The role of cultural innovation in the success of luxury startups

Abstract

Luxury startups' sensibility to the social and cultural environment is the dimension that in addition to the technical and strategic excellence and pricing strategy ensure the firms' long‐term success. Incorporating a humanities approach and design theory in the study of business challenges leads to articulated solutions. Luxury that is enduring, addresses the customer on a cognitive level and not solely on an emotional or physical one. A response to a startup's cultural context is the key to achieving internal consistency and (external) resonance with the consumers.