If you are thinking about opening a retail store that sells designer handbags then I would be very cautious to consider the pros and cons. Retail is a tough business and there are a lot of unknown costs and risks associated. If you have a bit of experience, you may want to consider the wholesale designer handbags business. Although you have to buy in bulk, a wholesaler can get a much better discount from the manufacturer then a retailer can get from a wholesaler. In other words, the person who buys a higher quantity is going to get a better deal because the seller will make up the difference in bulk. For example, if I buy two designer handbags for the price of $150 ($75 each), then I would have to sell those designer handbags for almost twice the price to make money as a retailer. Not only do I have the cost of goods to deal with, but I also have rent, insurance, payroll, etc. But if I buy 100 wholesale designer handbags at $20 each , or $2,000 total, I only have to sell them for maybe $30 each to make a nice profit because I am selling in bulk.

The following is generally how it works in the wholesale business. The manufacturer creates the designer handbag and sells it to the wholesaler. Subsequent to this transaction, the wholesale designer handbags are sold in bulk to the retailers. Each retailer might buy five or six designer handbags for their store. If they sell them relatively quickly then they will likely be calling you to order more.

Remember that the higher up the chain you move away from the manufacturer, the more expensive the designer handbags will be. And the closer your purchase chain is to the manufacturer, the cheaper the designer handbags will be. So if you have a little experience and a small cash flow reserve, you may want to consider the wholesale designer handbags business.