Something to consider is the story of the, at the time, Chairman of Rolex being invited to Wimbledon in an attempt to woo Rolex as a sponsor. I'm sure most have heard the story, but here it goes anyways for anyone who hasn't. The Wimbledon head guy asks him, "how the watch business is." Rolex guy says, "I don't know. I'm not in the watch business" Wimbledon guy then asks, "well, then how's the jewelry business?" Rolex guy says, "I don't know. I'm not in the jewelry business." Wimbledon guy says, "then what business are you in?" Rolex guy says, "the luxury business."
Now, I don't know if the story is true or apocryphal, but my point in bringing it up is that Rolex perceives itself as, first and foremost, a luxury product, not jewelry...not a watchmaker. As such, I don't think it's out of the question that they are trying to position themselves higher up the luxury food chain....more PP and less Omega/IWC. They want it both ways. A million watches a year with pricing and cache closer to the former than the latter.
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