China watching: luxury consumption and its implications

Abstract

This study seeks to understand luxury shopping destinations of Mainland Chinese residents. Using Hong Kong as an example, this study conducted five focus group discussions and identified brand and high prices as proxies of luxury in the Chinese mindset. Findings that motivations for luxury consumption are socially and personally oriented simultaneously indicate that the framework of the self-concept theory is appropriate. However, the development of a luxury shopping destination goes beyond fulfilling the respondents’ social and personal desires for luxury. The halo effects of social movements, such as Occupy Central and anti-parallel trade protests, have immensely mitigated the attractiveness of Hong Kong as a luxury shopping destination.

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