Why does Louis Vuitton burn unsold bags?

Louis Vuitton burns unsold bags to maintain exclusivity and to prevent counterfeiters from illegally profiting from the manufacture and sale of unauthorized copies of the company's products. A 2018 Business Insider report suggests that for companies in the fashion industry, taking measures to destroy unsold products has become somewhat of a standard practice, as manufacturers have stated that the process protects intellectual property and prevents counterfeiting.