Cactus Jack, My point is less of the we are all screwed and more "who do you think you are"...
There is no need to charge such high margins, who remembers when it was cool to pay $50 for a Billabong tshirt? when fashion changed to more basic styles like plain shirts they could not provide any sort of benefit other than the fact that the consumer knew they were wearing a Billabong tshirt.
My point is charge a margin, but don't try and charge a 100% margin... you'll become the Billabong of tomorrow.
Check out their share price...
Billabong International Limited: ASX:BBG quotes & news - Google Finance
Yes there were other factors like large buyouts before 2008 but the fundamentals killed them... too cool for school.