Strategies for the Response of Russian Luxury Clothing Brands to the COVID-19 Pandemic

Luxury products, like services, are sensitive to high-income segments of the population, which means that if the composition of these layers changes, the demand for products will also change. Most often, this is considered from the point of view of growth, when, with an increase in the real income of the population, more people can afford luxury products and services, but this also works the other way around. In 2020, a pandemic came, which greatly reduced the real disposable income of the entire world's population, which naturally reflected a decrease in demand in the luxury segment. In this paper, we will examine how companies were able to take advantage of the current situation and not only survive the active stage of the pandemic, but also increase profitability, which will allow us to review the processes of building marketing strategies within the framework of the pandemic. Moreover, despite the rapidly developing modern conditions, there is a lack of research in the scientific literature on strategies for responding to the pandemic among Russian luxury companies. Special attention will be paid to the luxury clothing market, as pricing and changing preferences among luxury products in this area are the fastest. The aim of the study is to identify the main strategies of the response of Russian luxury clothing brands to the pandemic. The object of the study is considered to be the Russian luxury clothing brands, the subject of the study is the strategies of the reaction of these brands to the pandemic. To achieve this goal, you must complete the following tasks:: 1) Identify approaches to the study of the theory of competitive strategies and their types, as well as establish their relationship with competitive advantages. 2) Provide an overview of crisis definitions, response strategies, and anti-crisis strategies; 3) Identify the boundaries and features of the luxury clothing market, limit the main market trends that companies should rely on when developing strategies; 4) Describe the marketing features of the five largest representatives of the Russian luxury clothing and conduct a SWOT analysis of their activities; 5) Conduct interviews with representatives of selected luxury clothing brands to obtain information about the internal processes of developing response strategies; 6) Compare the results of the interview with the results of the analysis and formulate a conclusion about the commitment of the strategies to the model. The entire study can be divided into two parts: theoretical foundations for building strategies and actions in crisis situations; empirical research of luxury clothing brands through analysis and interviews. The first part is entirely devoted to the development of approaches to the formulation of strategies, types of strategic decision-making, features of crisis situations and response strategies, the relationship of competitive advantage with the development of strategies, as well as with anti-crisis marketing, on the basis of which the main strategy for a company in a crisis is formulated. The second part is an empirical section that uses both primary and secondary information. Conducted interviews with representatives of the brands under study (Sergeenko, Akhmadullina, Laroom, Chapurin, Ruban) allow you to collect information about the strategies and internal changes of the companies from the original source. The use of reports and ready-made studies, as well as other sources of secondary information, allows you to conduct a SWOT analysis, as well as to describe the main practices of each of the brands. By comparing the obtained conclusions, you will be able to form a list of the tools and strategies used, as well as to see whether the real practices correspond to the theoretical ones. As a result, interviews with 5 companies were analyzed, where they talked about strategies to combat the pandemic. It turned out to conclude that the companies under study did not act for short-term purposes, but within the framework of consumer needs and current market conditions. They used reaction strategies and tools to implement them according to the current state of internal and external conditions.