It may have “little to no value” for some, but to others, perhaps many, there is plenty of value. Why else would famous fashion designers and the entire fashion industry be worth so much?
It’s easy to overlook the value but from a basic and utilitarian perspective, the value begins with the quality of materials and the cuts of the fabric. This is not necessarily trivial and takes someone who is skilled with the trade to understand and pioneer. It’s equivalent to a highly skilled carpenter who makes high quality and special furniture. And eventually new techniques, cuts and fabrics will make it to the mainstream.
If this sounds far fetched, some high end fashion (read: ~$150-300 for a sweater) is all about the quality of fabric and the attention to detail in the fit. These items will usually feel better, fit better and last longer. You could think of it as the difference in quality and experience between a Mercedes-Benz and a Toyota. Sure MB probably has much higher markup, but the base cost represents much greater substance as well.
Then there is novelty and this doesn’t necessarily have much to do with the clothes you would wear daily. Fashion designers are artists and the runway shows are often about novel displays in colour, shape and fabric. That’s kind of like a show. People who buy these clothes are making a statement and the markup is very much a reflection of the scarcity of these items. Like a limited edition watch or a very very expensive charity dinner with someone famous.