Retailers Limit Purchases of Designer Handbags

For products that are truly in demand, it may seem reasonable to limit the number a customer can buy at one time. But readers of the fine print on the Web sites of luxury retailers like Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman may be surprised to discover that such a policy also now applies to designer handbags, like Prada's latest ruched nylon styles, which cost $1,290, Bottega Veneta's signature woven leather hobos, at $1,490, and the new rectangular Yves Saint Laurent clutch that looks like a poscard addressed to the designer, with a $1,395 stamp.

Due to popular demand, potential shoppers are warned, "a customer may order no more than three units of these items every 30 days." The policy sounds odd, that is because it really doesn't have anything to do with popular demant. Rather, it is the fear that foreign buyers, taking advantage of the severely weakened United States dollar, will hoard the bags, then resell them in Europe or Asia, where the same items in Prada and Gucci stores typically cost 20 to 40 percent more.