1. Classify the research problem as basic or applied research with reasons.
2. Conceptualize the research problem using a theoretical perspective.

Alternative Modes of Luxury Acquisition as a Solution to Counterfeit Luxury Consumption

Luxury brands have long been criticized for promoting elitism and snobbery. This evokes envy among those who cannot afford the genuine brands (Sung & Phau, 2018). Consumers often justify counterfeit purchases by invoking exorbitant prices and moral fight against luxury brands (Poddar et al., 2012). Counterfeiting is thus seen as a market reaction aimed at bridging material imbalances in the society (Mcdonald & Roberts, 1994) by making expensive brands affordable to the masses (Ang et al., 2001). These hostile feelings could be in a substantial part attributed to the availability of luxury as a first-hand choice only through a purchase-to-own transaction (Chandon, Laurent, & Valette-Florence, 2017). As many consumers lack the resources to buy the first-hand luxury, in the absence of sustainable modes of acquisition, consumers resort to counterfeits as affordable substitutes (Yoo & Lee, 2009). Luxury brands must, therefore, endeavor to offer sustainable modes of acquiring luxury goods, which not only can co-create value for key stakeholders but also increase the life-cycle of luxury goods (Pantano & Stylos, 2020).

The phenomenon of sustainable consumption is tied to the disposing and the acquisition of used products (Turunen & Leipmaa-Leskinen, 2015). Consumers may choose to donate the used product or unlock its financial value through sale or renting. These alternative modes of disposal create new avenues of consumption for those who cannot afford to buy genuine luxury. Two alternative consumption means are stated to shape luxury future - second-hand luxury (Turunen, Cervellon, & Carey, 2020) and renting of luxury (Pantano & Stylos, 2020).

It is argued that in the absence of second-hand luxury, consumers would have rarely turned to luxury brands (Turunen & Leipmaa-Leskinen, 2015), just as counterfeit buyers would have rarely bought the genuine brand (Nia & Zaichkowsky, 2000). Like counterfeit products, financial motives remain important predictors of buying second-hand luxury products (Cervellon, Carey, & Harms, 2012). Many consumers find second-hand luxury goods as a real deal as well as a sustainable consumption choice (Turunen & Leipmaa-Leskinen,

2015).

These findings provide the evidence of the common profiling of second-hand and counterfeit buyers. We draw on economic and Robin Hood perspectives to argue that sustainable modes of acquiring luxury can provide economic as well as social incentives to counterfeit buyers. Because counterfeit buyers are driven by economic motives (Wee et al., 1995), and are likely to engage in prosocial behavior to restore their self-image (Chen et al., 2017), the consumption of sustainable luxury is seen as a contribution to personal as well as social welfare. Therefore, luxury brands must explore the potential contribution of sustainable consumption choices towards fighting counterfeiting. However, much research needs to be conducted to assess the consumers' preference towards second-hand luxury over counterfeit luxury.

Future research must investigate the extent to which sustainable modes of luxury acquisition can translate into a favorable corporate image. Assuming that counterfeits will continue to have a price advantage over second-hand luxury, researchers need to examine whether sustainable modes of acquiring luxury provide strong enough reason for consumers to disregard the financial incentives of counterfeits.

British luxury major Burberry, led the luxury marketplace by example, when it announced its partnership with the luxury consignment marketplace The RealReal in 2019 for selling its second-hand luxury products. The partnership, which is based on the value co-creation perspective, is aimed at encouraging Burberry consumers to sell their used items on the online

marketplace. In a bid to lure shoppers to Burberry stores, the company offers exclusive in-store shopping experience to consumers who buy consigned items online. The partnership not only provides consumers a wider range of options to fill their wardrobe but also increases the life cycle of Burberry products. The move is expected to help the brand earn some credibility on its sustainability goals. It is expected that consumers are likely to find personal as well as social incentives in selling and buying Burberry's second-hand products (Bauck, 2019).