The Impact of Digital Technologies on the Development of the Luxury Industry in China

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Abstract

The article examines the features and modern tools of digitalization of the Luxury industry in China. Companies in this industry are actively switching to online sales channels, which have allowed them to overcome the restrictions associated with the COVID-19 pandemic and strengthen their position in the Chinese market. Important factors in the adoption of digital technologies by luxury brands are the younger generation of consumers and government support for digitalization in the country. The article pays special attention to such digital technologies as virtual influencers, artificial intelligence, and social commerce. The opportunities of modern digital technologies for the luxury industry in China are significant, but at the same time, they directly or indirectly determine a number of threats to its development. The promising digital technologies for the Chinese luxury industry considered by the author, allow luxury industry brands to use all touch points with consumers and successfully develop in the Chinese market in the context of digitalization.

About the authors

Elena N. Alexandrova

Kuban State University

Email: al-helen@mail.ru
ORCID iD: 0000-0003-2475-8433
PhD (Economics), Associate Professor, Faculty of Economics, Department of World Economy and Management Krasnodar, Russia

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