Looming over that entire process is the $189 million payroll benchmark set forth in the recent collective bargaining agreement that the Yankees would like to stay under in order to lower their luxury tax threshold and reap substantial incentive payments.
The owners Joe and Gavin Maloof have never been afraid of spending to improve the Kings, the two-time Pacific Division champions, but even the Maloofs wanted to lower the luxury tax bill they will have to pay after acquiring the All-Star center Brad Miller two weeks ago.
When the most selective schools price their annual tuition charge higher than a cash payment for a lower priced luxury car, the splash over dampens enthusiasm for four-year colleges generally.
In engineering the ZDX, Acura started with the platform, wheelbase and standard all-wheel drive system of its popular crossover, the Acura MDX, and sculpted a stylish, lower profile luxury coupe-style exterior.
Lower-priced luxury autos tend to have lower gross profit margins but can more than make up for that in volume, says Dieter Zetsche, a former Mercedes executive who's now chief executive of Chrysler Corp. Jaguar, the Ford-owned luxury brand, has nearly doubled unit sales since 1999, when its $44,000 S-Type was introduced.
The Yankees did accomplish something this year: They lowered their luxury tax for the second straight season.
The highest-taxed apartments are in the residential towers of the Time Warner Center, where owners on the upper floors can look out on the lower-taxed luxury co-ops lining the east and west sides of Central Park.
Handbag and accessories retailer Coach has weathered the downturn by expanding its offerings of lower-price luxury goods.
Nordstrom, serving a lower-level luxury market, has worked with vendors on exclusive but cheaper lines like Easy Money jeans priced under $100.
So do "lower-end luxury" items.
