Essay On Luxury Fashion Industry

Introduction

The luxury fashion industry was not still significant until the early 90’s, nowadays, it is a huge market with significant change and competition. A number of strong competitors dominate the luxury fashion market, such as>>>>>>>>>>>>. However, segments in the luxury fashion appeared as a number of brands are trying to satisfy different customer classes such as the upper class, medium class and medium to upper classes. This industry is developing continuously because of the constant change in trends and the increase in demand for luxury fashion in both developing and mature markets. This paper will provide an analysis on the accessible luxury goods industry’s macro environment, it’s 5-forces intensity, its top driving forces, its

The changes in taste of middle class shoppers from affordable luxury items to high class luxury fashion items creates high risks on the affordable fashion industry. However, this aspect could also create opportunities of growth for the industry to rise up to standards expected by these middle class shoppers in targeted markets. Many companies in the luxury goods market look for outsourcing to reduce the costs of manufacturing their goods, however, outsourcing is not well perceived by the public due to the uncertainty regarding the individuals working in these remote locations. Therefore, luxury brands should verify and inform their shoppers of the exact locations and identities of their workers in these locations.

Political issues affecting the affordable and luxurious fashion markets are affected by United States elections. That is because Governor Romney has stated that if he wins the election he will list China as a currency manipulator for the US dollar. If the U.S dollar becomes tied to the Chinese Yen, a stressed relationship may result, or tariffs may be