How Globalization Affects Luxury Goods - 4512 Words

How Globalization Affects Luxury Goods Industry? Andy Warhol, a pioneer in the visual art movement once said: â€Å"Whenever people and civilizations get degenerate and materialistic, they always point at the outward beauty and riches and say that if what they were doing was bad, they wouldn’t being doing so well, being so rich and beautiful† (Warhol, 1975). Throughout history, luxury emerged as early as civilization did. For old Romans, the concept of luxury was a â€Å"disruptive power of desire†. They set up the first laws about luxury: â€Å"how much could be spent on banquets and adornment† (Ward, 2011). Since the rise of Christianity, luxury stared to changed its meaning to be related to lust and sexuality. Until 17th century, perspectives of†¦show more content†¦An increasing economic interdependence of national economies across the world experiences a rapid cross-border movement of goods, service, technology and capital. Luxury goods industry, serve as one of the most competitive indust ry, emerging and developing rapidly all the time. To a great extent, globalization promotes the development of luxury goods industry significantly in spite of the big shock hit by several times of economic crisis. It is hard to imagine that after the financial crisis swept across Europe, many great transitional enterprises had to face collapse and bankrupt while the luxury goods industry become more prosperous. Recently, the French luxury goods group LVMH announced their recent business condition. The volume of the first week in October had incredibly increased by 12% the previous week. The Hermes Corporation also said that in order to meet the increasing number of market demand, it would open 15 branch stores in the latter half of the year. These aroused some fierce debates, the public held a skeptical opinion towards the questions: How can the luxury companies maintain their positions? Why didn’t they strike down by financial crisis? The spread of globalization forms an economic theory—in order to maximize the interests of each country, the interdependence among countries accelerates the flows ofShow MoreRelatedGlobalization Effect on Pakistan1531 Words   |  7 PagesAffect of Globalization on Pakistan The word Globalization refers to â€Å"the growing integration of economies and societies around the world† (World Bank 2010). There has been an increasing amount of connection between various economies and one of the greatest challenges we face is to make this connection a positive one. Globalization certainly has the greatest influence on developing nations around the world. Countries such as India, China and Russia have been positively affected by globalization sinceRead MoreWe Must Be A Citizen Of A Community Essay1279 Words   |  6 Pagesimplications elsewhere. 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