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INSIDE This Issue
Thanksgiving Reflections page 1
Tips to Make the Best Thanksgiving Turkey How Are Shock Verdicts Affecting the Insurance Industry? page 2 Football, Friendship, and Scholarships Take a Break page 3
How Low-Key Billionaire Bernard Arnault Made His Fortune page 4
How the Wealthiest Man You Don’t Know Made His Fortune The Prestige Brand Success of Bernard Arnault
We live in an age where billionaires are celebrities, with Elon Musk, Jeff Bezos, Bill Gates, and Mark Zuckerberg regularly making headlines. But the man Forbes named the wealthiest person in the world in 2023 has mostly flown under the radar. So, who is Bernard Arnault, and how did he make his money? Today, Arnault is the CEO of French luxury goods conglomerate LVMH, which owns brands like Louis Vuitton, Dom Pérignon, Tiffany & Co., and Dior. But the 74-year-old began his career in real estate when he joined his father’s successful company. He moved to the U.S. to expand his father’s empire but soon returned to France, bringing cutthroat Wall Street tactics with him.
financially. Reports indicate he may have used millions of his father’s money to finance the deal. After the acquisition, Arnault fired over 9,000 workers and sold off most of the company’s smaller labels, retaining only Dior. These strategies quickly earned him the notorious nickname “The Terminator,” but the floundering Dior became profitable again in 1989. His next move was to acquire Louis Vuitton Moët Hennessy, which owned Dior’s prior perfume division. He completed a hostile takeover, which became his go-to strategy. Over the years, he continued buying struggling brands and rebuilding them into luxury goods empires. On top of his business acumen, experts have also credited Arnault with an eye for design and fresh talent. He has successfully brought new ideas into his companies and secured substantial
media buzz. Expanding into Japan and China also proved wise, as Asia is now the company’s biggest market. Arnault appears equally adept at retaining his wealth. His five children have close ties to the business, and the family owns a 48% stake in LVMH, intending to maintain control for the long haul. Others note that Arnault contributes much less to charity than many other billionaires, a move that may have helped his wealth accumulate. Since the Forbes ranking, Elon Musk has reclaimed his title as the world’s richest person, but Arnault sits comfortably in second place. His large portfolio and ruthless business tactics almost guarantee he won’t be strapped for cash soon.
Arnault purchased his first luxury brand, Christian Dior, in 1984 while it was struggling
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