Νowadays, many luxury fashion companies are looking for growth in the promising Chinese market for luxury consumption. China represents the world‘s second largest luxury market and possesses the world‘s biggest online population. Hence, a great opportunity for growth in China lies ahead and there is strong international academic and business interest in the Chinese market.
This dissertation examines the internationalization process of YOOX Group (an Italy-based luxury fashion e-tailer) in the Chinese luxury fashion market and particularly sheds light on its strategic choices and implications. As such, the dissertation is guided by and aims at answering a key research question: “What would be a viable expansion strategy for YOOX in China?”
The overall contribution of this dissertation is to increase the understanding of entry mode strategies in the retailing industry with a special focus on the internationalization strategy of luxury fashion e-tailers in China. More precisely, this paper defines the factors that influence the entry mode strategy of YOOX Group and examines its viability in the demanding Chinese e-context. Therefore, an exploratory qualitative research design in the style of a case study analysis is adopted. The primary data collection is conducted through a structured Skype interview of YOOX Group‘s China Country Manager. Secondary data are obtained from broader theoretical themes and empirical concerns of the existing literature. To make the data analysis even sounder, certain tools of Strategic Management are used.
The dissertation provides important managerial implications and insightful practical guidance for luxury retailers who want to penetrate the promising, yet diverse and complicated market of the Luxury Dragon.
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