Back in 1873, the airplane had yet to be invented, horses were the most popular mode of transportation, indoor plumbing was a luxury -- and denim jeans were born. While so many other forms of modern living have changed, denim endures -- and remains as popular as ever. The world can thank Levi Strauss and Jacob David for using copper rivets to strengthen the pockets of denim work pants, … [Read more...]
Guest Editorial: Beanie Baby or Barbie? How to Spot the Difference between Fads and Trends
May 22, 2013 by
How can potential investors tell if a product is more Vera Bradley bag or mismatched socks, Atkins or organic? The investment can be profitable either way, but knowing the difference upfront will help determine the correct multiple and drive favorable post-deal economics. In general, there are three key differentiating factors between a fad and a trend. Fad vs. Trend Framework Reason for … [Read more...]
Indian Reverse-Sourcing to Create U.S. Factory Jobs
May 22, 2013 by
We’re used to outsourced labor from the U.S. to India, but later this year, Indian textilers Alok Industries will reverse the course. The Mumbai-based textile manufacturer, which counts Wal-Mart and Macy’s among its clients, has announced plans to open a mill in the U.S., citing energy savings. Arun Agarwaal, Alok’s CEO, told the press that the U.S.’s high cotton production was part of … [Read more...]
Chinese Yuan Goes Up; Exporter Profits Go Down
May 21, 2013 by
Chinese exporters in the country's Pearl River Delta are trying to squeeze profits from their exports now that the Yuan has risen against the U.S. dollar. Although orders for April have spiked in the delta region, margins are now thinner because of the rising yuan. Data collected from some 2,000 companies in the delta area show April exports have increased a substantial 47.3 percent … [Read more...]
Editorial: New Bangladesh Deal Should Be Universal
May 21, 2013 by
Major retailers and brands are signing on to a new safety plan for Bangladesh, in a move that has been applauded by labor and consumer groups. H&M, Inditex, PVH (owner of Calvin Klein), Tesco, Tchibo, Primark, and C&A have agreed to sign the deal. Together, they make up a large percentage of total goods sourced from Bangladesh. H&M sources more goods from Bangladesh than any other … [Read more...]
Bankrupt in Time For Labor Day? JC Penney Reports Doubled Losses
May 21, 2013 by
JCPenney Inc. has reported doubled losses in its first quarter, sinking from losses of $163 million between February to May of 2012, to losses of $348 million in the same three months of 2013. If the company continues to lose money at its current rate, analysts predict the ailing department stores will be bankrupt by Labor Day. JCPenney execs attribute $72 million of their first-quarter losses … [Read more...]
Apparel Prices Fall for First Time in Two Years
May 20, 2013 by
Apparel prices fell in April for the first time since March 2011, according to Consumer Price Index Data released yesterday by the U.S. Department of Commerce. Most of the decline was due to a plunge in childrenswear prices. Menswear prices bucked the overall apparel trend, as younger fashion-conscious men snapped up premium-priced dressy sportswear in bright colors and tailored pieces in newer … [Read more...]
China, Vietnam Gain Share of US Apparel Market in First Quarter
May 20, 2013 by
Apparel imports from Vietnam and China grew fastest in the first three months of 2013, giving these countries significant share gains in the US apparel market. Bangladesh and Pakistan also saw their exports to the US grow, though their increases were smaller. Total apparel import growth slowed in March, resulting in a 3% dollar value increase for the first three months of 2013 compared to the … [Read more...]
LF Stock Surges After UBS Upgrade
May 17, 2013 by
Li & Fung Ltd. stock was up 7.8 percent after UBS AG upgraded the stock from Sell to Neutral. The Hong Kong based supplier of clothes and toys advanced to HK$11.10 - the biggest gain in 17 months. Sluggish orders from the U.S., the outsourcer's biggest market, contributed to a value drop of over 50 percent since January 2011. The firm announced in March that it will miss its operating … [Read more...]
Penney Pitches Lenders; Needs More Cash For Rebuilding
May 17, 2013 by
J.C. Penney's CEO Mike Ullman says he needs more cash for operations, renovations and rebuilding the company's competitiveness in a dog-eat-dog retailing market. Ullman, formerly Penney's top executive, takes back the CEO's chair after a 25 percent decline in sales for the last fiscal year. Last year's loss hit almost $1 billion. Penney's initial loan of $1.75 billion, arranged by Goldman Sachs, … [Read more...]
NEW Report From Sourcing Journal and TradeCard Helps Brands and Retailers Implement Sourcing Strategies in the Americas.
