Louis Vuitton in Japan: The Magic Touch (Case #15, Notes)
Overview
Louis Vuitton is the most prestigious and successful luxury goods company in the world. Created in 1854 in Paris, it has never ceased to innovate and perfect its business operation to become extremely efficient and a model for the industry. Recognized for its high quality products and renowned design, the company has become the no. 1 luxury brand in Japan where young women are completely obsessed with owning one of Louis Vuitton's items.
Discussion Questions
1. What are the key success factors of LV in Japan?
2. What accounts for the two tiered economy? Why are Japanese consumers (especially women) purchasing luxury goods during economically instable times?
3. What stimulates such a high demand for LV in Japan? What puts Louis Vuitton over its competitors in Japan?
4. Was there any strategy undertaken by LV to enter the Japanese market?
5. What are the challenges facing LV? And how should LV address them?