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me room that the customer lives in before. The last but not the least is the potential product. Finding and dig the potential demand are its meanings.
2.3.2. The concrete methods of CK in china
Defining the category of Calvin Klein, it belongs to the specialty goods. CK possesses the unique feature and brand recognition. People who wear or owe it give persons a sense that this man is so rich and so fashionable. Of course, in china CK still plays this kind of role to differentiate the person on it with others. And its brand implication conforms to many Chinese people. Since compared with the rest countries’ people, Chinese show more care and sense to brand. A research conveys that 71% of Chinese consumers view the brand a key factor of trading up. When we talk about the content of Calvin Klein, we know that CK has diverse products. In generally, CK has three main brands. In addition to Calvin Klein Collection, CK Calvin Klein and Calvin Klein jeans, socks, underwear, perfume, pajamas and so on. Each of them represents CK style- the unparalleled manner.
Different from American products, in Chinese markets Calvin Klein prevailingly sell its second line products. Many Chinese CK stores sell primarily the jeans, perfumes and underwear. These second line products provide better chance for Chinese people to buy it. Thus Chinese people not only can afford it, but also can feel good.
There is no doubt that Calvin Klein takes the differentiation tactics. This strategy differs from others. It depends on its form and feature to achieve its value. In order to adjust to the size and mores of Chinese people, Calvin Klein makes allowance for the love of local persons. The suit-cuts are better for the size of the Asia. The fabric material composition will also adapt to the local climate. Though Calvin Klein for a long time requires consistency in keeping brand image, it still compromise to its Asia influence. For instance, while they design the products, they would use the red color symbolizing lucky and apply the silk and cashmere produced by Asia district. Therefore, we can conclude that Calvin Klein’s success is not incidental; it is the result of many careful preparations.
2.4. The price strategy
Price is the element which can bring about revenue. Does the price never change? The answer is not. For the past few years, the practice of making price changes a lot. Different countries and different culture will decide different prices levels. For Chinese consumers, despite the increase income, people still cannot buy such high price goods. Hence Calvin Klein fixes the price in a middle level. And the company should set their prices according to the market level and products demands.
2.4.1. The price situation
Normally, the price of some Calvin Klein products is as follows. For instance, a watch of CK sells in china ￥1400, and its well-known CK one summer is at the price of about ￥500. In addition to these things, its Calvin Klein jeans because of its second line identity sells ￥1300. The faddish sunglasses is sold ￥1000(xugou.com, 2010). It stands to reason that there are also amount of things created by CK selling at china area such as Shanghai, Beijing, Shenzhen and some places else. Nevertheless, the other places’ situation is ultimately different. In Hong Kong and American mainland, the selling price is very high. For example, the watch is sold $2500 averagely; it is because m