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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: LTK007 who wrote (14745)	12/19/2001 11:31:08 PM
From: ajtj99	Read Replies (2) \| Respond to of 99280

Max, there are also a few other reasons for the Japanese consumption of luxury products: -Real estate is expensive Here when you have extra money, often times people will purchase a second home or a vacation house. It is very expensive to do so there. -Lack of Adult Toys Not too many people own boats, dune buggys, snow mobiles, 4-wheelers, personal watercraft, boats, etc. Too expensive -Success must be projected with brand names If you are recently successful, a Rolex will get the point across nicely. Many people in other parts of the world are insecure about their place in society. If they don't show off, how will anyone know they are successful? Lexus, Mercedes, Rolex, Armani all seem to help those who feel a bit lacking. -A 2nd or 3rd car is very expensive to have and maintain. Mass tranit is pretty decent in many urban areas. Not having that 2nd or 3rd or 4th car like here frees up extra dough for the Gucci handbags and Gaultier bustiers. -Gifts are part of the business culture Many luxury items are purchased as part of normal business expenses. Some businesses budget 10% for entertainment expenses, and luxury items are part of that. This is a bit over-simplistic, but as I have traveled the world I have seen time and time again that people take comfort in having things that help them secure a place in the proper class. How can you be in the upper class if you are wearing a $20 watch? It doesn't matter that your kid's Mickey Mouse watch keeps better time than the Rolex (ask anyone with a Rolex, and they'll tell you this is true), you bought the best, and that's all that matters.