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How much do you think it costs to make a pair of Nike shoes in Asia?

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689 points taubek | 1 comments | 09 Apr 25 12:58 UTC | HN request time: 0s | source
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tmaly ◴[09 Apr 25 15:08 UTC] No.43633014[source]▶
I think the one thing I am not seeing much discussion on is, will the end consumer pay for these $150 sneakers or will they simply switch to lower cost alternative brands?
replies(2): >>43633212 #>>43633728 #
1. bryanlarsen ◴[09 Apr 25 15:27 UTC] No.43633212[source]▶
The assumption in the modelling is that sales will decline proportional to the price increase. IOW, they'll sell 2/3 as many shoes at 150% of the price.

Probably not a great model, but it's simple and a reasonable guess. Remember all the competitors will have price increases too.