Designer Purses, Why so Much?

Alright, a question that I haven't found the answer to yet is 'why are designer purses so much money?' I know they use really great fabrics and have the best people/machines to put them together but why SOOO much money? I would love a Chanel bag but no way am I paying over $1000 for a purse!

Below is a Chanel bag that i love but definitely can not afford.



Luscious black lambskin leather defines the Chanel Ultimate Soft Medium Handbag. Silver hardware and quilted leather are the perfect combination for this mod bag that is nothing short of exquisite. The silver chain shoulder strap has a leather top and there are two side pockets. Contact your nearest Chanel boutique or Chanel retailer via department store to nab this beauty for $1475.

$1475?! You have to be kidding! Oh why, oh why are designer purses and clothing so much money...