Advertising is the principal expense in premium marketing. We are actually buying the ideas implanted in our heads about the product and not the product itself.

The real cost to make shoes

The real cost to make a $70.00 shoe is about $15.00.

Once the brand buys the shoe from the factory, the shoe needs to be shipped. Most shoes are shipped by ocean freight. Ocean freight from China to the USA is about $.50 per pair. A 40-foot shipping container, the size of a semi-truck trailer, holds about 5000 pairs of shoes. 5000 X $.50 = $2500.00

That price will get a shipping container from China to California.

Once the shoe arrives in the USA it must be legally imported. In the case of a leather sneaker, the US government requires an import duty of 8.5% of the F.O.B. price. So, add $1.32 to the cost. Also, add another $.32 for customs and insurance.

Now the shoe is in the warehouse: $15.00 + $.50 + $1.32 + .32 = $17.10

https://www.sneakerfactory.net/2019/05/cost-to-make-a-sneaker/