Tune-In :: Textile Universe News
12 December 2017
15/10/2005
Discovering new solutions

Did you read the Business Week story of Helen Morley, a Manhatan designer who markets to retailers such as Saks Fifth Avenue and her move in 2005 to China. She has her 3000 $ dresses air freighted by UPS from her factory in China and she considers cut on the production costs by 50%.

If your garments worth 3000$, this web-site is not for you. You can change the link to China. But if you are a producer in the medium or upper market, we would suggest you to go to the end of our story.

How many times a day do you look at your price calculation to find the answer of the question - how to get the costs lower and the price more attractive, and still to offer better service to the Buyer.

It is accepted as granted for many of the European producers to consider all other costs as unchangable figure and to concentrate on improvement of the cut and make costs in Eastern European countries. It is probably the lowest expence in the calculation, less than 5% from the total cost. And in order to make something better out of this 5% these producers are ready to move production from Poland to Romania, or from Czech Republic to Bulgaria. Some people went to Ukraine. And now - where to go, Caucausus ?

It is time to check the calculation again. Becouse the CM improvement is not the only solution of the better price. There are many possibilities, which some people probably consider impossible. But other people do not. They started relocation, but not only of production. They started relocation of design, warehousing, logistics to Eastern Europe.

Why did they make this move ? To use the advantages of lower costs in: design; garment construction and grading; production staff and supervisors; order processing; warehouse; final control; direct shipments to the Buyers, logistics and many more services including offices.

It is hard to believe, isn't it! We understand how difficult is to take such a step. But in the face of the growing competition from countries like China and India, this is one of the business sulutions. And this soultion is not for the big European producers only. Small retail shops in Europe may find plenty of possibilitiets to source their clothing directly from manufacturers and designers in Eastern Europe.

This is all about we are going to tell you at our web-site, we will offer you cost effective solutions, based on success stories of foreign investors in Bulgaria and other Eastern European countries, Bulgarian designers, small and medium size clothing and textile manufacturers and many more...

http://www.businessweek.com/magazine/content/04_51/b3913086_mz015.htm

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