If the company were to lower prices dramatically, it would risk altering its brand image and positioning. "If you have a brand and you have a certain price positioning, which every brand has, that’s what you are ... You can address some of the pricing issues, but Chanel cannot become [Gap (NYSE: GPS)]. You can change some prices, but you can’t change who you are." Consumers and the outlook for luxury Higher-end consumers are beginning to resurface after taking a hiatus since last fall. Full Article at Motley Fool