Skip to main content

Agenda-setting intelligence, analysis and advice for the global fashion community.

The Biggest Mistakes Luxury Brands Make in China

China is the world’s most important luxury market, but key business decisions concerning the country are still taken by Western executives based in Europe, resulting in common and costly mistakes, argue Luca Solca and Jasmine Zhu.

A line of customers outside a luxury store in Chengdu, China. Getty Images.

By

Luca Solca,
Jasmine Zhu

01 November 2021

BoF PROFESSIONAL

For the luxury sector, the Chinese are the most important consumer nation, accounting for about 30 percent of total sales. By 2025, that number is expected to rise to 50 percent, according to Altagamma. However, key business decisions concerning the Chinese market are still often taken by Western executives in Europe.

Please sign in to ensure you can read our agenda-setting intelligence, analysis and advice. Or get in touch at support@businessoffashion.com if you experience difficulties.

In This Article

Topics

China

Series

Luca's Letter

Organisations

© 2026 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from China

On-the-ground intelligence and insights from the world’s largest fashion market.

This Week: What Moncler, Estée Lauder Have to Say About China

This Week: What Moncler, Estée Lauder Have to Say About China

An emerging narrative this earnings season is that China’s troubled fashion market is stabilising. This week’s results will put that theory to the test.

Trump Extends China Truce for 90 Days, Averting Tariff Hike

Trump Extends China Truce for 90 Days, Averting Tariff Hike

Had the truce not been extended through Nov. 10, US tariffs on Chinese goods would have jumped to at least 54% starting on August 12.

Estée Lauder Companies, L’Oréal Suffer as China Duty-Free Spend Continues to Fall

Estée Lauder Companies, L’Oréal Suffer as China Duty-Free Spend Continues to Fall

The once-promising Chinese travel retail market is showing little signs of recovery, causing global beauty giants to reevaluate their strategies and reduce promotions.

Why China’s Gold Jewellers Are the Envy of Global Brands

Why China’s Gold Jewellers Are the Envy of Global Brands

With soaring profits and rapidly expanding store networks, ‘heritage-gold’ jewellery brands like Laopu Gold and Lao Feng Xiang are red-hot in China’s otherwise tepid luxury market.

Latest News & Analysis

Unrivalled, world class journalism across fashion, luxury and beauty industries.

Trump Signs Order to Combat Fraudulent ‘Made in America’ Labels, White House Says

The executive order directs ⁠the FTC chairman to prioritise enforcement of existing laws against sellers and manufacturers who falsely claim products are made in America.

Oil Market Set for Tumultuous Week as Kharg Attack Raises Stakes

Global oil markets face turmoil after a US attack on Iran's main export hub heightened risks to supply across the Middle East.

This Week: The Oscars Bring Red Carpet Season to a Close; Lululemon Adrift

The 98th Academy Awards, and Vanity Fair’s revamped after-party, bring luxury brands’ red-carpet strategies to a crescendo. Plus, Lululemon reports quarterly results with the CEO job still vacant.

The Season That Was: Signals From Fashion’s Front Lines

From the impact of the war in the Middle East to the future of Saks to the Kering conundrum, Imran Amed shares his intel and insight from the trenches of the latest ‘fashion month.’

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

CONNECT WITH US ON

© 2026 The Business of Fashion. All rights reserved. For more information read our , , and .