Retail in Asia

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Declining Chinese tourist arrivals may put dent in luxury sales in France after terror attacks

Retail and luxury consumer goods have been in focus following the terror attacks in Paris on 13 November, with analysts predicting a dent in demand due to declining tourism in the French capital.

France is one of the leading luxury markets in world, with people traveling from all over the globe for its world-renowned, extravagant goods. The European nation is home to brands like Dior, Christian Louboutin, Givenchy and Louis Vuitton.

Travel agencies in Chinese cities have been reporting cancellations – in the 50 percent range – of trips to Europe for the last two months of 2015 over the weekend after the attack, as Chinese tourists have become more fearful. Now the French capital is seeing consumers change their flight schedules in the wake of the attacks. The attacks could hurt business for the brands heavily reliant on Paris’ influx of tourists, Stacey Widlitz, president of SW Retail Advisors, told CNBC on Tuesday.

(Source: CNBC)