Understanding is half the battle

I haven't done my high end shopping yet, but I have done a lot - and I mean a lot - of soul searching. And I realize that regardless of whatever high end shopping I do, if the prices don't make sense, they don't make sense. The shopping will console me that people do spend these ridiculous amounts of money on products, but in the end knowing that people will buy high without knowing why still wouldn't out me in my comfort zone. So I began asking myself why.

The answer came to me in the middle of a phone conversation while I was talking to a potential investor. As I was explaining to him the potential for profit, I gave some rough numbers. Even though I have been working on a business plan, I'm still working on the expenses, I haven't gotten to the profit side yet. As I was explaining it to him, I was explaining the prices of alpacas to myself. Once I did the math, the cost of the alpacas made sense to me:

Alpacas live 15-20 years. Once she reaches breeding age (2), she can have a cria a year until she is 15 or sometimes older. One female can give her owner 13 crias over her lifetime. If a cria sells, for argument sake an average of $3500, this one female has made her owner just over $45,000 over her lifetime. And if she's popping out champions, they sell for higher. Well obviously, if an animal can potentially produce $45,000 or more over her lifetime, she's definitely worth more than I was thinking. And maybe $5 - $10,000 isn't so high afterall.

In the end it's all about perspective. And affordability, of course. But even with this knowledge, one still has to exercise caution because nothing is guaranteed. Anything can happen over the course of those 13 years. But coming to the financial realization does help me feel a lot better about alpaca prices.

Now onto the second half of the battle: end product prices.

*deep sigh* shopaholism + understanding and accepting high end shopping prices. Why doesn't that sound like a marriage made in heaven?