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Douglas Hager's avatar

You hope for intelligence and analytical rigor in the Biden Administration? Surely you jest. Just look at this gem from today's Wall Street Journal Editorial Board:

"It’s hard not to chuckle at the Federal Trade Commission’s lawsuit last week seeking to block luxury fashion firms Tapestry and Capri from merging in the name of protecting America’s working class. Perhaps in Chair Lina Khan’s elite circles folks who shop at Jimmy Choo think of themselves as the proletariat.

Like many businesses these days, luxury fashion brands face headwinds from higher interest rates, rent and labor costs. Capri Holdings and Tapestry hope that combining will increase their leverage with advertisers and commercial landlords. Capri owns Versace, Jimmy Choo and Michael Kors. Tapestry owns Kate Spade, Coach and Stuart Weitzman.

They also hope to compete more effectively against European luxury fashion powerhouse LVMH, which boasts Louis Vuitton, Dior, Marc Jacobs and other brands. LVMH had $92.2 billion in revenue last year—nearly eight times more than Capri and Tapestry combined.

No bureaucratic worries. The FTC pulls the old antitrust trick of redefining the luxury market to discover competitive harm. The agency claims the merger will harm competition in the “accessible luxury” and “affordable” handbag market. The agency describes handbags that retail for several hundred dollars as “affordable,” which they may be for antitrust attorneys in Washington. Most middle-class Americans would consider them a genuine luxury."

These clowns are an ongoing joke. Lina Khan, Granholm, Buttigieg...all birds of a feather under their fearless leader.

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Jim's avatar

"They" cannot be this stupid. I hope.

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