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Shang Xia: The Creation of a Chinese Luxury Lifestyle Brand
The case traces the birth of Shang Xia, a joint venture between the Hermès Group and Chinese designer Jiang Qiong Er. Launched in 2009 in Shanghai, the new brand's core mission is to revive and promote China's 5,000-year-old cultural heritage and leverage Chinese craftsmanship to design contemporary products. Describing the brand evolution over its first eight years of existence, the case allows for an exploration of the challenges associated with creating a luxury brand and reconciling several strategic imperatives: the need to build a strong, desirable, and prestigious brand identity and grow a profitable and sustainable business. The case also provides an opportunity to discuss the benefits and challenges associated with 1) building a luxury brand from scratch and 2) being a luxury brand "made in China" with global ambitions.