lol. this makes no sense. internationally traded goods are priced more or less the same.
what makes luxury goods "cheap" in Europe and expensive in other places like US, Asia, and Australia, are 1) the cost of transporting these goods to these countries and 2) the tariffs imposed by these respective countries to imported products.
I think you're using different words/terminologies.
- Shipping costs are expensive, but overall it is a small proportion of the retail cost.
- You mention tariffs which by definition is the duties and/or taxes imposed on certain goods by a country, and this is what I'm referring to in my original post. There are people who
each bring in hundreds of thousands (or even millions!) of designer goods into China without declaring them because the government has allowed for this type of practice to happen since it's not governed. The price of the item now has not had tariffs imposed, and that's why there is a huge business right now in China for those people doing "Dai Gou." The products people purchase in Europe is the "base price," and that's all they pay (then they resell them).
Now if a person is to buy the same item in China through the proper boutiques, it would be the "base price" + Duties + Taxes + Other import fees = Final landed retail price (this is the only price written in China, often without transparency of the exact % of each category). This final price depending on the tariff category can be anywhere between
20 - 300% (eg. Ferrari) more than what the European clients pay which is the "base price" + VAT for most consumer goods (very transparent). Asia has done already a lot to harmonize prices in the official stores and different companies, but China has yet to tackle the beast which is the ungoverned part of trades through individual resellers. Again this is because when people bring in luxury products, they do not declare it which is truly what is unfair and appalling.
I don't mean to devalue your post, but I think a lot of people outside of China have no idea how grey (black?) this reseller market is in China and many people are die-hards who will line up because of so much money they can make when they go back to resell the luxury goods. This doesn't account for everyone, because I believe there are clients who have other incentives as others have mentioned. Whatever is driving them to line up, I see them as honest clients who truly just want a bag for their own and it is unfair that a significant amount of their time and experience is tarnished by resellers.
Aside, those line cutters/sellers I think are a different category of folks who are not buying H products, rather they just want to make some quick money...? I could be wrong, but that's the impression I get.
Just my 2 cents.