Introduction

Figure 7: Dinner at a luxury restaurant, Be fancy fit, 2021 Figure 8: luxury home goods, Pinterest, 2020 Figure 9: Wellness products, Nordic Nest, 2022

Luxury products have an alluring and durable worldwide appeal that helps brands generate compelling functionality and essential aspects such as experiential and symbolic appeals (Goor et al., 2020). It has become increasingly difficult for other industries to ignore the various successes that the fashion luxury business model has created, making it an appealing example of how companies can increase their competitiveness and grow their business with long-term interests. Based on a report by Bain & co, 2021, the global luxury market is forecasted to grow at an annual compound rate of 10% from 2020 to 2025 or from $217 Billion to $340-370 Billion.

While provenance can be a crucial pillar of the fashion luxury business model, this does not mean that the market has to be local or limited (Kapferer, 2012). “international ambition” has been promoted the last years thanks to the new technologies, encouraging other industries to broaden their businesses into the luxury concept.

Furthermore, this paper introduces the influence of the fashion luxury business model on other industries and the factors that led to its success, but also the shifts in consumer adaptations and a new concept created as a consequence of this phenomenon called the new unconventional luxury.

Motivation

This dissertation on the topic of industries imitating fashion business management processes is of great interest for the student derived from a personal interest in management developed through her course. The concept shaped from the student’s studies and personal observation fused into this topic from curiosity transformed into determination to contribute to the industry about the new findings and a view of the future for various industries.

Aim

This study aims to understand and analyze the evolution of various industries approaching fashion business behaviors by analyzing management sources. For this, it is essential to decode the parts and processes that fashion has managed for years to lead to their success and, by any given, been imitated by other industries reconsidering future expectations.

1- Understanding the key characteristics of the fashion luxury business model and why it acts as a leader for other industries.

1. What are the fundamental characteristics of the fashion business model that have made successful the fashion industry?

1.1 How and why is the fashion industry performing as a leader for other industries?

1.2 Is institutionalization a tool for brand differentiation and what other strategies convey them?

2- Analyzing companies marketing investments in forecasting and new consumer value perceptions as a fashion business model adoption.

2. Which terms in the fashion business model are making customers shift in terms of culture, behavior and lifestyles ?

2.1 What is the new consumer’s perception of value and trustworthiness by adopting the fashion business model?

3- Analyzing the conversion from traditional luxury towards the unconventional luxury made for the masses as an optimistic scenario for other industries to perform these practices.

3. What is the evolution of the new unconventional luxury created by the imitation of the fashion luxury business model?

Figure 10: Authentic vintage Cesca chair, Secem, 2021

Objectives and research questions

Research map

Figure 11: Luxurious dinner, Pinterest, 2017