Posted
Feb 28 2008, 03:01 PM
by
Anthony Mirhaydari
Recessionary fears have pummeled stocks across the retail sector -- especially those catering to well-heeled females. The fear is that women, who are more likely then men to shop at trendy boutiques, will be forced scale back discretionary purchases of overpriced clothing during economic downtimes. So when the still-unfolding credit debacle first surfaced late last summer, the likes of Liz Claiborne, Talbots, and Ann Taylor nosedived.
All the panic and fear has created a beautiful opportunity to bottom-feed on Limited Brands, one of the world’s largest makers of women’s lingerie, fragrances, and beauty products under the Victoria’s Secret and Bath & Body Works labels. To fully understand why Limited is a great buy, you first need to appreciate the motives behind the purchase of a $50 bra or a $20 pair of underwear.
Nancy Etcoff, the psychologist and author of "Survival of the Prettiest," probably says it best when she argues that "good looks are a woman's most fungible asset, exchangeable for social position, money, even love. But, dependent on a body that ages, it is an asset that a woman uses or loses."
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