One of the reasons that Hermes seems to thrive where other luxury brands falter is that the brand has always eschewed 'masstige' -- luxury aimed at the masses. While other brands have expanded and then discounted, Hermes has held on to a fine snobbery that has served it well even in the recession. That strategy isn't set to change. The Financial Times recently talked with Patrick Thomas the CEO of the luxury brand who has said the brand has held off on expanding as fast as they could because they don't want to squander the legacy of the company's history. Thomas refers to it as a "capital sin" to use the image of the company to try and make short term money.

The company has made some accommodations to deal with the growing demand for their products. Over the last 20 years the brand has expanded its cadre of artisans from around 300 to over 2,000 but they still can't keep up with the demand for the popular Birkin bags beloved of celebrities and the wealthy including Victoria Beckham, shown at right. Thomas also cleared up the rumor that Hermes might be investing in jewelry brand Asprey after picking up their London store. Thomas insists that the company was only after the prime real estate, not the company within.

Retail therapy has changed a lot in the past year. The splurge has been replaced by the investment with the bag of the moment being released by the bag to last a lifetime. But is a handbag really a good investment? Lesley M. M. Blume of The Big Money crunches the numbers when it comes purchasing with an eye toward selling later. When it comes to jewelry, unless you are talking about highly collectible pieces or rare stones that possess certain qualities of color and size, you probably aren't going to be able to sell for what you purchased for in a retail store.

And what about the Holy Grail of investment purses, the Hermes Birkin bag? We've seen Birkins make big numbers at auctions and they are hot sellers at consignment stores. Victoria Beckham reportedly owns more than 100 of the hard-to-obtain bags. And the recent book "Bringing Home The Birkin" tells the story of a man who made a living obtaining the hard-to-get bags and then selling them to customers interesting in jumping the famous waiting list.

Blume says that if you bought a bag, one of the more modest models, for around $7,000 in 2007 you could likely resell it at a resale boutique for around $8,300 but you would then have to pay a cut to the shop leaving you with about $6,000. The article doesn't mention that you could sell the way "Bringing Home the Birkin" author Michael Tonello did and put your bag on up for sale online. Tonello used eBay which charges a smaller percentage. You could also try Portero.com but they take a whopping 30 percent of your haul so you'd have to mark up accordingly.

Other bags sell well in some places especially if the bag is vintage and rare but usually nothing beats a Birkin. Calling the bag an investment may be a bit of a stretch since you'd still be better off socking that money away somewhere where it would earn modest and stable interest but the article does make a good point for value. In the long run, whether you are looking with an eye toward resale or not, it is perhaps better to buy one more expensive and high quality item than several of lesser value. This viewpoint provides a bit of retooling the shopping strategy. The quick retail fix, the "must-have-it-now" era has been replaced by mulling, considering, evaluating and then finally purchasing.

The latest in the Hermes collection, the Jypsière (aka the Birkin messenger), was designed by Jean Paul Gaultier, who wore the androgynous shoulder bag down the runway following his Fall 08 show for Hermes. Waiting lists are long in the U.S., where the bag has yet to make an appearance. Eager shoppers have been told the satchel should be stateside by the end of the month.

Slung casually over the back of a wild yak in the fall ad campaign, we hope that acquiring this piece won't be quite so difficult as it looks in the pictures. Though if you must muscle a one-ton beast over a Himalayan mountain pass, best do it with your Hermes saddle and your Jypsière. The Jypsière will be available in multiple colors and leathers. The version seen above retails for $11,365.

Designer Harry Allen crafted his resin cast gold finished piggy bank as part of his series, Reality. And in our current economic climate, everyone wants to look more penny pincher than spendthrift, whether you are truly concerned about your investments or have conscientiously decided to be a happy person just one-Birkin-fewer. With this piece on a shelf somewhere, your frugal side makes its subtle yet cheeky appearance and your charitable side does too: Allen will donate 5% of proceeds to The Humane Society. Available in gold or chrome finish at Moss online for $195.

Hermes Paris has just posted a 12.8% increase in sales for the first half of the year and also announces plans to unveil 15 new or improved retail posts in the coming months. Further proof that what doesn't go out of style is worth investing in, the brisk sales at Hermes are mirrored in the vintage market, as well -- fashionistas hungry for rare silk scarves and enamel bracelets are in constant bidding wars on eBay. (Don't get me started on my recent loss of a safari-themed bangle from the early '80s. Damn you, iris1680!) A nice point of entree to the luxury brand? Perfect-for-summer scent "Un Jardin en Mediterranee," the eau de toilette equivalent of a stroll through Mediterranean gardens. At least until you justify that new Birkin.

3G iPhone, check. Mercedes GLK, check. How to merge the two? Enter a new exclusive "pouch" (more like a Birkin for your cell phone), crafted from white napa leather and glittering in Swarovski crystals to stash your phone. Currently even trickier to come by than an iPhone last Friday, the pouch has been released in a group of just 40 limited editions to be raffled off during this week's Mercedes-Benz Fashion Week Berlin. But they'll come to market in October 2008, along with the GLK, the "compact SUV" (oxymoron, anyone?) that made its stylish debut driving Sex and the City star Kim Cattrall to her first Berlin fashion show.

Lindsay Lohan was leaving Heathrow Airport on Thursday when she noticed that her orange Hermes Birkin bag was missing. The bag itself might have gotten only a moment or two of mourning from the young celebrity, but the theft is now under investigation by Scotland Yard because that bag contained about $1 million worth of jewelry. Lindsay left it on her luggage trolley and must have turned away just long enough for someone to snag it. She is asking for the return her things, but given the value of the items taken, it seems unlikely that the thief will comply.

Update: Looks like someone actually found the bag and turned it in!