Friday, 28 November 2008

IHT Luxury Conference postponed in India 28/11/08

How quickly things can change. Within 48 hours of our post on the 26th commenting on the increasing foray into India for a number of luxury brands (see: Is India the Luxury Goods White Knight 26/11/08) the terrorist and hostage situation continues to play out in Mumbai.

The International Herald Tribune, had planned their annual luxury conference to take place in New Delhi between 3-4 December, due to the terrorist attacks they announced today it has been postponed and will advise of a new date in early next year.

The early reports coming out of Mumbai of these attacks appears to state that foreign tourists were the target, particularly British and Americans. The terrorist attacks have taken place in two luxury hotels, by all accounts these were coordinated attacks that occurred on Wednesday night 26 November in both the Taj Mahal Palace and Trident Oberoi. According to a report in today's WWD, "News reports said attackers had taken Americans and Britons as hostages, with the number of injured people estimated at 300. The terrorist attacks are sure to have a sobering effect on one of the world’s future growth markets for luxury goods. In recent weeks alone, Hermes and Christian Dior hosted glittering parties to fete their latest retail outposts."

As reported by Wall Street Journal online, "Mumbai's Taj Mahal Palace hotel, the epicenter of the attacks, is the most coveted retail address for luxury goods firms that are tapping into India's growing numbers of wealthy individuals. European brands Louis Vuitton, Bulgari and Fendi all have boutiques in the hotel, which was the target of various explosions, hostage-taking and a fire.

The Oberoi Trident Hotel, which was also hit, houses luxury brands including Salvatore Ferragamo. Some of Ferragamo's employees were being held hostage, the Italian fashion house said."

In an area populated by leading global luxury brands. Is this a warning signal that the wealth and status between rich and poor is becoming ever polarised and these luxury destinations are being targeted to highlight the dichotomy of the situation. A non-approval sign to the capitalist west to stay away?


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Melinda O’Rourke is the founder and Director of MO Luxury, a dynamic, Sydney-based management firm specialising in luxury brands and services. Melinda and her associates at MO work with local and international brands across prestige retail, fashion, fine jewellery, timepieces and specialised services. Melinda is well-connected, well-read, and well-versed in the demands of the luxury market and its client base. Her advice is firmly based in objectivity and ultimately, accountability. Melinda offers constructive counsel and both strategic and creative thinking and is able to draw upon a strong network of specialised talent to compliment the MO Luxury team as needed. Melinda enjoys excellent industry relationships and is regularly quoted in the business and fashion media. Read more about MO Luxury, www.moluxury.com.au