Re:With IPO Hopes Fading, Square and Box Face Reality Of Com...
by PeterisP on Saturday May 03, 2014 @09:43PM
(#7693031)
Luis Vuitton/Gucci/Prada accessories strictly are NOT commodities by definition.
"marketable item produced to satisfy wants or needs" is a neccessary but not sufficient condition for being called a commodity.
Commodities is a subset of all goods / marketable items - those that have high fungibility and low differentiation. It's not a binary classification, but on "commodity <> not-commodity" scale Luis Vuitton/Gucci/Prada stuff is near the extreme not-commodity end.
Actually, the same wikipedia explains it quite well in the sentences after that first line.
"marketable item produced to satisfy wants or needs" is a neccessary but not sufficient condition for being called a commodity.
Commodities is a subset of all goods / marketable items - those that have high fungibility and low differentiation. It's not a binary classification, but on "commodity <> not-commodity" scale Luis Vuitton/Gucci/Prada stuff is near the extreme not-commodity end.
Actually, the same wikipedia explains it quite well in the sentences after that first line.