Building Luxury Brands in Emerging Markets

Building Luxury Brands from Emerging Markets

Managing the Global Corporation Professor: Dr. Ashok Som

Chandni JAIN Class of 2012, MBA in International Luxury Brand Management ESSEC Business School

December 2011

Building Luxury Brands from Emerging Markets Managing the Global Corporation

Table of Contents

Abstract

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Introduction: Luxury & Emerging Markets

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India – In its own time and its own way Case examples: Amanresorts, Ananda Resorts, Ganjam, Gitanjali Group, Forest Essentials, Sabyasacchi, Sula Vineyards, Tarun Tahiliani, Taj, Oberoi

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Brazil – The allure of the underdog Case examples: Hotel Unique, Carlos Miele, Daslu, H.Stern, Lenny

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Challenges & Opportunities for Aspiring Luxury Brands in Emerging Markets

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Conclusion: Roadmap toward 2020

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References Exhibit 1: Mapping Context in BRIC Countries Exhibit 2: BRIC: Rich but Poor Exhibit 3: Luxury Brand Leadership Model for Emerging Markets Exhibit 4: Strategies to build luxury brands

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2 MBA in International Luxury Brand Management | ESSEC Business School

Building Luxury Brands from Emerging Markets Managing the Global Corporation

Abstract

Emerging markets are still one of the world's biggest providers of commodities. But manufacturers in emerging markets mostly produce for other companies and the majority of these products are therefore non-branded - in other words, volume products without personalities, values and distinct faces. The largest part of the financial value is still captured by the manufacturers' customers primarily driven by strong marketing and branding programs. What is the evidence for this? There are only a few global brands originating from emerging markets compared to brands galore within almost all industries originating from western companies.

But the time has come to change this somewhat historic and outdated trend.

In the luxury industry, there is a new market trend in BRIC countries, which some...