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I find it really surprising that their profit margins are so small, considering that the actual physical product is so cheap to produce.
by windsurfer 15y ago
I find it really surprising that their profit margins are so small, considering that the actual physical product is so cheap to produce.
- matsiyatzy 15y agoI would expect a significant part of costs to be rent, as stores typically are in relatively expensive locations. And there's also considerable loss due to unsellable excess inventory, which is what the "fast fashion" business model tries to reduce.