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• W2179991932 abstract "EXECUTIVE SUMMARY The Japanese economy is once again alive and well. And one firm riding this wave of prosperity is Chanel. This world famous cosmetics and fashion manufacturer and marketer has enjoyed uncommon success, not only in its native France but also in the international marketplace, especially Japan. What is the formula for their success in this country? This paper explores that very question and provides a potential blueprint for luxury consumer products firms seeking to gain a foothold in Japan. Keywords: Consumer Products, Japan, Marketing Strategy, Competition, Economy INTRODUCTION The huge exhibition halls at the 39th Tokyo Motor Show 2005 were packed with visitors charging the atmosphere with excitement and leaving observers wondering where on earth such crowds came from (Ogura, 2006). Japan today is in the midst of an extended period of economic expansion. The unofficial upswing began in January 2002 and, as of May 2006, has continued for approximately 52 months. At long last it would appear that the Japanese economy is steadily getting back on track (Ota, 2006). Indeed, according to Cameron (2006), it has been 15 years since Japanese consumers were on the march, but their confidence and spending in the past few months has been tangible. Because consumer spending accounts for about 60 percent of Japan's gross domestic product, they propel the world's second biggest economy. Cameron continues by noting that, longer term, there are also good signs. There is employment growth, and even if interest rates rise, as the Bank of Japan is foreshadowing, it will take an unusual shift in consumer sentiment to restrict spending, analysts believe. As previously noted, unemployment is down from 5.5 percent in 2004, to 4 percent in 2005. Hiring of new graduates has begun in earnest. In fact, there is a job waiting for every graduate in the class of '06 (Cameron, 2006). Salaries are also on the rise. All of the above has had a positive effect on consumer spending. In particular, sales of high priced consumer durables such as luxury vehicles and flat panel televisions are recording notable gains (Ichiro, 2006). The real estate market, flat for over a decade, is booming with people buying luxury condos. Inside the shopping arcade of the plush new Marunouchi Building, swarms of shoppers frequent the retail shops, once again reflective of the upturn in consumer confidence. This economic upturn is finally starting to benefit the corporate and household sectors (Kosai, 2006). Toyota as well, is capitalizing on this uptick in consumer confidence and spending. Recently, they launched its Lexus brand in the Japanese market (August 2005). Its dealers are offering an impressive lineup of luxury cars in the 4-7 million yen price range. This is an important milestone for both the economy and consumer confidence as Toyota could have introduced the Lexus line anytime since the early nineties when it was first unveiled in the United States. However, the Japanese economy did not warrant the Lexus introduction until this past year (Ota, 2006). With exquisite timing, a new shopping citadel was opened in Tokyo in February 2006, just as Japanese consumers have begun to stretch their wings. The word mall might be a bit drab for this nine floors of very upscale retail complex at Omotesando Hills in Tokyo. When 70,000 customers arrived on the first day, close watchers of the economy took it as a positive sign. Their instincts were correct. The Japanese economy grew in the last quarter of 2005 at a rate faster than either the U.S. or the E.U. (Cameron, 2006). Economists at the Japan Research Institute, a Tokyo think tank, believe this recovery is sustainable because of continuing consumer demand, business investment and expansion, and a strong trading relationship with China (The Economist, 2005). Also young working women, traditionally Japan's most extravagant shoppers, are reasserting themselves. …" @default.
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• W2179991932 date "2006-01-01" @default.
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• W2179991932 title "We're Going to Shop till We Drop. the Japanese Resurgence for Designer and High Fashion Goods: A Case Study" @default.
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