Presentation is loading. Please wait.

Presentation is loading. Please wait.

 2007 Fairchild Publications, Inc.. Chapter 10 Global Sourcing and Merchandising 3 Marketing Terminology Where goods are produced and sold to buyers.

Similar presentations


Presentation on theme: " 2007 Fairchild Publications, Inc.. Chapter 10 Global Sourcing and Merchandising 3 Marketing Terminology Where goods are produced and sold to buyers."— Presentation transcript:

1  2007 Fairchild Publications, Inc.

2

3 Chapter 10 Global Sourcing and Merchandising 3 Marketing Terminology Where goods are produced and sold to buyers at wholesale prices during market weeks The major domestic market centers are: –New York By far the largest and most important market –Los Angeles –Miami –Dallas Markets

4  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 4 Sales Representatives The original link between the New York fashion scene and the provinces Sales representatives evolved from lonely traveling salesmen showing only one line to groups of salesmen showing multiple, non-competing lines Ultimately, this developed into regional market centers, known as marts

5  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 5 Marts Consist of exhibition spaces that house wholesale markets The Merchandise Mart in Chicago is the oldest of the marts Today, there is a mart in most major cities

6  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 6 Services of Market Centers and Marts Publicity: fashion shows, parties Information Services: buyer’s directory, publications Educational Services: seminars, conferences

7  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 7 Trade Shows Periodic events in regional market centers They are smaller than market weeks MAGIC International, is the exception –Mens Apparel Group In California, the largest show of its kind, is like a market week minus the permanent facilities, and held in Las Vegas Today, women, children, and accessories are included in the MAGIC International shows

8  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 8 New York City Has many advantages: –It is the nation’s fashion capital –New York City offers, by far, the largest selection of manufacturers’ showrooms –It is the fashion publishing, buying, and retailing center –It is the cultural center of the United States, the best place for designers to draw inspiration from all forms of art

9  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 9 New York City In 1993, Seventh on Sixth originated to provide a platform for American designers to become leading players in the global fashion business –An off-shoot of the Council of Fashion Designers in America (CFDA), in 2001, they were acquired by IMG and produce Olympus Fashion Week in New York Today, IMG is the producer of Mercedes-Benz Fashion Week in Los Angeles and Sunglass Hut Swim Shows Miami Internationally, they produce, manage and represent Fashion Fringe (London), Lakmé India Fashion Week, Thai Supermodel Search and Pakistan Fashion Week

10  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 10 Regional Market Centers Each market center has their own unique flavor and fashion –The Los Angeles Market Easy-living, casual lifestyle, colorful –The Dallas Market Southwestern looks, handcrafted styles –The Miami Market Latino and Caribbean flavor, colorful Best known for children’s wear

11  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 11 France first emerged as a fashion showcase during the reign of Louis XIV (1643–1715) Textile production in Lyons and lace works in Alençon were established to meet the needs of the royalty at court at Versailles France originated haute couture in 1858 when Charles Frederick Worth opened his doors as the first couturier Foreign Fashion Markets France

12  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 12 Chambre Syndicale de la Couture Parisienne Established in 1868, the Chambre Syndicale de la Couture Parisienne sets the standards and dates for the haute couture shows The Chambre Syndicale’s most valuable contribution is that it represents its members in arbitration disputes and seeks regulation of wages and working hours

13  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 13 Haute Couture By itself loses money but creates profitability through: – Franchising – Licensing arrangements – Prêt-à-porter lines Gowns by John Galliano for Dior

14  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 14 Prêt-à-Porter Includes designs for the ready-to-wear portion of the market This is the the money making section of the fashion industry, giving designers access to large markets Standardized sizing and mass manufacturing created profitability

15  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 15 Semiannual “Pret” Shows Held in the major European fashion capitals: London Paris Milan

16  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 16 France’s most serious rival in the fashion industry, the Italians have made massive inroads during the last quarter of the 20 th century Italian designers are renown for their superb knitwear, accessories, and textiles Designers use innovative and beautiful textiles to launch themselves in the luxury markets Italian designers have also capitalized on the highly skilled domestic laborers Foreign Fashion Markets Italy

17  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 17 As a result, designers like Giorgio Armani developed tremendous influence Today’s luxury market is greatly influenced by Gucci and Prada Foreign Fashion Markets Italy

18  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 18 Best known for handcrafted suits from Savile Row Many of today’s most important designers are from Britain: –LVMH Moët Hennessy, employs John Galliano for Dior, Alexander McQueen for Givenchy, and set up Stella McCartney with her own line –Vivienne Westwood has been setting design trends for over 20 years –Philip Treacy is today’s most recognized hat designer –Julien Macdonald has a stellar reputation Foreign Fashion Markets Great Britain

19  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 19 Formerly nonexistent on the fashion tour, Germany surfaced with the ascendance of Hugo Boss, Escada, Mondi, and Jil Sander Leather apparel, specifically in menswear, is a popular Swedish product Sweden and Norway are among the most important suppliers of mink and other furs to countries around the world Foreign Fashion Markets Germany and Scandinavia

20  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 20 The 70s saw the first wave of Japanese designers— Issey Miyake, Hanae Mori, Kenzo Takada, and Kansai Yamamoto—with daring and provocative designs The second wave arrived in the 80s, with Rei Kawakubo, Matsuhiro Matsuda, and Yohji Yamamoto leading the way In the 90s, designers focused on retro pop cultural influences such as hippie beads and T-shirts and 1970s punk –Hiroake Ohya produced a limited edition of dresses packaged in books that were sold in bookshops Foreign Fashion Markets Japan

21  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 21 China is one of the largest exporters of both raw materials and finished products In 2000, the U.S. gave China normal trader status, which gave China entry into the WTO India has the most handlooms in the world, 13.5 million, making it a formidable textile producer India’s fashion industry is growing since the 1999 Lakmé India Fashion Week in New Delhi Mexico benefited greatly from NAFTA, becoming one of the United States largest trading partners in a short period and making it an even more attractive offshore location for domestic manufacturers Foreign Fashion Markets Elsewhere’s…

22  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 22 Describes the process of shopping for and purchasing imported goods U.S. buyers rely on the help and experience of specialists. Foreign made goods can be purchased at and by the following: –Foreign fashion markets –Store-owned foreign buying offices –Commissionaires or independent agents –Import fairs held in the United States –Importers Global Sourcing

23  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 23 Retailers make their own assortment to set them apart from the competition Private label has two actual “types” of buying One type consists of the manufacturer designing for the retailer, such as Federated Merchandising Group Both domestic and offshore production are used to complete private label goods Private Label Buying

24  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 24 Is the other type of private label manufacturing It consists of a store, or retailer, actually designing the product to be manufactured JCPenney’s and the Gap provide standards and guidelines for everything from material quality to workmanship styling and cost Specification Buying

25  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 25 Apparel for Wal-Mart being manufactured in India Specification Buying

26  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 26 Counterfeit Goods Inferior imitations are counterfeit goods, much like counterfeit currency Luxury goods are the chief objects of counterfeiters

27  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 27 Black Market or Bootleg Are more of a problem to designers They are made by the same manufacturers, but sold on the black market The quality is not that of a cheap rip-off and it is tough to distinguish them from real items

28  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 28 Black Market or Bootleg Cartons of counterfeit goods that have been confiscated by the police Confiscated “fakes”

29  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 29 U.S. Penetration of Foreign Markets Looms as a solution to the trade deficit U.S. companies will not benefit from any laws in foreign countries promoting imports However, U.S. exports have expanded using reputation for quality and trendiness American influence accelerates the “homogenization” of fashion As U.S. companies develop foreign markets the international sales will become part of every fashion houses’ sales

30  2007 Fairchild Publications, Inc. Chapter 10 Global Sourcing and Merchandising 30 Globalization will continue to be a factor going forward Reasons: –Technology available to enhance communication and production –Increased production needs of large manufacturers –Licensing opportunities –As more people are involved in the industry, from producers to consumers, then you need more facilities U.S. Penetration of Foreign Markets


Download ppt " 2007 Fairchild Publications, Inc.. Chapter 10 Global Sourcing and Merchandising 3 Marketing Terminology Where goods are produced and sold to buyers."

Similar presentations


Ads by Google