Esquel, one of the leading cotton-shirt-manufacturers in the world came from China and it supplies lots of clothing brand such as Banana Republic, Tommy Hilfiger, Hugo Boss, Brooks Brothers, Abercrombie and Fitch, Nike, Nordstrom and Lands’ End, in addition to private companies (Plunkett Research, Ltd.). However, due to the high demand of the US apparel stores for Chinese products, the low cost, which was the main reason why raw materials are being purchased from China, have increased. China’s competition is huge, with Vietnam, the Philippines, Malaysia and Sri Lanka also producing material at cheap prices (Plunkett Research, Ltd.). The US apparel stores can instead purchase from these other Asian countries. It is hard to determine the exact number of suppliers in this industry; but, in general, majority of them are in Asian countries that can provide low-cost raw materials to US-based apparel stores. Therefore, the US apparel stores may acquire higher net profi
From a perilous beginning, Bangladesh has attained notable advancements in economic and social development in about four decades. Since it won its independent in 1971 following a bloody war, many, in the international community were doubtful about the country’s long-term economic sustainability. Some observers predicted a state of continuing aid dependency, while others believed if a country with such enormous and innumerable development problems as Bangladesh could make strides in development, then possibly other developing countries could as
Bangladesh is a small South Asian country that boarders the Bay of Bengal and India. Bangladesh is a developing nation that has experienced steady economic growth over a sustained period of time. However, economic growth alone does not make a nation fully developed. Using W.W. Rostow’s 5 stages of development1, the economy of Bangladesh will be analyzed and compared to the economy of the United States of America (USA). The development of Bangladesh will be determined using relevant economic and social data found in the CIA World Fact Book and other sources.
The relevance of this book can be measured by its ability to speak to the everyday individual, who may or may not know anything about economics, and plant the seed toward global economic education. It provides a keen social awareness to people who may or may not ordinarily care about international economics and can have an eye-opening effect toward what really happens in the textile industry.
In Bangladesh there have been many problems due to the small market and their extremely low cost. So for american companies like Walmart, H&M, Tommy Hilfiger,etc bangladesh is a goldmine because they produce quality work and at a very cost. Although with their low cost there is a high demand for their goods, which rushes the production process resulting in injury.
Fifty years ago almost all clothes sold in the U.S. were made here. Now almost 98% of the clothes sold here are made in other countries. For big retailers like Walmart, and Forever 21 they are able to sell clothes at low prices due to clothes being produced in other nation “where labor and other costs are less expensive,” as stated in “The Real Cost of Fashion.” How this works? Well, an example from “The Real Cost of Fashion.” Says, “For example, it costs $3.72 to manufacture a denim shirt in Bangladesh. To make that same shirt in the U.S. costs $13.22. Lower costs mean U.S. stores can sell clothes for less and still make a profit. For U.S. shoppers, it means more clothes in their closets and more money in their wallets to buy other things.” But three years ago, a tragedy occurred in a building in Bangladesh. 1,127 workers died while about 2,500 workers were injured when the building collapsed. This building contained five factories which made clothes to sell in the U.S. and Europe. Officials then discovered the owner of the building illegally added more floors and let the companies place heavy gear that the building wasn’t sturdy enough to support. According to “The Real Cost of Fashion,” Bangladesh’s government “temporarily closed about 20 factories for safety violations. It also announced plans to raise the country’s minimum wage. Bangladesh has some of the lowest-paid workers in the world.” They get paid less than $2 day. It
Bangladesh is a country that has been exploited by many super powers in the past. 1st it was the British and then stated the Pakistani regime. Continuously oppressed and exploited by these powers the resources of this country were already half exhausted. When Bangladesh emerged on 1971, the country started a new journey towards self sufficiency with whatever left over resources she had. And with those Bangladesh has maintained her pride among the developing countries for more than 40 years.
The Garment Industry of India is a Rs 1 trillion industry. Almost 33% of its knitwear production and about 20% of its woven-garment production, both by volume, enters export markets. Overall about 25 % of the volume of its garment production goes into export markets, leaving 75 % for domestic consumption.
Our need for cheap clothing in the US has been the drive for sweatshops overseas. John Quelch wrote of the incident that happened on April 24, 2013. The Rana Plaza factory building was in such a poor state that it collapsed with workers in side. He states in his article Rana Plaza: Bangladesh Garment Tragedy, “Low cost production and large capacity were key incentives for multinational corporations (MNCs) to produce garments in Bangladesh” (Quelch 2). Because labor there was so cheap it was easy to make cheap clothing. He also stated that about “90% of garments produced in Bangladesh were exported to the United States, Europe and Canada” (Quelch p2). This sweatshop was producing clothing that was cheap for the US. The more we crave disposable
Bangladesh economy has been experiencing a rapid growth since the '90s. Industrial and agricultural development, international trade, inflow of expatriate Bangladeshi workers ' remittance, local and foreign investments in construction, communication, power, food processing and service enterprises ushered in an era of economic activities.
Bangladesh as a developing country also trying to contribute to reduce the imbalance of food security. But because of so many lacking, Bangladesh cannot move forward. Though they have taken so many initiatives for food security recently, but those are not sufficient comparatively to our growing population.
The textile industry is a competitive industry with multiple sectors that represent unparalleled opportunities for global growth and success nationally and internationally. The textile industry is vulnerable to political and economic conditions that are monitored through regulatory trade agreements by the WTO; supply and demand along with market growth and competition keeps the industry evolving. For the scope of this analysis, detail will be focused on the textile industry as a whole with particular emphasis given to the U.S. textile manufacturers.
Bangladesh, officially known as the ‘People's Republic of Bangladesh’ worldwide, is a country in South Asia. It shares land borders with India and Myanmar. Bangladesh is the world's eighth most populous country with a population of 163 million (as of the year 2016) in a total area of 147, 570 square kilometers. Dhaka has been the capital city of Bangladesh since the country achieved independence in the year 1971. Bangladesh has a market-based mixed economy, is one of the Next Eleven emerging markets. Its per-capita income was US$ 1,190 in the year 2014, with a GDP of $209 billion (bdnews24.com, 21 May 2014). Bangladesh has the third-largest South Asian economy (after India and Pakistan) and the second-highest foreign-exchange reserves (after India). The Bangladeshi diaspora contributed $15.31 billion in remittances in the year 2015 (The Daily Star, 3 July 2015).
Apparel industry in Sri Lanka has become one of the most important contributors to Sri Lanka’s GDP. In fact, the industry has grown enormously well during the past 3 decades bring opportunities for locals, internationals, and organizations. Moreover, Sri Lanka apparel industry has definitely helped the country’s development in numerous ways.
According to the data, the total volume of textiles exported from China has started a continuous rapid growth since 2001 (the year of China’s accession to the WTO) as shown in the first graph above, which roughly