Abstract

In May 2008, Moet Hennessy Louis Vuitton SA (LVMH) dropped American actor Sharon Stone, the face of Dior, from its China campaign after she suggested that the May 2008 earthquake in China was a result of bad karma, for their alleged mistreatment of Tibet. Stone’s remarks were seen as insensitive and the company immediately disassociated itself from her. Experts said this incident went a long way to show the limitations of celebrity endorsements.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• International marketing
• Cultural and cross-cultural influences
• Cultural sensitivity
• Sales promotion - Celebrity endorsement
• Public relations.

Keywords

Cultural sensitivity, celebrity endorsement, retail, Sharon Stone, Christian Dior, Dior, China earthquake, LVMH Group, karma, China, Beijing Olympics