Many netizens said that Bernard Arnault became the richest man thanks to the contribution of Chinese consumers and the epidemic.
Unlike last time, Arnott’s status as the richest man is relatively stable this time. The wealth gap between him and Amazon CEO Bezos has widened to US$5.8 billion.
Thanks to the outstanding performance of its luxury goods group LVMH (Louis Moet) during the period (LVMH owns household brands such as LV, Fendi and Givenchy), the company’s stock price It has skyrocketed in the past year, and Bernard Arnault’s wealth has soared by more than US$110 billion (approximately 700 billion yuan) in the past 14 months. In this regard, Jefferies analyst Flavio Cereda said that driven by the “momentum” of Chinese shoppers, LVMH Group’s revenue in the first quarter of 2021 reached $17 billion, an increase from the same period in 2020 32%. In addition, the surge in LV’s stock price is also related to the global fermentation of the new coronavirus last year and the large-scale release of water by central banks of various countries, which led to the rapid expansion of the wealth of high-net-worth individuals around the world, thereby stimulating the consumption of luxury goods.
Therefore, many netizens say that Bernard Arnault can become the richest man thanks to the contribution of Chinese consumers and the epidemic.
At the beginning of 2020, affected by the new coronavirus pneumonia epidemic, major luxury goods stores had to close their doors for most of the time at the beginning of the epidemic, resulting in a decline in the global luxury goods industry in 2020. The overall contraction was about 20%, but luxury brands soon switched to online sales, and sales rose sharply. A report jointly released by the world-renowned consulting firm Bain & Company and the Italian Luxury Industry Association (Altagamma Foundation) shows that global online sales of luxury goods in 2020 almost doubled compared with 2019, accounting for 23% of total luxury goods sales. It is expected that the market share of online sales channels will rise to more than 30% in 2025.
Among them, French Gucci parent company Kering’s online sales increased by 100% year-on-year in the third quarter of 2020, and German high-end clothing company Hugo Boss AG Sales in the third quarter of 2020 increased by 66%.
Bernard Arnault is a monopolistic entrepreneur in the field of luxury goods. He has managed LVMH into a giant with nearly 80 luxury fashion brands. He is even known as ” The wolf in the cashmere sweater.” He led LVMH, which owns luxury fashion brands such as Louis Vuitton and Dior, to successfully survive the difficulties in 2020 and usher in a strong rebound.
Foreign media believe that Bernard Arnault “is not a gambler, but a strategist.” The reason for his success is that he dares to conquer cities and territories in the way of Wall Street. But it also has the usual sense of inheritance of traditional luxury brands.
After completing the acquisition of the century with the American luxury jewelry brand Tiffany in 2020, the jewelry business is becoming a new growth engine for LVMH.
What is particularly intriguing is that the wealth of three wealthy people has experienced astonishing growth during the new crown pandemic, with a total increase of more than 300 billion US dollars. The three people are French fashion tycoon Bernard Arnault, the boss of Louis Vuitton, Jeff Bezos of Amazon, and Elon Musk, the boss of Tesla.
“Forbes” calculated the net worth of the richest people on its 2020 rich list in March 2020 at the height of the market crash. Bezos’ wealth increased by more than 750 More than 100 million US dollars, while the wealth of Musk and Arnault increased by nearly 127 billion US dollars and 111 billion US dollars respectively. Judging from the expansion of the capital market alone, Tesla CEO Musk is still the biggest beneficiary. Since March 2020, Musk’s personal wealth has increased by $165 billion, while Tesla’s stock price has soared 743% in 2020. </p
