Steinhouse Knitting Mills

a) A fall in the value of the Australian dollar (AUD) against the U.S. dollar (USD) benefit Billabong in two folds, strengthened price competitiveness and translation advantage. Firstly, the Americas segment accounts for about 50% of Billabong’s sales revenue in 2008 and 2009. (Appx.1) In case of depreciation of AUD against USD, the price of imported surfwear to the U.S. in terms of USD will decrease. The US importers demand more for Billabong’s products. The sales increases from the strengthened price competitiveness. Secondly, when Billabong received payment from the importers, it will translated back into AUD for use in Australia. As AUD depreciate, the receipt in USD can be translated into more AUD than before, bringing

For the past hundred years the need for clothing increased since the number of people of keeps growing. As the years go on, producers must find new ways to produce more clothing to make more profit and keep up with demand. Before people would either have to ride all the way into town to have tailors make their clothes, or have someone at home make the clothing for them. But as the years progressed, methods have changed dramatically.

The Indian textiles chart showed how India used machines to produce greater yarn and cloth amounts in 1914 as compared to the production in 1884. As well it demonstrated how the amount of people using machine made textiles had greatly increased opposed to hand made textiles (Doc 1). In 1916 Radhakamal Mukerjee, an Indian economist, explains how that handwoven textiles cannot keep up with the machine made textiles, and therefore is on a decline (Doc 6). This identifies how India is moving towards

Just in 2017, “there were nine bankruptcies…where more than 10 stores announced store closure” (Thompson). One of the main attributes that caused the fall of store closures is the rise of online sales in venues like Amazon or eBay. This phenomenon not only attracts US consumers, but it also has incentivized foreign shoppers, specifically those in Mexico and Canada, to purchase American goods on online platforms like Amazon.

There is an increased demand for higher gauge lightweight sweaters that are made of natural fibers such as wool and cotton. The higher the gauge, the finer the knitting and more lightweight and expensive is the sweater. The machines that the company has are not capable of producing such sweaters and the company does not want to invest in new machinery since fashion tastes keep changing. The capital cost for modem knitting machinery is about 300, 000 USD and about 20 machines would be required to meet the demand. The yarn required for these machines would have to be imported

Aurora Textiles has historically been one of the premier textile companies in the United States and now has a decision to make. With the opportunity to invest in equipment that could help cure our slumping financials, we must carefully explore whether this investment is appropriate for a company with such an uncertain future. With that in mind we believe that the Zinser 351 is the perfect investment to pull us out of this slump. As a company that has been able to deliver a premium product for the consumers, the Zinser 351 will allow us to continue to do that while also begin

Carrying out both methods discussed above meanwhile sounds good, but a new problem emerges—territory ownership. For instance, Kluger and Orol had have to pay for commission fees on all sales, if Foxy came to a trade show, say, New York while hiring a New York based sales representatives in the same time. This is an industry norm, so Foxy has to follow. The partners also considered about attending the trade shows in the major fashion hubs and sending their sales representatives to some smaller cities; however, if so, that doesn’t help Foxy to establish brand awareness in the United States, as these cities are not fashion-forward.

TJX Companies consist of several apparel and home fashion stores in the United States, Canada and Europe. The organization continues to expand their brand in these three countries to keep up and hopefully, one day, monopolize their competition in the department store industry. TJX does well financially, such as profits and market share, compared to their competition and has achieved outstanding performance for several years in all the countries in which they operate. “Looking ahead, we see tremendous opportunities to bring value around dthe world. We believe our customer demographic one of the wisest in retail, and we are convinced we will continue to gain U.S. and international market share. To help retail our loyal customers and attract new ones, we’re planning even more aggressive marketing. We also plan to continue upgrading the shopping experience in our stores and offering new and exciting initiatives” (TJX n.p). TJX is a well rounded and diversified company focusing on apparel and clothing fashions. Their acquisitions have only furthered their growth in the market and with consumers globally.

Textiles are an intrinsic foundation of clothing, and moreover, the invention, development and manipulation of fabrics play a vital role in fashion (Black, 2006; p.6). A key segment of constructed textiles is knitted fabrics, which provide endless creative outcomes, enabling an independent and experimental approach to design (Sissons, 2010; p.6). Knitwear can be found at all levels of the fashion market, from the industrial mass production of hosiery, underwear and sportswear to the use of its sculptural qualities in high fashion and accessories, such as bags, shoes and jewellery (Sissons, 2010; p.6). Nowadays, many different types of companies are involved in the production of knitted textiles and knitwear worldwide due to the wide use of knitted fabrics (Wilson, 2001; p.1). Among these companies, family dynasty Missoni has undoubtedly become the most well-known designer company for knits over the course of their 50-year history (Black, 2006; p.17). Through their vibrant and colourful work, the industry began to see knitwear in a new, more fashionable light, and

c. They can begin to produce their clothing in Asian markets, which will help them cut down on cost.

Athletic goods industry still has unlimited potential and it is a growing industry at the moment. The sportswear is not limited to track and field anymore. It has become a daily-life goods that can be seen everywhere. Product diversification into fashion business opens up a new growth potential for athletic goods.

The European and American market definitely has a major clash, for it was stated in the case that their demands are opposite from each other. Well, the European market seems to be more demanding in terms of product selection, variety, material and collection. As mentioned, there have been special adjustments made for the European market such as using wool, having jeans made into slimmer shape, and tapping on a more luxurious image -- the use of leather and cashmere for some of its product lines. Thus, this created a higher price variant

* Build local sales office in each region to maintain contact with the Colombian based manufacturing facility. At the same time try to reduce the distributors and increase direct sales, a franchising model could be evaluated.

4. How can Sergei and Olga begin producing fashionable women’s cashmere coats in their factory? Is this feasible or should they give up the dream? Propose an action plan to move their business in this direction.

In Europe, between the 60’s and today, people are spending around 50% less for alimentation products. That is why, big retail store companies like Carrefour need to develop their strategy on the foreign markets and continue its advertisement on local market.