Greater China may represent a significant portion of sales for leading luxury brands Louis Vuitton, Gucci and Bulgari, but Aaron Fischer, regional head of consumer research at CLSA Asia-Pacific Markets, believes Hong Kong-listed retailers are better positioned to capture the mainland’s demand for high-end merchandise.
Fischer identifies Emperor Watch & Jewellery, Sa Sa International, Parkson Retail and L’Occitane as attractive investment opportunities. He highlights that a greater percentage of their earnings are derived from Chinese customers and their mid to high-end product mix offers accessibility to a wider range of consumers, including the country’s burgeoning middle class.
(Source: CNBC)