In the lens of categorization: How ambiguous luxury labels can thrive?
(A2024-119472)

AUTHORS

Xin SONG, Universidad Anahuac Mexico City; Pável Reyes-Mercado, Universidad Anáhuac México

ABSTRACT

Borrowing from categorization theory and elements from the market shaping constructs, this paper aims to offer a conceptual view on how to define, identify, and maintain the frontiers of the luxury category and propose research avenues on how researchers and managers can manage the category to remain competitive in the market. This rethinking is needed in view of the increasingly higher terminology to refer to luxury: masstige, affordable luxury, hyper luxury, luxury for the masses, etc., that blurry market categories and may inadvertently to negative outcomes. After reviewing categorization theory, we advance ways in which the luxury category can be outlined. We also propose a qualitative study design taking sneakers and watches in the seller and reseller sides, to identify categorical differences among a sample of consumers in two of the regions high the highest growth in luxury sales. We expect to find that the dynamics of luxury category is widened and narrowed as well by factors related to consumers and that it is incrementally or disrupted reshaped by firm operations.