Well, this leads to many questions indeed.
Of course, it is a specific sector of the economy which carries a lot of dreams and meanings.
These latter are difficult to give a value to and as long as people are willing to pay, it may gain even more value.
A kind of virtuous circle in a way, from their point of view of course.
As long as there is room for everybody (i.e. different price levels), clients will find what they are looking for.
Nevertheless, I would like to emphasize the technical criteria of the price building: the better a watch is finished, the more time consuming it is , the less volumes are produced, then the higher is the cost.
So, it is interesting to keep our feet on the ground but the luxury goods are made to bring us somwhere else too. Adn this may have a cost depending on where you feel like going.
Cheers Patrick,
Mark