Porter's Five Forces Fashion Industry Analysis

We will use the porters five forces model and the value chain analysis to analyse the company’s strategic moves. PORTERS FIVE FORCES ANALYSIS • COMPETITIVE RIVALRY (HIGH) In both the large enterprises as well as the small enterprises there are many competitors. All the brands have started investing huge amount in the R&D to renew their products so, as to capture the market share. Therefore, H&M will always have to be quick and stylish at the same time to survive and maintain its position along with the changes and competition.

A threat of a new entrants is low due to a high amount of investment required. Because Macy’s is just a store that sells various products, the treat of substitute is high because consumers can get the same products elsewhere. Macy’s two main weaknesses include a slow growth on their return on investment and the high volume of employee

The privatization of the prison system has made it so that individuals who have committed a crime are no longer seen as people but as profits. Prisons receive more money and more laborers (which they grossly underpay) with the addition of new inmates, so it is in the best interests of prison corporations to increase the volume of prisoners as well as expanding the length of sentences. Private prisons started out as a cost-effective way to house inmates, but after yielding large investments and profits, they began lobbying for new and harsher punishments resulting in America having the highest levels of incarceration in the world. In 1984, the first private prisons were created, the founders claimed that the prisons funded by the government but run privately would cost considerably less than prisons run at the county, state, and federal level.

Q3. Like stated above, the competitive forces that were evident in the luxury goods industry are the competitiveness of rivals such as Gucci, Prada, Ferragamo and Dolce and Gabbana, to mention a few, the aggressiveness of substitutes to luxury goods who were catering to the many other customers who did not have enough income to purchase the high priced luxury goods, the threats of new entrants into the luxury goods market, not forgetting the bargaining power of both buyers and suppliers in the luxury goods industry. In the mid-1990’s consumer preferences began to change and veered strongly towards Coach’s rivals within the luxury goods industry such as Dolce and Gabbana, Versace, Ferragamo, Gucci and Prada among others. These well-known and loved Italian and French

Like in Malaysia, you have to pay for it at your local store to buy tennis shoes. On the other hand, reduced labor costs will force you to pay less for new shoes. Trading allows consumers and countries to get access to goods and services which are not available in their own country. Almost every product in the international market can be found at food, clothing, accessories, petroleum, jewelry, stocks, money, alcohol and water part. Services include tourism, banking,

The direct competitors of GE are Siemens AG, Honeywell, Danaher Corporation, and Du Pont (Jain, 2013). However, GE is a huge company in comparisons to their competitors and through diversifying their business GE is able to broaden their competitive scope. Furthermore, GE relies a lot from its suppliers in delivering those raw materials and components used in their product. Therefore, a disruption in deliveries from their suppliers may cause a huge effect on their businesses.

It started to export garments in the mid-1990s, but after quota restriction of the Multilateral Agreement (MFA) was removed in 2005, it cause the country face the increased competition in the global market ("Enhancing Export Competitiveness the Key to Cambodia’s Future Economic Success", 2016). This sector is based on low wages, more labor and a liberal trade and investment regime which causes this intensive industry has grown in Cambodia and has become a major source of foreign investors. Mostly, Investors also brought technology and supervisory personnel from overseas to help solve Cambodia's disadvantages such as in infrastructure and human capital. Unlike other country, Cambodia started garment industry because the inflow of Foreign Direct Investment (FDI) which cause the garment sector are insufficient in the domestic supply chain and supporting industries like textile industry. These insufficient causes the industry need to import raw materials, fabric and other inputs from another country instead mainly from China, Hong Kong ("Enhancing Export Competitiveness The Key to Cambodia’s Future Economic Success", 2016).

The countries where the trafficking levels are the highest are also countries that are less developed. These countries are not stable in political, economic, or social aspects that lead to people finding ways to make more money through illegal means. Also, the trafficked victims become involved in the industry while they are out looking for better paying jobs. The trafficking industry provides cheap labor so that the goods can be sold off to other countries for lower prices. Although cheaper prices seem like a good deal for the consumers, there are the laborers who produce the goods who barely get paid enough to sustain a living.

Furthermore, it is noted that customers, particularly from developed nations like UK, France and Italy are more and more concerned about their health and the report on individual health expenditure over the last decade by OECD (2011) has confirmed that. The report shows that customers are becoming more inquisitive in the type, nature, origin and the processing method of materials in which, apparel and clothing firms uses in producing their product. Thus, demanding for transparency and accountability. Consequently, many customers have gone green and they are persistently advocating for sustainable and ethical activities of firms (Johansson, 2010; Pookulangara

1. Retail Business Environment The US apparel industry is large, mature, and highly fragmented. This industry has stretched the boundaries of its creativity and imagination in finding new ways to increase selling opportunities and achieve competitive edge globally. The global economic downturn has had a severe effect over the apparel industry, but the denim market has regained its pace relatively faster as compared to other apparel segments.

By the end of the war American Industry was small, and hand labor would remain widespread which would limit the capacity of the industry. After the war the Industry of America would change very dramatically, hand labor was replaced by machinery this would increase the production capacity tremendously. The new railways would provide for goods being distributed very far. Inventors would innovate new and wanted products to the public then the businesses would be able to provide products quickly and in much larger quantities. Another thing about Industrial Growth was that investors and bankers would help business leaders by supplying them with huge amounts of money so that they would be able to expand their

In order to meet the demands, big companies and industries need to outsource their products to other countries in their manufacturing process. With the ability of outsourcing, companies such as the fashion industry can make huge profits from using cheap labour from other countries. Since regulations vary from each country, thriving companies can abuse the way they produce their products since there would be little to no restriction of what they cannot do. It is great how popular brands are all around the world; however, the cost of the products varies differently from country to country. In order to see the true cost of producing a product, one must look into the external costs.

Throughout the course we mainly constructed rhetorical analysis through assigned readings and projects. In the beginning of the course we started by writing a reading analysis of the articles from the textbook, Norton Field Guide. The readings we had to analyze: “The Fashion Industry...” by Hannah Berry, “Our Declaration” by Danielle Allen, “Just One More Game...” by Sam Anderson and “Well Behaved Women” by Laurel T. Ulrich. Professor Lewis assigned demonstrate rhetorical analysis each one of them by summarizing, rhetorical analysis and response. In addition to inspecting the parts where there are ethos, pathos and logos.