Shanghai Tang Case Study

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Case Study Shanghai Tang: The first Global Chinese Luxury Brand? 1) What is a luxury brand? A luxury brand is a brand that consumer associates it with luxury. Most of its products are luxury goods. It includes brands whose names are associated with luxury, high price, or high quality goods. A luxury brand is associated with sophistication (1 out of 5 brand related dimensions). Brands that are considered upper class and charming, high in sophistication dimension scale: E.g Cartier, Rolex are well- known luxury brands. Mercedes- Benz would be one of the few that consumers will think of a luxury automobile brand. How is it different from a regular, mass market brand? Regular mass market brand do not have…show more content…
It is confusing because what Shanghai Tang initially provided consumers was “Tailored Qipao” which was a traditional dress from China but being a modern society no one wears that anymore except for occasions or customary events. Modern woman felt that the apparels reminded them of their grandmother and that became one of the unfavourable links instead of a modern chic wear which has Chinese culture infused in it. The Brand has a strong personality and uniqueness where it is build around the rich Chinese culture. The brand is rather weak in the sophistication of the products where the company/ brand promises to deliver as it seems like consumers are unable to totally differentiate the quality the brand provides from the cheaper alternatives Chinese trinkets found in Chinatown. Also the brand is weak in the benefits it provides for their consumers as consumers seems to feel that most of the apparels are not practical to wear in the modern society. It is symbolic and experiential strong due to the uniqueness of the brand that is build around the Chinese culture, beauty and mystery. That is why it is appealing to the rich tourists
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