Retail in Asia

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Sales of luxury goods drop as China market dries up

Chinese shoppers are cutting back on designer duds, leather handbags and pricey watches, putting a drag on global sales of luxury goods, which a study forecasts to expand just 2 percent this year.

The analysis released Monday by Bain & Company estimated 2013 luxury sales at EURO217 billion (USD300 billion), up from EURO212 billion (USD288 billion) in 2012. The increase is a fraction of the double-digit growth enjoyed the previous three years.

Sales of luxury goods in China are expected to grow by just 2.5 percent, to 15.3 billion euros, as a result of an anti-corruption crackdown that has slowed gift-giving and a tendency by Chinese tourists to shop abroad, Bain said.

 

(Source: The Epoch Time)