Question

Question 1: Comment on each of the three source attributes that contribute to a celebrity's potential effectiveness as an endorser (credibility, attractiveness, and power) and how the proposed Chinese celebrity measures up in each of those attributes.

Wei Song noticed the fashion models first, preening in their chiffon- and-lace gowns. STEPHEN MASON and JOSEPH SAIVACRUZ are professors of business practice at HKUST Business School. LP. STEVENSON is a manager of competitive intelligence at the Fung Group. This fictionalized case study is inspired by "Battling Giants for China's Luxury Consumer" from the HKUST Thompson Center for Business Case Studies They flanked the entrance to Shanguang Jewelers' flagship store on Nanjing Road. A vintage Eagle roadster was parked nearby; a dozen well- heeled men and women clustered around it. Song could see more people inside the store, sipping champagne. Many were trying on watches. "It's quite an event," Song said to his colleague, Pearl Zhang, who was standing next to him, across the street. "Yes," she replied. "If only it were ours." Song was a director at Rochat & Schmid, a 100-year-old Swiss maker of luxury timepieces, overseeing Greater China from his base in Shanghai. Pearl, his VP of marketing, had learned that their rival Berlinger was launching a line of gem-accented watches, which would be sold through Shanguang, China's biggest jewelry retailer. She'd persuaded him to do a bit of intelligence gathering with her. "I told you they'd make a splash," Pearl said. "Couture clothes, a classic car, and watches with your choice of diamonds, emeralds, or rubies around the face. Look at the customers--they're loving it. You asked what we could do to boost sales? The answer is something like this." "Well, unlike Berlinger, we're not owned by a conglomerate that has a fashion line, a winemaker, and a car company." Song replied, "Besides, we don't do diamond-encrusted anything. Berlinger's brand is splashy, so they do splashy promotions. R&S stands for subtle elegance." "And so we're stuck with subtle marketing? In this city? This country?" Pearl gestured toward the neon-lit road, then up at a billboard featuring a Hollywood actress. There has to be some license to adapt to local tastes. Geneva needs to understand that, especially given how much they depend on us to make their yearly numbers." CASE STUDY CLASSROOM NOTES Nason and Salvacruz teach the original case in leadership, negotiation, and marketing courses to highlight the cultural differences between Europe and China and the ferocity with which luxury brands compete for Chinese consumers, who, according to a 2016 Bain study, account for about 30% of worldwide spending in the category. ! Groups such as LVMH, Kering, and Richemont- which have portfolios of 30 to so brands across categories-have come to dominate the luxury industry

Answer 1

To promote brand celebrity endorsement is one of the preferred methods for marketing of luxury or other branded products across the globe. The three important aspects are credibility, attractiveness, and power. Credibility means that celebrity represents Chinese ethos and cultural demand with her personality otherwise people will not give good response in terms of purchase or rating on online sites.

Attractiveness means how a particular celebrity attracts particular segments of customers as well as other customers. For example, If, Serena Williams will make advertising for Chinese brand then people will perceive it as sport related brand or a brand having American dominance. A true brand will use any unrelated name which doesn’t create any such doubts. A good image of celebrity may be attracting huge customers.

Power means how male and their female counterparts taken within the society. It has many other types but people always get influence from gender role. In Chinese marketplace, Male dominance is prevalent hence any brand should utilize celebrity endorsement in the same gender match.