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snoodog  ·  345 days ago  ·  link  ·    ·  parent  ·  post: Americans are spending less and less on clothing.

The bag is cheapish to make maybe 500-1k but the marketing and overhead gets distributed only over 5-10k units maybe less so that can add up quick. Maybe they make 5k profit a bag but they probably end up paying 10k in overhead/R&D/advertising