Segmenting the Chinese Luxury Goods Market | Do My Paper

In an attempt to corner the market with the wealthy elite, every road lead to China. With the populace in key towns estimated at one million individuals, it develops a healthy atmosphere for major corporations to increase the presence. There exists a significant demand for luxurious products in China and with monetary presence to sustain their desires, the requirements are greatly achievable.  It is important for companies to change the mode of product delivery to capture the consumer’s status attributed to the high demand for luxury products. The market is split into three classifications pertaining to the financially elite. They include super elite, the newly rich and high-ranking government officials. The recognition of the subdivisions lets corporations to customize their product presentation to suit every level of the wealthy elite.

Various segments of Chinese luxury consumers and customers

As indicated earlier, the wealthy categories are split into the following classification. They include the super elite, the newly rich and high-ranking government officials. Foremost, regarding the super elite, this class of individuals have been segmented as the tremendously rich persons in the state. They mostly initiated the business when Beijing, which is one of the major towns in the nation, established economic reform strategies in the 1980’s. Members of the super-elite class are perceived as educated, influential and highly-regarded. Regarding the newly rich, the members of this category are considered to originate from rural regions and lack college education. Their attempts to increase their understanding is based on self-learning and pursuing openings in major towns. This shopping habits of this category are considered to be selectively premeditated. Moreover, they opt to remain in regions and make use of local resources. Regarding high-ranking government officials, they account for 50% of the luxurious gift sales (Keegan, & Green, 2017). Also known as tigers, they extend such merchandises as forms of corruption. The expensive items are offered to other individuals during gatherings or occasions from entrepreneurs pursuing contacts from the government.


The government officials comprising of senior officials to bureaucrats in china had attained luxury products in the gift form. Lower level officials offered expensive gifts to bureaucrats to obtain key favours. This led to a surge in the corruption levels in China.  To safeguard their clients, luxury goods firms are subtle. Managers at various stores maintain special accounts and utilize code tags for government administrators. In most cases, the middle men make the purchases rather than the individual presenting the gifts. For instance, a private entrepreneur utilizes his credit card to make the acquisition. The entrepreneur then passes the gift off to a government representative, who later presents it to the final beneficiary. Although, the step taken by President XJ regulated the levels of corruption and reduced the need for luxury brands, the luxury goods brands retorted aptly to proliferate its products sale by presenting middleman to acquire the presents for the government bureaucrats.

Why Parents Want Children to Study in Foreign Nations

Chinese parents are insistent on the best possible training for their kids, and this is one of the key causes for sending the kids to other nations. The fundamental emphasis in China’s system of education is exclusively on the student marks. Parents are contented with China’s simple education that only compliments students through academic accomplishments, but usually ignores personalities and interests. According to Keegan & Green (2017), the most popular region chosen by parents is the University of Southern California, which accommodates approximately more than to 5,480 Chinese students. Parents believe that the experience of residing in a foreign nation with a dynamic labor market is a stroke of luck for their children.

Prospects for Lincoln Motor Company’s entry into the Chinese Market

I trust that Lincoln Motor Company is likely to experience a significant level of success in the Chinese market. Lincoln has developed a customer-oriented workshop and administration claim that Lincoln will appeal to rich Chinese clients with a focus on tailored care and support and other resources. After three years since their entry into the Chinese, Lincoln attained a landmark of 100,000 automobiles at the inaugural store in China. The achievement of the firm has resulted in over 100 stores being instituted in China and likelihood of opening more in future. Moreover, Lincoln has incorporated full-size SUV’s to suit the needs of every client as it sustains its growth into a prosperous market in China.




Keegan, W. J. & Green, M. C. (2017). Global Marketing (9th edition). Upper Saddle River NJ: Pearson Prentice Hall

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