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Is there an element of how much the luxury company is producing designed to counteract
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the levels that the knockoffs are producing? You know to the more you produce of the better product, the more
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people may stay away from the knockoffs. There has always been a race and there right. So if you're the luxury brand
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company obviously that you want to stay ahead of the game and stay ahead of the curve, you want to produce more,
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innovate more and uh so that uh you basically keep the your distance between uh you and the counterfeitters. That's
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always a good strategy. >> How much then does the brand still carry a lot of the weight in this decision
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process? When you think about some of the names out there, Hermes, Versace, etc. those brands you have an
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expectation of of a higher end higher quality product and that brand draws the attention of the consumer.
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>> Well, obviously those brands uh carry a lot of weight and they sell a lot of
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goods and they still command the loyalty of a lot of customers. For Hermats for instance, you could wait for a couple
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years and before you can buy anything that even if you have the money and not only that in fact that uh nowadays that
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they look at your total purchases and before they actually let you buy some of the new products.
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>> What does then this all mean for retail in general having this to a degree I
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guess it's a change of mindset by the luxury brands of being able to produce
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more to be able to fit into the marketplace. Well, I think the luxury brands are constantly innovative. uh
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they want to come up with newer products and better products and of course they also retain some of the classic uh ones
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and uh I think in that particular game obviously that uh the luxury brands and uh and we'll always win and the reason
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is because uh in this society just imagine that without luxury brands the life would be very very and uh I guess
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uh what what would be the word I'm looking for would be very uh boring >> boring awfully boring and also
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colorless. >> Thank you for listening to the ripple effect. We hope you found this episode
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