The prices in France are not the same in the rest of the European Union, i.e. Italy. In France it's alot cheaper than say Italy, as I recall. Italy would be priced about the same as say, the US or the UK, but in Euros. The only place in the world where the price is different is in France, b/c LVMH likes to promote their merchandise with a reduced price and couple that with tourism, etc.
It's a "Socialist" thing that France's gov't promotes through its Culture and Finance Ministries. And well, LVMH has always had the tradition of having people come to France to get their stuff there, as opposed to abroad. Good for business, great experience, and it builds customer loyalty, given the environment (Ah...Paris, tu me manques

)
Kinda like how you can buy your Mercedes in Germany for less and have it shipped to the US by the company. The Germans want to promote client solidarity, good business, and tourism all at the same time.
Sorry for the long winded answer
