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The price surge at the beginning of the year did not seem to allow luxury goods to get out of the predicament.

Following this year's Coach and TAG Heuer's closure of the flagship store in Hongkong, the world's largest luxury group LVMH's brand Louis Vuitton (hereinafter referred to as LV) has also closed its store in Libai square, Guangzhou.

LV also closed 2 branches in Harbin and Urumqi recently, according to the financial times.

According to media reports, Burberry will also reduce the operating area in Hongkong's Pacific Plaza and close two floors of business areas, with only one business area remaining.

Experts in the industry believe that domestic anti-corruption is the only way to fight corruption.

Luxury goods in China's consumer market have ended the golden years of the past ten years, and some luxury brands are planning to shift their focus from China.

At the same time, luxury brands are trying new sales channels and sales methods, hoping to regain the favor of smarter Chinese consumers.

LVMH recently released the latest report shows that the three quarter of this year revenue grew by 7%, the largest proportion of the LVMH fashion and leather goods sector increased by 3%, the growth rate slowed sharply compared to the two quarter.

Executives at the investor conference call pointed out that the decrease in consumer spending in the mainland made the group's sales growth slower than the first half of the third quarter.

Burberry's recent results show that sales in the first half of September 30th have increased by 1%, with sales in mainland China and Hongkong dropped by about 20% and 5% respectively, while sales in these two regions account for about 1/3 of the world.

According to China's 10 year official report released by the World Luxury Association, as of the end of December 2011, the total annual consumption of China's luxury goods market has reached US $12 billion 600 million (excluding private aircraft, yachts and luxury cars), occupying 28% of the global share. China has become the world's largest consumer of luxury goods.

According to the analysis of Bank Securities Department in Paris, France, when luxury brands are sold in China, the sales of Burberry 1/4 and Prada global 1/5 all come from Chinese consumers.

Swatch group's brand Omega, Harry Winston and Balmain account for 35% of its global sales from mainland China.

And Macao.

But in the past two years, luxury brands are no longer "brilliant" in the Chinese market, influenced by many factors.

According to media reports, Jean-Jacques Guiony, chief financial officer of LVMH, pointed out in a conference call that if there are two stores in China's second tier cities, perhaps one of them will be shut down. Considering the price issue, the company will shift its business focus from mainland China to other regions such as Japan and Europe.

Shen Meng, executive director of Xiang song capital, also pointed out that China's outbound tourists, especially those in Japan and Europe, have increased their luxury purchases in part, which partly offset the purchasing power of luxury goods in China.

Huang Wenjie, a well-known business expert, said that in the past ten years,

Brand has expanded rapidly in China, but since 2013, China's luxury brand market has changed.

According to the "2014 China luxury market report" issued by Bain, China's luxury goods market first appeared negative growth in 2014, down 1% from 2013, and this year was the largest one of the luxury stores.

According to other statistics, the number of new luxury stores in the Chinese market has dropped from 280 in 2012 to around 100 in 2013, compared with 2013.

The 2015 spring report of Bain consulting released the global luxury market monitoring also pointed out that the luxury Asia Pacific market was stagnant in 2015, and luxury income in mainland China decreased by 2%-4%.

Huang Wenjie believes that this round of shutting down of luxury brand stores is not only an adaptive adjustment to the changes of China's consumer market in the past two years, but also helps to concentrate resources, maintain brand image, improve efficiency, reduce inventories, reduce rents and labor, thereby enhancing the business efficiency of stores.