Serenella

As department stores and other competitors were busy freaking out over the downturn—buying less, discounting more—Serenella owner Leslee Shupe Korff made some minor but pointed adjustments. These days, even as her Newbury boutique shows $1,000 Cavalli dresses and $600 Alexandra Neel stilettos, it has equally attention-grabbing numbers from more-affordable lines like GarpArt and Stella McCartney for Adidas. A cast of design-darling exclusivesThakoon, Massimo Alba, Sophie Thealletmeans that if you do choose to invest in those $3,900 silver sequined shorts, odds are good that unless you live next door to a Brazilian supermodel, youll be the only one on the block wearing them. RUNNERS-UP: Barneys New York, Louis Boston LAST YEAR: Serenella