I understand that you like Drake's and I wasn't attacking you.
There is another thread on the go at the moment about a guy that wants to go into the tie business and asked what price he should sell them at, he doesn't realize half the things that he has to factor into that cost.
I am 100% sure that Drake's pays far more in bills and manpower than Hober, London is incredibly expensive, especially where Drake's is located and as I said before Panta and Vanda aren't cheap options either.
(I could be talking rubbish now, but IMHO, luxury brands charge what they do for exclusivity, in certain cases they could cost the same amount to produce as other manufacturers but they charge more to establish their brand as targeting a certain clientele. To call your brand luxury and charge $15 a tie, no-one will take you seriously.)
Edit: If F. Corbera wanted he could transform that "wut?" into a informative post that would blow me out of the water, until he does, I'll take that as a compliment! Thanks!
Absolutely - nothing wrong with this. They simply have a client base and business model which allows them to make maximum profits from smaller quantities of business than others might. Margins are indeed often higher on luxury goods - the buyer is paying for the assurance that they will not encounter others in their social circle with items of an identical nature to theirs. Thus assuring their own superiority.
More markup? So much the better!!!!! After all - it's a small price to pay in order to acheive 'world domination'. (Or something like that.)