WatchProSite|Market|Digest

Horological Meandering

great questions!

 

You ask:  "Though neither mechanicals nor quartz watches keep perfect time, quartz watches come much closer.  Why, then, do we largely exclude quartz watches from our quest for perfection in the context of luxury goods?

And similarly:  "Why does the close to perfect driver/passenger experience of a Mercedes S-class constitute a luxury, but the close to perfect reliability of a Honda Accord not constitute a luxury?"

To any sociologist, the answer is actually pretty straightforward.  Mechanical watches are valued more than quartz watches because they are much harder to make -- and are therefore more expensive and harder for ordinary people to buy.  The same is true, in essential respects, for the difference between the Mercedes S-class and the Honda Accord.  The very definition of a luxury good is a good that only a few can afford.  Such goods facilitate what Thorstein Veblen called the  "unremitting demonstration of ability to pay." 

Of course, this doesn't mean that there isn't anything wonderful about mechanical watches.  But I suspect we'd value, say, a 5960 much less if the market were suddenly flooded with them and they were selling for $2000 each.

  login to reply