Reddit mentions of Deluxe: How Luxury Lost Its Luster

Yes, I recommend you read "Deluxe: How Luxury Lost Its Luster" for more information on this. However Louis Vuitton do still have a lot of leather artisans hired at their french factories. And from what I can see most of their trunks are still made to order at these factories, although I am sure you are right and they still get many of the parts from factories all over the world. Most of the commercialized goods(keepall bags, speedy purses, wallets etc.) are made in countries with cheaper production costs. And it is very noticeable. If you go into a store and check out the craftsmanship on the trunks vs. the less expensive purses, bags etc. there is a huge difference.

Hermes is one of the few high end fashion brands that still does not outsource production to cheaper countries, but you sure notice it on the price(which is so high it is just ridiculous).

That's actually a misnomer. There is a built in obsolescence just as much with "luxury goods" as with economy goods. this book is pretty good in explaining the evolution.