STATUS SYMBOL
When people are celebrating social affluence as reflected by soaring luxury consumption, some caution that the Chinese people's obsession with luxury could indicate blindness and irrationality.
Zhao Zhongxiu, professor of economics at University of International Business and Economics in China, said luxury is about an artistic way of life and there is a rich cultural connotation embedded in each of the luxury brands.
"However, many Chinese consumers who are crazy about luxury actually lack an understanding of it," Zhao said.
At a dinner table in China's east city of Wenzhou, a businessman stocked up on a whole box of Lafite to treat his clients. Over dinner, the 12 bottles of wine, with each of them costing more than 10,000 yuan, were all drank in a blink of an eye.
That is not an uncommon scene in this vibrant coastal city, with many self-made millionaires who would consume the expensive wine the way others drink beer.
The Chinese nouveau riche, who are craving recognition, are simply treating the high-priced luxury products as a status symbol, said Tong Minqiang, general manager of the Hangzhou Mansion, a high-end shopping center in Hangzhou City, east China's Zhejiang Province.
"For some rich people, luxury is nothing about style or taste, it is just a way to flaunt their wealth." Tong said.
There were 1,363 billionaires in China last year, and the number of people worth at least 10 million yuan are no fewer than 875,000, the Global Times reported on Feb.18.
Meanwhile, the market for luxury has extended far beyond China's nouveau riche as ever more white-collar workers are also demonstrating a swelling enthusiasm for luxury.
Some people with meager incomes are even going out of their way to seek designs that have a unique way of burnishing their own heritage.
To white-collar worker Zou Xiaoqing, it is not unusual for her to spend one or two-months salary on a Chanel bag or a pair of Prada shoes.
"I buy those things for myself to celebrate birthdays or to reward myself for achievements at work," said Zou, "Owning those big brands can really make me feel good. I don't think it's vanity, it's just a matter of self expression."
Tong Minqiang said China is still at an immature stage of luxury consumption, as part of the sales boom is being driven by conspicuous consumption.
This stage of immaturity is to continue for the next 10 to 15 years before the Chinese people cultivate a deeper understanding of luxury goods and, hence, adopt a more rational perspective on luxury consumption, Tong added.
When people are celebrating social affluence as reflected by soaring luxury consumption, some caution that the Chinese people's obsession with luxury could indicate blindness and irrationality.
Zhao Zhongxiu, professor of economics at University of International Business and Economics in China, said luxury is about an artistic way of life and there is a rich cultural connotation embedded in each of the luxury brands.
"However, many Chinese consumers who are crazy about luxury actually lack an understanding of it," Zhao said.
At a dinner table in China's east city of Wenzhou, a businessman stocked up on a whole box of Lafite to treat his clients. Over dinner, the 12 bottles of wine, with each of them costing more than 10,000 yuan, were all drank in a blink of an eye.
That is not an uncommon scene in this vibrant coastal city, with many self-made millionaires who would consume the expensive wine the way others drink beer.
The Chinese nouveau riche, who are craving recognition, are simply treating the high-priced luxury products as a status symbol, said Tong Minqiang, general manager of the Hangzhou Mansion, a high-end shopping center in Hangzhou City, east China's Zhejiang Province.
"For some rich people, luxury is nothing about style or taste, it is just a way to flaunt their wealth." Tong said.
There were 1,363 billionaires in China last year, and the number of people worth at least 10 million yuan are no fewer than 875,000, the Global Times reported on Feb.18.
Meanwhile, the market for luxury has extended far beyond China's nouveau riche as ever more white-collar workers are also demonstrating a swelling enthusiasm for luxury.
Some people with meager incomes are even going out of their way to seek designs that have a unique way of burnishing their own heritage.
To white-collar worker Zou Xiaoqing, it is not unusual for her to spend one or two-months salary on a Chanel bag or a pair of Prada shoes.
"I buy those things for myself to celebrate birthdays or to reward myself for achievements at work," said Zou, "Owning those big brands can really make me feel good. I don't think it's vanity, it's just a matter of self expression."
Tong Minqiang said China is still at an immature stage of luxury consumption, as part of the sales boom is being driven by conspicuous consumption.
This stage of immaturity is to continue for the next 10 to 15 years before the Chinese people cultivate a deeper understanding of luxury goods and, hence, adopt a more rational perspective on luxury consumption, Tong added.
