LVMH’s Arnault opens Bangkok Forbes CEO summit with leadership insights

The 22nd Forbes Global CEO Conference opened in Bangkok on Wednesday with a keynote speech delivered by Bernard Arnault, chairman and CEO of LVMH and one of the world’s wealthiest individuals.

The conference, themed “New Paradigms”, brings together over 400 influential business leaders from around the world. Prime Minister Paetongtarn Shinawatra and her father and former PM Thaksin are due to participate in the conference over the next two days.  

After receiving the “Malcolm S Forbes Lifetime Achievement Award” honouring his lifelong contributions to business, Arnaud laid out the keys to his successful career.

The 75-year-old French tycoon, worth US$208 billion as per Bloomberg, emphasised the importance of entrepreneurial spirit, stating that alongside long-term vision, CEOs must possess the passion to drive, learn, innovate, and persevere daily.

Arnault is nicknamed “The Terminator” for his ruthless takeovers of luxury brands, beginning with Christian Dior and culminating in the 1989 acquisition of LMVH – now the largest company by market capitalisation in Europe.   

In his speech, he revealed how challenges drive him to continuous development and transformation, enabling him to adapt to change and uncover opportunities within it.

Quoting renowned French chemist and microbiologist Louis Pasteur, he said: "Chance favours the prepared mind. Therefore, we must always be ready to seize opportunities."

Arnault shared a formative experience from a 1971 trip to New York with his father shortly after graduating. During a taxi ride, the driver expressed admiration for France, prompting Arnault to ask if he knew the French president’s name. The driver admitted he didn’t but said he was well aware of Christian Dior.

“I often share this story because, in just a few words, it became clear to me how immense the global influence of Christian Dior was. I recognised the potential of luxury goods, and it was at that moment I realised that my success could be rooted in my homeland, France, rather than anywhere else in the world.”

Arnault recounted LVMH’s journey, highlighting perilous times when belt-tightening and courage was required to overcome crises and move forward.

He stressed that family was at the core of the business.

“Our oldest mission is to go as far as we can to ensure long-term prosperity. Stability must always be our focus. One of LVMH’s key advantages is that it remains a family-owned company. My father, an exceptionally skilled engineer, successfully ran a construction business and entrusted me with its management. In turn, I have passed parts of the business to my children so they can continue to grow it. I strongly believe in involving the family in the company.”

That family ethos, he continued, extended to all LVMH employees, regardless of position.

“We are one family, under one roof, making everyone feel like true stakeholders in the company. This sense of belonging is at the heart of LVMH’s success.”

Rather than pursuing short-term profits, Arnault emphasised a mission of sustainable growth focused on effective allocation of resources.

“We often say within our company that profit is merely the outcome of long-term focus. What matters more is designing and developing the most beautiful and highest-quality products, while relying on minimal marketing. I know some may find this surprising, but as a luxury brand, our goal is to create something new that people will love for its uniqueness and special qualities.

“We don’t try to chase what people in the US or China might want. Instead, we trust our team to create products that resonate with people because of their innovation and exceptional quality. That is the essence of our approach,” Arnault explained.