Apparel Industry Essay

Based off of my last journal about the fashion industry and how it has an economic impact. Recently a friend of mine opened up a fashion boutique in a mall. He has always been into fashion probably the most fashion intellectual person I know. In the boutique my friend has inventory ranging from shoes, hoodies, jeans, accessories, etc. All the inventory are clothes or shoes that are either hard to find or sold out due to the demand of the product being higher than the supply. The shoe prices range from $200-$2000 depending on what shoe you are looking at. The prices of clothes are practically the same price range as the shoes. One of the clothing brands that are probably in my opinion the grail items in the boutique is the collection of clothes

This case study talks about the slowdown in the premium jeans market. The first slowdown was in 2007, after that time premium jeans never the same. Between 2008 and 2010 the premium denim prices fell 10-15 percent over this time period. There were different tactics these premium denim designers including 7 for mankind, True Religion, Diesel, Joe Jeans and Levi Strauss tried to attempt to maintain their positions. Some did this by lowering the price of jeans, creating lower priced jeans (i.e. recession collection and jeggings), creating more brands and stores. This case study also talked about the major effects that things like economic issues (i.e. the recession) and rising cotton prices (due to low stockpiles, heavy rains and

Corporate values are ‘the operating philosophies or principles that guide an internal conduct of the organization and its association with its clients, partners and shareholders’. It is also a fundamental and long-lasting belief that specific mode of conduction highly valued by the organization’s membership’ according to IBM corporate responsibility report (2002, What is the value of company).

b. Does the issue of branded vs. private label enter into this consideration? Why or why not?

The apparel store industry within the USA is a highly competitive market, consisting of number of companies that are willing to fight for their share of the market. To remain afloat in this business, corporations must be highly innovative, price-conscious, knowing the trend, and with great responses to consumer needs. Each company within this industry must be aware of the competitors’ move, trying to match every trends and benefits offered by another, in order to steal the average consumers. Market-alertness is the key to survival; each company must balance marketing strategies and customer-service, responding to consumer demands within the shortest processing time

According to the U.S. Census Bureau, the forecasted expectations for economy sales in regards to clothing and clothing accessories stores edged up 0.8% in 2014, to $253.7 billion, versus 3.8% and 5.5% gains in 2013 and 2012, respectively. While purchaser spending has profited from pointedly bring down gas costs, we trust a movement in spending from nondurables to durables and, to some degree extravagance products, has contrarily affected attire deals, starting now there are no indications of unemployment growth.

In analyzing the general environment of Lululemon the following factors are most important for the company to understand these factors and the trends within them: technological factors, political factors, sociocultural factors, and demographics. Through better understanding the effects of the factors in the industry and the company they can analyze the threats and opportunities within the factors and change their strategies to align them as necessary.

In this segment, the retailer J.C. Penney will be analyzed against the department store retail industry, with particular emphasis placed upon their competitors, Macy’s and Kohl’s. The major components to be discussed will include the general external environment (i.e. demographics, economics, politics, legal requirements, technologies and global expansion), the industry environment, the competitive environment, the driving forces and the key factors for success within the industry. In terms of the general external environment, the retail industry is a multi-trillion dollar business in the United States alone and maintains operations primarily due to consumer spending. Such purchases rely upon the disposable income of

This report aims to underling the key areas the Australian Fashion Industry need address, in order to show that it has a future in an ever competitive global economy.

The apparel and clothing accessories industry, a subgroup within retail, reached sales of $32 billion in 2016. Given the industry’s highly competitive and rapidly evolving nature, Canada Goose Inc. (CG) and Roots Corp. (Roots) must focus on creation of innovative designs to remain relevant. Retail sales are forecasted to decrease, however, the luxury segment of retail stores and e-commerce segments are predicted to expand. This suggests CG and Roots have the capacity to remain competitive due to their high-end product offering and online sales presence.

The diverse business line model that Nordstrom applies gives them a competitive edge over their competitors. Unlike many of their competitors, Nordstrom operates in several retail categories such as: clothing, furniture, bedding, footwear, beauty products, jewelry, house wear and cafes (Nordstrom Inc, n.d). Operating in multi retail categories gives consumers an incentive to shop at their shop, over the competitors because the consumer can satisfy all their specific needs and wants in one store instead of having to visit several. The divergent product line also broadens Nordstrom 's target market by offering different products that attract new market segments and reach the different demographic and purchasing needs of each consumer. Nordstrom’s wide product range helped them to increase their “Total Revenue in the 3 quarter 2014 by 8.88 % year on year, while most of its competitors have experienced contraction in revenues by -0.17 %” (CSI Market, 2014) . As Nordstrom continues to constantly add in new products-or line extensions to their product mix, they can expect to maintain a steady growth and competitive advantage over their competitors.

The clothing industry in the US entails more than 100,000 stores with combined revenues of over 150 billions dollars a year. The giants within this industry include Abercrombie & Fitch, GAP, Urban Outfitters, and TJX Companies, which I shall be concentrating on

2. Richard M. Johns (2006). The Apparel Industry. 2nd ed. UK, London: Blackwell Publishing Ltd.. 1-124.

Being an upscale industry, Abercrombie and Fitch would appear to be a successful corporation. Although the company was once successful for a number of years, it’s apparent that there has been a significant decline in its overall appeal and how much revenue the company acquires each year. With just over 1,000 retail stores in the U.S., Canada, and Europe, Abercrombie and Fitch has thrived to be one of the most avid corporate extensions.

The Fashion Channel (TFC), founded in 1996, is a successful cable TV network dedicated to all things fashion. Although quite young compared to other TV networks, TFC has experienced steady growth and in 2006 forecasted its revenue at $310.6 million. TFC operates primarily as a niche network, focused solely on fashion and fashion related programming, but still manages to reach almost 80 million US households that subscribe to cable and satellite television. To date TFC has been able to experience growth in spite of having no clear segmentation, branding, or positioning strategy. Dana Wheeler, a recent hire as TFC’s Senior VP of marketing, was tasked to fix this.