Chief feels upbeat about future

Chinese consumers are increasingly sophisticated. They travel and shop overseas. The domestic market is losing its sheen and an increase in the number of luxury products given as gifts is slowing. Possibly halting.

The LVMH Moet Hennesy-Louis Vuitton Group and Guccio Gucci SpA plan "no-more-new-stores" in China, according to announcements last year. Brands like Prada SpA and Burberry Group Plc failed to meet expansion targets in the country in 2013.

Consulting firm Bain & Co painted a gloomier picture, estimating the growth rate of China's luxury market will stick at 2 percent in 2013, down from 7 percent the previous year and 30 percent in 2011.