luxury brands to focus their promotion on
social media and the internet. Luxury goods symbolize their social status and taste to a certain extent,
which can push them to a relatively high-end social circle and promote the acquisition of
interpersonal and social resources
5. Solomon, M. R released “Consumer behaviour: international edition.” This document well illustrates
the three attitudes of consumers towards luxury goods.
1. Luxury is a function
2. Luxury is a reward
3. Luxury is indulging
6. “Social media marketing efforts of luxury brands: Influence on brand equity and consumer
behaviour” explain how social media marketing activities influence brand equity creation and
consumers’ behaviour towards a brand.
7. “The Road to Luxury: The Evolution, Markets, and Strategies of Luxury Brand Management” This
book can learn a lot about the market strategy of luxury auction and the current environment of the
luxury market.
8. ” Brand love matters to Millennials: the relevance of mystery, sensuality and intimacy to neo-luxury
brands” Research into positive consumer-brand relationships has investigated brand love from
different perspectives, with a focus on its conceptualization, its measurement, and brand performance.
A great body of research has also identified important predictors of brand love, such as brand image,
brand identification, trust, a sense of community with other brand users, perceived quality,
anthropomorphism, brand uniqueness, and brand prestige
The above literature shows the current status and development trends of the luxury market from the
perspective of luxury brands themselves and consumers. From the age structure, income level, and
cultural level of major luxury consumers, luxury brands can find their own positioning and target brand
and product promotion, such as social netwo