Profile Of American Attire: Us Production And Solid Model

American Attire is a vertically integrated company, distributor and retailer of non-branded essential fashion apparel based in Los Angeles, California, Usa. It was founded as a wholesale small business in 1998 and in 2003 it opened its first retail keep and gross sales commenced to increase significantly. By the stop of 2009 it was operating 281 retail suppliers in twenty international locations. The company carries on to operate its wholesale small business, and also operates an on the internet retail e-commerce internet site. In contrast to most other US clothing brands and retailers—which tend to outsource output to international locations with minimal labor costs—all of American Apparel’s manufacturing operations are in the Los Angeles metropolitan space. The company promotes the fact that its goods is “created in the Usa” and “sweatshop absolutely free”. Wages are therefore much greater than the world-wide normal and, in truth, the company promises to hire the greatest paid out apparel workers in the globe. As an alternative of competing on the foundation of minimal wages, American Attire uses its US manufacturing foundation, coupled with a technique of vertical integration, to present fast response times and greater high-quality whilst sustaining tighter inventory control. This avoids the difficulty of currently being remaining with unsold inventory and getting to promote it off at a discount. In addition, the company is ready to replenish stocks of well-liked designs at shorter discover, and this allows it to increase gross sales. American Attire has proved successful in a marketplace dominated by competition who have considerably increased financial, marketing and other resources—such as Gap, City Outfitters, H&M, Uniqlo and Endlessly 21. It differentiates alone on the foundation of the suit and high-quality of its garments, the broad range of colours and designs on present, its imaginative marketing campaigns, and its capability to satisfy orders, large or little, at shorter discover. Utilizing its core strengths, it has improved its gross sales quickly. In 2008 alone its retail gross sales grew by sixty two%. But in 2009, hit by the US recession and the world-wide economic downturn, expansion in its web gross sales was small, and its web earnings declined. Even so, the company stays optimistic about the potential, and is hoping to return to considerable expansion in 2010.

Desk of Contents

SUMMARY

INTRODUCTION

Core STRENGTHS
In-dwelling design and style capabilities
Imaginative branding and marketing
Vertically integrated framework

Production Functions

HUMAN Assets

RETAIL Functions

WHOLESALE

Online Customer E-COMMERCE Web site

Money Performance
US Retail
US Wholesale
Intercontinental
Canada

OUTLOOK
Competitors
Money effectiveness
Human sources

Listing of tables
Desk 1: American Attire: keep expansions, 2004-09
Desk 2: American Attire: financial effectiveness 2004-Sep 2009
Desk three: American Attire: web gross sales by section and variety of purchaser, 2006-09