Week 6 BOC: How Can Jeans Cost $300?

Would you spend $300.00 for a pair of jeans?  My answer is no.  Because all jeans are made of denim, I feel that a pair of jeans that cost $50.00 is just as good as a pair that is 5 times that price.

“Americans bought $13.8 billion of men’s and women’s jeans in the year ended April 30, according to market-research firm NPD Group.  But only about 1% of jeans sold in the U.S. over that year cost more than $50.”  WSJ, How Can Jeans Cost $300? Binkley, Christina  Premium jeans, referring to higher end jeans and designer jeans, are primarily American made, thus part of the appeal.  Many of these premium brands average their prices to be $200 to $400 for a pair of their jeans.  Is it worth it?  In my opinion, you are purchasing the brand more than the actual product.  “A pair of “Sevens,” as some call jeans from Seven For All Mankind, conveys a statement about one’s fashion savoir faire (and income) that less expensive brands don’t.” WSJ, How Can Jeans Cost $300? Binkley, Christina

With all things considered such as workers to make the jeans, buttons, thread, denim, etc. retailers mark up the price 2.2 to 2.6 times the cost of everything previously listed.  The profit made from those mark ups go into the company’s well being and overall success.  With things like shipping, marketing, and running the store, the money is well spent.

“Manufacturers hit a price floor at around $150, mainly because premium denim is manufactured primarily in the U.S., which can’t compete China and other nations with low labor costs.” WSJ, How Can Jeans Cost $300? Binkley, Christina  Knowing what I know now, I can see the reason behind jeans that are a little more pricey.  If jeans were manufactured in China, a pair of $300 jeans could go for $40.  However, I stick by my previous statement in that $300 for a pair of jeans is slightly ridiculous, regardless of where they were made or who stuck their label on the fabric.