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prada china standards of living in outsourcing destinations are resulting in i Rising raw material costs, ii Rising wages across sourcing regions, iii Weakening of US dollar, iv Increasing logistic costs, and v Strong local demand affecting capacity. High US unemployment rate: The retail environment in the US has improved significantly in 2010 with recovery in economy and improving consumer sentiment. However the US unemployment rate has continued to remain at high levels increasing to 9.8% during November 2010. 1 2 International business to drive demand for footwear accessories: JNY has witnessed an increasing international share in its footwear accessories revenues. The demand for footwear accessories in the future is projected to increasingly come from developing markets like China and India. As the international business is a lower margin business compared to US, a higher international share in footwear accessories revenues will put downward pressure on this segment EBITDA margins. Potential Downside Scenario We estimate there could be a 12% downside to $22.37 Trefis price estimate for Jones Apparel Group stock if the footwear accessories wholesale EBITDA margin remains flat going forward, due to the factors described above, vs. our current forecast of growth through 2012.Lower Cape businesses brace for hike in sales tax as a tough season reaches the halfway pointLocal businesses are preparing for the sales tax increase that takes effect Saturday, Aug. 1, and while some fear that it will make an already tough season even worse, most are adopting a wait and see attitude.Donna Steele, owner of Tree Place in Orleans, said she can only look to past experience when guessing how the tax increase will affect her art business.would say that all taxes have an impact, so if taxes increase, it will have an impact on business, she said. tax free days in August over the past few years have worked quite well, especially in the gallery world, where prices can be considerable. So if the tax now is going up, I can only infer that that will have a negative impact on these higher end purchases. state Legislature last spring approved a rise in the state sales tax from 5