Motivations of Luxury Clothing Consumption in the U.S. vs. China

Abstract

Current statistics on consumer expenditures show that Chinese consumption of luxury goods have increased dramatically in recent years, now accounting for more than one third of worldwide consumption. Furthermore, Chinese consumers are willing to spend a greater portion of their income on luxury items than the global average. This article investigates differences in luxury consumption motivations between U.S. consumers, Chinese consumers residing in the U.S., and Chinese consumers residing in China. Based upon a synthesis of theories on symbolic consumption, this article explores differences among these three categories of consumers and the effects of cultural factors on their motivations. We found that U.S. consumers are more likely to have symbolic motivations than Chinese consumers, and Chinese consumers are more likely to have instrumental motivation than U.S. consumers. We also found that the greater the materialism, the greater the symbolic motivation to consume luxury clothing for both U.S. and Chinese consumers, and that the greater the hierarchical orientation, the greater the symbolic motivation for U.S. consumers, moreover, the greater the collectivism, the greater instrumental motivation for Chinese consumers. Recommendations are offered to better understand the increasing consumption of luxury clothing by Chinese consumers.