She seems pretty confident that these hangers are a good idea. She could make up the costs of development over a longer period of time and still come out way ahead by the end. At $20 a hanger she risks turning a lot of people away. The kind of people who are really pressed for closet/clothes hanging space don't typically have $500+ to spend on hangers.

A lower price to get consumers to try them out and even replace a bunch of their existing hangers with folding ones could get her a lot more sales and let volume make up for smaller profits.