I don't think that's true. I worked for a luxury retailer right after 08/09 and I looked at their revenues. They were about even, if not moderately higher. I went to work for another shortly after that, and it was a similar story. Now, net sales may go down, but luxury retailers have a pretty wide latitude in what they sell their products for because they're often artificially controlling inventory (similar to the way Nintendo does). I think that's what really affects the bottom line.

Depends on the luxury level. At the very top the customer base consists of the most recession-proof people in the World. I assume they just carry on with their habits recession or not.

There is a significant population on Planet Earth that are "permahedged" from any material anxieties. Clearly, we are talking about annual consumption trends of $500K per individual, and not in the luxury yacht race. (They likely already have access to one if needed).

This is the market to cater to. The question is: with what truly novel good?