Haz,
Had that happen to me a while ago, I just went to the next shop and described what I wanted and what I would pay, and the shopkeeper ran next door and got it for the price I was willing to pay.

 

I was there last week and paid 80 RMB for my shirts.

 

Just there yesterday and found the experience the same as always. I buy some great hiking apparel from "Jack". He is the first cube on the left (29A, I think) if you enter from the "middle" entrance. He's got Haglof, North Face, etc.

I spent more than I wanted on a new back-pack upstairs but it was just the one I wanted and the guy new it. There did seem to be more police in the building but all of the proprietors communicated effectively on their ware abouts.

You can pick up jackets for a song right now...August in Shanghai, they are hurting the most. Business is down for them.

Other shops to go to. Su Garden; they have more authentic Chinese items. Also the subway market; track 2, line 2 at the Science and Technology museum. Apparently (I have not been there yet) it is much bigger than 580 Market but you have to haggle more..