Clothing Industry

Clothing Industry

Introduction to the clothing industry

The clothing industry began many years ago, and the new trends are replacing the old companies. The sector deals with wear garments made from different materials. For instance, you will find that most of them produce the same clothes, and the difference is seen in the material being used. This industry deals with the production of all types of clothes and shoes. For many years, it has been the main contributor to the economy in many countries. The U.S. is playing a significant role in clothes manufacturing, but other countries are also contributing a lot. This means that most of the garments used in the U.S. are imported across different continents. The government has been criticizing companies selling ready-made clothes for using sweatshops and child labor. Some of These countries pose problems that have not been covered by the media, especially working in poor conditions. There are various characteristics of the clothing industry that investors should understand before investing. Firstly, they are trendy. This means that the fashion change in seasons and it’s something that each manufacturer needs to understand. Secondly, pricing is defined differently by other companies. Prices in clothing companies define the quality, such that low priced clothes might be considered to be of low quality. This industry is associated with the competition since many manufacturers are into this business. To create trust, the manufacturer should be in a position to compensate the buyer in case they aren’t satisfied with the products.

Countries where production is done

Most of my garments in my closet come from Asian countries, followed by middle-middle Europe and then Africa. You will find that the distribution of these garments is in relation to the current trends in the clothing industry. For instance, the use of social media has made many countries to sell their commodities abroad. The world has become a small village such have been linked together by social media. When a manufacturer posts a product, and it’s accepted widely, they come up with a strategy of opening headquarters in different places. Sustainability is another trend that is taking the clothing industry market. For instance, products from Alibaba have been there before, and the consistency in selling has been almost the same. In this case, the company has learned how to sustain itself in the market by adopting changes. Another trend in the clothing industry, making these companies sell across the globe, is the use of celebrities and world winners. For instance, companies are giving particular clothes to advertise for them. The public view most of the celebrities as their role model and ends up purchasing the products from them.

Importance of offshoring and outsourcing

From research, most of the clothing organizations have spatially distributed their headquarters across the globe. This is why you find it easy to purchase a product from a different country in your particular region. In this case, all the companies that have produced garments in my wardrobe have their headquarters across many countries. Through such a distribution, they enjoy the advantages of offshoring and outsourcing. Outsourcing refers to the process of contracting your work to be done by a third party. On the other side, offshoring is having work done in a different country to save costs. Therefore for these companies, they do not contract their work to U.S. companies but rather place their headquarters here. This is vital for the company to save the transportation cost of the products from their countries. Even though they’re taxed, this cannot be compared to the costs they would have incurred exporting the goods. Also, in the U.S., they are likely to get high-quality labor and experienced employees. By offshoring a company, it means that the persons in particular companies will be in charge of the practices, but the main headquarters are in charge of giving instructions.

Conclusion

The clothing industry is growing very fast, considering where it began. Technology is a significant factor as to why manufacturing companies are trending each day. The manufacturer should understand the need to create scarcity in the market because garments can become monotonous when worn by many people. Companies need to distribute their companies across the world to grow their products and compete with other countries. Having work done in another company, it’s much cheaper, and this will ensure that products are readily available for the consumer. The U.S. should ensure that clothing manufacturing companies are promoted since most of the garments used here come from Asia. This shows that the U.S. is behind in terms of clothes manufacturing. In this industry, I play the role of a designer and a consumer. Therefore I would prefer to buy my garments from companies selling products across the world since one can be assured of high quality. Also, small companies should follow the trend of other large firms since the market is large to accommodate all.