Chapter 1: INTRODUCTION

1.0 INTRODUCTION:
The large fashion industry is booming and there is a place for anyone who
has talent that can be exploited. However, while there is a place for
everyone and various niches that are waiting to be adopted by
entrepreneurs, there are various aspects of developing a profitable business
model and sustaining it.
There are many talented new entrants to the fashion industry who fail to
sustain their fashion business even when they are one of the most innovative
and talented designers that are to be found. This is mainly because of the
fact that many creative and talented new designers fail to recognize the fact
that the success of a fashion business depends not only on creativity and
innovation but also on entrepreneurship and a sound business model. A
proper business model and finance are perhaps the most common factors
that plague emerging designers.
Even though the fashion business is unique in its own respect, the business
model needs to be sustainable, like in the case of any other business. In the
fashion industry, it is the conceptualized idea that sells. The focus is to hatch
exciting ideas, create special products and designs that enthuse. But all this
needs to be done keeping in mind the dynamics of demand and supply and
what really excites the customer.

1.1 History of Fashion Industry:

The history of fashion or fashion design can be traced back to the starting of
the nineteenth century when the dress designs were inspired from the
dresses worn in the royal courts. Ultimately, this resulted in opening of a
fashion house in the city of Paris, which is considered as the fashion capital
of the world by Charles Frederick Worth, who is deemed as the first ever
fashion designer in the entire fashion history.
People were highly influenced by Charles Frederick Worths fashion sense
and admired his designs. They labeled the designs as the designs of the
House Of Worth. As a result of this, the fashion and the designer became
synonymous with a specific brand.
Paul Poi Ret was also an important designer in the history of fashion who also
did a great job and contributed towards the evolution of fashion. He invented

a new form of fashion that involved blending of the classical style, aesthetic
dressing with the fashion in Paris. To name a few other designers who earned
a name for themselves for their contribution to fashion origin were Patou,
Vionnet, Fortuny, Lanvin and Chanel.

1.2 The First Sewing Machine:

In 1829, Thimmonier invented wooden chain-stitch machine and became the
first contributor of the new revolution of sewing machine. In 1859 Isaac
Singer became the first person to produce the garments on the mass level.

Source: http://en.sewingmachine.com/hug-your-sewing-machine-today-30761/

Earlier sewing machines were being used to stitch military uniform but were
later used to form the gents garments. In 1921 electrically powered sewing
machine came in to existence and the revolution began of manufacturing of
clothes on the mass level. In the last two decades of 19th century the
separation of women fashion revolution came in the existence due to new
style of blouse and skirts.

1.2 Retailing:
After the industrial revolution, sales had decreased to a considerable
amount. The custom of retailing had begun in late nineteenth and early
twentieth century. Specialty and departmental stores got installed in great
numbers. Two Americans founded the first departmental store in 1826 in New

York City.

1.3 Changes due to Communication, Leisure and Industry:

The increasing popularity of sports and new types of emerging games made
popular the latest sports wear and a new segment of fashion had been
evolved. In this era swimming costumes and pants for both men and women
were developed.
The industrial revolution also helped in developing the fashion industry. New
technologies and invention of new fibers and threads boosted the garment
industry. These became the causes of boosting the fashion industry.

1.4 20th century:

During the entire twentieth century, the city of Paris remained the title of
being the fashion capital of the world, along with open aping of the French
designs by countries like US and Britain After the World War in the fashion
history, there emerged many other countries as being the fashion hubs and
this resulted in Paris left as only the influential factor.
Later on in this history of fashion, well known fashion designers such as
Calvin Klein and Ralph Lauren came into existence and crafted a niche for
themselves. Today, fashion is classified into two main categories- the haute
couture which is meant for individual customers and the ready-to-wear
collection, also known as prt wear, which is meant for the masses.
The early couturiers saw big opportunities in the dress making and designing
and it caught up and turned to be a big enterprise, with different people and
artisans taking different roles as merchandisers, tailors, and dress designers.
Back in 1868, a trade association was being organized by some pioneers of
the fashion world in Paris. Other European states soon followed and as such
FRANCE became the leading country of the Fashion industry. As time passed,
Fashion became the status symbol; the middle class society became richer
and had the capacity of spending more money, and slowly got established as
an unorganized industry. It became symbolic of the show off. By the time it
was 18th century, fashion had equally grasped the attention of both genders.

With the growth of textile industry the great fashion world and courtiers
underwent a sea change and started existing as separate and autonomous
industry.

Chapter 2: EFFECTS OF THE WAR

ON FASHION INDUSTRY

2.0 World War-I: Effect on fashion and garment industry:

Before World War I, people in West liked to wear body fitted suit. For this they
used to have their personal tailor or the dress designer. There were huge
differences in mens and womens dress. Once world war began in 1914,
huge numbers of the males died in the war and yet more were wounded.
Sometimes women had to take the official charges; she used to begin
wearing official dress like males. Women pants and shirts have mostly
evolved during this period. Women enjoyed greater liberty at that time. The
male dominating society had assumed that women could also handle the
world. Women finally got their authority of voting in America in 1920. The
fashion was also affected by their liberation. At the same time and in France
leadership in fashion industry was catching up. The designers were designing
regularly new sort of garments. Paul Poiret, Gabriel Chanel, Madeleine
Vionnnet and Jean Patou were the early trend setters. Chic pants for women;
bias cut body skimming dress and flappers were the darlings. Their styles
were copied for the public on all levels. The copying of style eventually
reduced the individual preferences of the person and the trend of readymade garments had been started then. The production of ready-made
garments took place at mass level, the consumption of this production
worried the manufacturers, and the number of retail shop started increasing
very rapidly. Specialty stores had been open for high-fashion trendy
costumes while general customers; chain stores were being open in big cities
at low price. As the purchasing power of masses increased, the numbers of
retail shop also witnessed an increase.

2.1 World Wars Implications on fashion:

The results of First World War were horrible. It broke the economic backbone
of many small countries. Huge amount of man power, money power and
friendly relation among countries had been demolished. In America, the
business reached towards its end. People had little money to buy anything.
The habit of credit also ruined the public. They were in great debt. So
frustrations were high and reflected in the mood of people. At the same time
Hollywood was going through its golden period. People soon followed the trail
and started following the stars. This is how fashion depicted by Hollywood
got spread out. Hollywood became a trend setter.

Chapter 3: FASHION AS BUSINESS

3.0 Fashion as business:

The concept of fashion as business has really been becoming popular at a
fast pace. There is no doubt that the world of fashion and modeling,
especially during the last decade or so has been transformed into a big
industry of its own.
The business of fashion ranging from small to bulk creations of various
fashionable products has brought together enormous possibility and
opportunities of making big money. A fashion business house or an
independent owner of a fashion business can earn millions by working hard
and exploring markets all around the world to market their products. The
emergence of fashion as big business has already witnessed the foray of
various big business houses in the world of fashion. Moreover, it is still
attracting various numbers of business tycoons and companies to invest in
the modeling and fashion industry. These companies foresee fashion as
business, which initially starts with a clothing line to name or label some of
their products as high fashion items. After initially covering the outfit brand
soon, most of the business houses start to include every possible product of
utilities needed for everyday life like jewelry, pendants, watches, glasses,
shoes, wallets, perfumes and hairstyles.
Large scale marketing strategy and availability of various modeling and
fashion products have really changed the customers' sense of selection and
exposure and another factor which gave a boost to the concept of fashion as
business is provided by the comparatively high buying power of the
customer. Fashion as big business is a profitable venture if run and managed
using proper planning and a robust strategy. In order to succeed there is
another important factor which is the ability to stay ahead with the fashion
updates and launching newest latest trends in the world of fashion

3.1 Steps Required To Start A Fashion Business:

Deciding Target Market:
The first step is to think of an idea and decide the consumer that you are
planning to target. This is likely to dictate the manner in which you proceed
with almost all other aspects of your fashion business. The fabrics you chose,

the manufacturers you hire, the colors you popularize, the fashion houses
and retailers that you tie up with are all likely to be decided based on overall
basic concept and the target consumer. For instance, if you are targeting the
wedding niche, then you are targeting young males and females who are
looking at buying themselves a wedding dress. Accessories, bridesmaids
dresses and bouquets can then be line extension once you have established
yourself. On the other hand, if you are looking at positioning yourself as a
green fashion label, then you will look at collaborating with other
environmentally friendly fashion houses.
Creating Products:
Once you have decided the target consumer and the concept, it is time then
to create the actual product and designs. This involves creativity, viewing
collections of various designers and exploring research ideas. Fashion design
is a continuous process that requires developing at least five to six
collections a year. The moment one line is complete the next one has to start
developing in your mind for your label to move on to the next season.
Following Up With Trends:
Trends are extremely important in the fashion industry. It is one industry
where you cannot relax and sit on your laurels of the past. The success of
fashion business necessitates keeping abreast with what the consumer is
buying. Information to this effect flows in from several sources
manufacturers representatives, fabric producers and from professional
online trend services that sell information regarding expected trends in the
coming season. Keeping yourself in the loop may require you to be part of
online forums and blogs so that you are aware of what really is being talked
about as the next best thing and be prepared for it.
Cost and Quality Management:
Controlling cost and maintaining quality are critical to the success of a
fashion business, as any other business. For this purpose a workable
business model should be developed because without good financial
planning any business is likely to fail. Boring as it may seem in comparison to
apparel design; bookkeeping is important and helps you keep track of
finances as well as material that you may send to a contract manufacturer.

Barring a few large companies who prefer in house production, fashion

business is largely based on contract manufacturing. A contract
manufacturer takes the cut material and sews the garment. Some large
companies even ship cut material to overseas contractors to save costs.
Maintaining a balance between quality and costs is extremely important as
you begin to grow and expand..

3.2 Manufacturing Works:

Contract manufacturing works on the basis of one operator sewing in one
piece. That means one operator sews only collars while the other, only
sleeves and one sews all the pieces together to produce the finished product.
In a modular method a group of operators sew the entire garment. This
ensures better quality of the end product. Fashion business that lays
emphasis on quality should opt for the garments to be sewn completely by
one operator.

Chapter 4: SEGMENTATION OF
FASHION INDUSTRY

4.1 Fashion Industry Segments:

1. Primary market industry segment that includes businesses that grow
and produce the raw materials that becomes fashion apparel or
accessories.
2. Secondary market the industry segment that includes businesses
that transform the raw materials into fashion in the merchandise
production phase.

Both markets serve as a link to the retail world.

3. Tertiary market the industry segment that includes retail businesses

such
as stores.

People who work in the segments must have knowledge of the other
segments of the industry.

Example: Creator of fabrics must understand how fabrics will translate

into finished garments.

4.1.1 Primary Market:

A key role in the development of fashion.

Phase involves technical research, planning, and complex production

processes.

Must be aware of current consumer needs and fashion trends.

Production schedule is ahead other than other segments

Generate the products used in the production of the final products.

4.1.2 Secondary Market:

Produce garments by transforming textiles to the finished product, or

wearing apparel.

Producers are responsible for designing, producing, and selling the

goods to retailers.

Interrelated and Interdependent.

Main types are: manufacturers, wholesalers, contractors, product

development teams.

Manufacturers:

Handle all operations such as:

buying the fabric,

designing or buying designs,

making garments,

selling and delivering the finished garments.

Wholesalers:

Similar to manufacturers, but do not make the clothing.

Design staff that produces the designs.

Purchase textiles or other raw materials necessary for the designs and
then plan the cutting of the materials.

Coordinate the selling and delivery processes.

Many of the top fashion design companies are classified as

wholesalers.

Contractors:

May be responsible for many aspects of production from sewing and

sometimes cutting to the delivery of goods.

May produce designs for merchandise that carries a stores label, or

private label.

Product Development Teams:

Teams that;

Design

Merchandise

Outsource work to contractors in the United States or outside of

the country.

4.1.3 Tertiary Market:

Also known as the retail industry

Retailing the selling of products to customers.

Retail operations distribute directly to the consumers who buy and/ or

use the products. (link between consumer and manufacturer).

Direct their purchasing and marketing efforts to their target customers

needs and desires.

Tertiary Markets:

Department stores

Variety stores

Off-price stores

Warehouse stores

Outlet stores

Non-store retailers

Support Industries:

Businesses do not always have their own in-house advertising

departments, accounting departments

May help lower operations costs and allow fashion companies to focus
on fashion.

4.2 Types of Fashion Business:

Three types of business organizations:

Sole proprietorship

Partnership

corporation

4.2.1. Sole Proprietorship:

The most common form of business

A business owned and operated by one person

One of the oldest forms of business ownership

Not controlled by federal government regulations; the business does

not exist apart from the owner.

Risks owner takes responsibility for all assets owned. Personally liable
for the company.

Taxes business profit is taxed as personal income tax at a rate less

than the rate imposed on corporations.

Pros and Cons the freedom to operate.

4.2.2. Partnership:

A business created through a legal agreement between two or more

people who are jointly responsibility for success or failure of the
business.

Taxes has fewer regulations than a corporation and each partner is

taxed separately on individual tax returns.

Personal liability each partner is personally liable for debts of the

partnership.

4.2.3 Corporation:

A business that is chartered by a state and legally operates apart from

the owner or owners. Charter a legal document that grants certain
rights and privileges to the company by the state.

The number one retail corporation in the world?

Stocks and Shareholders a corporation has the right to issue stock.

Prospective shareholders transfer money, property, or both, for the
corporation's capital stock.

Taxes profit is taxed to both the corporation and to the shareholders

when the profit is distributed as dividends.

Chapter 5: PRODUCTION PROCESS

5.0 Production process flow:

Production Process Flow refers to the process for converting fabric in
designer wear garments follows. The below mentioned sequence:
Design: The initial process starts from the designing phase.
Various patterns: Of clothing and the fashions in vogue, which also relate
to the tastes of the concerned clientele, are designed. This is done by the
contracted designer as he/she will provide the basic designs of which the
fabric will be converted into the designer wear garment. On average, a
designer is supposed to provide 40 designs per month or 100-120 designs
per season i.e. three months. From these designs, approximately 50% of the
designs are selected for further development of clothes.
Pattern Making/Cutting: Based on the designs selected, patterns for
cutting are developed and based on these patterns
Fabric is cut, embroided, block printed, and processed accordingly.
Stitching: The cutting is then followed by stitching, which can either be
done by the in-house stitching unit or by outsourcing it.
Labels are also attached to the apparels in this process.
Finishing: The final phase is that of finishing, in which the garment will be
checked for quality control and will cleaned (if required) for final presentation
at the outlet. The garments will also be tagged for identification of sizes,
prices, addresses, handling instructions, etc.
Presentation/Market: Once the designer wear garment is ready after going
through the above-mentioned process, it is presented at the outlet/shop for
sale to the clientele.

4.0.1: The fashion merchandize range:

Basic Products : generally sold throughout the year
Seasonal Products: shelf life of 12-25 weeks
Short-Season Products: shelf life of 6-10 weeks or less

4.0.2 The marketing mix:

 Product
Place
Price
Promotion
People
Process
Physical Evidence

4.0.3 KEY SUCCESS FACTORS:

There are a number of factors, which contribute towards the success of a
project. In case of the project of Boutique, some of the Key Success Factors
are as follows:

Proper care while producing dresses should be adopted

Proper Inventory management i.e. keeping minimum inventory as per
past sales trends.
The dress designs should be according to the emerging trends and
fashions.
Designing of dresses according to the consumer tastes/preferences
gathered through consumer surveys.
The location of the outlet should be properly selected and attractively
decorated so as to target the clientele effectively.
The customer satisfaction should be given due importance, because it
is the customer satisfaction, which can increase the sales. Hence,
excellent customer service should be provided.

4.1.4

Threats for the Business:

Competitive Structure of the market: The market of the boutiques is

highly competitive; therefore if the entrepreneur is not well responsive
to the tastes and response of the clientele as well as the fashions in
vogue he/she may not be able to capitalize the opportunity properly. .
Do not partner with a competing store.

Pilferage in the designs: The designs which a designer produces can be

sold by the staff even before that design is launched and that can pose
serious threat to the business because in the fashion industry it is the
uniqueness of the design which matters.
Selection of the wrong venue: Selection of the wrong venue can be a
major hurdle in achieving the desired business objectives.

Selection of the wrong design: If the designs are not selected according
to the tastes of the clientele then it can be detrimental for the
business, so the clientele taste should be properly tracked.

Tax: Improper documentation of the sales receipt record may lead to

problems with Tax department

4.1 RAW MATERIAL:

The raw-material required for such sort of projects, would be as follows:

Fabric: The fabric, which is the basic raw material requirement for a
boutique and a major component of the cost, can be obtained from
wholesale markets or from markets specializing in designer cloth at
Faisalabad, Karachi, and Lahore.

Accessories: Accessories such as buttons, laces, zippers, elastics,

threads, needles, embroidery threads, glasses, etc. will be procured
from the local market at competitive rates.

Labels, tags and packaging: Labels and tags can be obtained on order,
as these serve as an identity for the boutique and are useful for
promotion.

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4.2 Marketing plan:

The marketing of boutique follows the conventional marketing pattern which
is dependent on selection of venue of the outlet/s and the product mix
(designs and sizes), as well as the promotional strategy. Furthermore, the
boutique owner has to marketing techniques like:

Usage of print media: Printing of posters and pamphlets as well as

displaying it and distributing it at proper places

Advertisement in print media: Newspapers and fashion magazines,

etc.
Usage of electronic media: Projection of the boutique in fashion
programs, advertisement on television, and provision of dresses to
various television plays and films.

Event arrangement: Fashion shows and photo-shoots.

Usage of e-commerce: Launching of website and advertising on web.

Word-of-Mouth: Let your friends and family do the raving for you and
the word will get out and you will start gaining a business reputation
for offering this that or the other thing.

Radio: Call the advertising department for an appointment. They show

you what they offer. You get to hear your business name advertised on
the radio.

Chapter 6: BUYERS MEDIA &

ADVERTISING

6.0 THE FASHION MERCHANDISE RANGE:

Basic Products : generally sold throughout the year
Seasonal Products: shelf life of 12-25 weeks
Short-Season Products: shelf life of 6-10 weeks or less

6.1 ABOUT THE BUYERS:

The fashion press is interested in the designer not the salesman. The
buyers are interested in sales made in store not the salesman or
woman who presented the collection to them.
Buyers can be very protective over designers and brands that they
stock and understandably so. In a world which appears dominated by
mainstream commercial fashion on the high street, away from the high
street independent boutiques rule and fashion buyers within these
stores have high expectations.
They operate in a world of their own, all are forever busy, some are
lovely, polite and genuine, and others are not. This is not a dog eat
dog world, but can, and often is, one where claws are sometimes in
and sometimes out.
Success lies both in the products and the presentation, orders are not
guaranteed so remember, some buyers will and some buyers wont
place orders with you for a myriad of reasons. The actual skill in taking
orders lies in our art of persuasion and the strategies we employ to get
the desired results.
Buyers the world over tend to make similar decisions when deciding
which fashion collections to stock in a given season. Their choice of
collection will always differ greatly, depending upon personal
preference, customer type and location, however when choosing which
labels they plan to view for the season, they base their decisions on a
number of factors.
Every season, fashion buyers receive an unparalleled amount of
information pre season from every designer and brand seeking to get
in front of them. Clearly their choices can be influenced by press
coverage and marketing as well as discoveries they have made

themselves, whilst a lot of information received is discarded simply due

to presentation or more importantly, the lack of.

6.2 Media in fashion:

Media in fashion has an important role to play because of the fact
that fashion journalism has emerged as a significant part of the
fashion business. With fashion emerging as a big industry in its own
respect, there have been so many factors that have strong influence
on this industry and fashion media is among them.
Moreover, like any other filed there is much more awareness in
people regarding the editorial critique and commentary which
appear in fashion magazines, newspapers on television, internet
through fashion websites, social networks and in fashion blogs.
People get to read honest reviews about fashion trends and much
more. It is one of the reasons which have made fashion industry
understanding the role of media in fashion.
During the starting of the 20th century, the presence of media in
fashion began to increase gradually. The magazines dedicated to
fashion and fashion runways began to feature images of different
fashion creations and became even more influential on people than
in the past. The role of media in fashion was clearly visible from the
fact that in big cities across the globe these magazines were selling
like hot cake and left a profound effect on public clothing taste.
One of the most famous and influential mediums of fashion media
was the Vogue magazine, which got founded in the US in 1892. It is
still one of the longest-running and at the same time one of the
most successful fashion magazines with a loyal fan following. Over
time there have developed so many other channels through which
the presence of media in fashion is clearly seen. There are
thousands of fashion websites that combine the merge traditional
editorial writing with user-generated content.
Fashion media presents people with the all kind of information
regarding fashion and there are many people who follow what
fashion media says. This clearly shows that the role of media in
fashion industry is of great importance because it is quite an
influencing medium with greater reach.

6.3 CREATING A BRAND:

Building a brand is expanding your company from the products that
made it fabulous and successful. You engage your loyal customers and
appeal to your target market and translate the quality and integrity
you are known for into other products.
Many of todays popular & iconic fashion brands that started selling
their fashion & accessory merchandise on market stalls aspire to
having their products sold through premier retailers and some
succeeded where others failed

6.4 Operating a fashion house:

These are the requirements to open and to operate a fashion house:
Identity: You would need to name your clothing company and design
your logo. This would become your brand in a while, your own identity
as a clothing company. In order to design an appropriate logo and
brand name you need to decide what you want to sell. Your
specialization would also help you find your niche which is so important
for your success
Niche: Decide what you want to sell. Women s clothes, men s, children
s, beach wear, sports wear, casual wear, evening wear, etc. You need
to choose what you want to sell so you could work out the rest of your
plan on cloth store. This decision would put you in touch with your
customers and this is the first step towards building your market.

Marketing: The whole world is your market. Whether you are a

boutique in the real world or in the virtual world, your market would set
the working parameters for your business. Once you have zeroed on
what segment you are planning to target, you would be able find out
what the fashion trends for that segment are and which particular area
you can excel at. This ability to focus is imperative if you plan to
succeed.
Business Plan: This is your blue print. Without this you would not be
able to move too far. You need to write down everything right from
scratch. A business plan would involve both time and money budgets.
You need to work out your business policies such as working hours,

return rules, stocking, inventory, selling rules, and so on. You would
also need to work out here your advertising and marketing plan as well
as employee details. Your expansion plans, use of profit, investment
and partnership policies.
Start Up Costs: Find out the minimum you would need that is the
recurring monthly costs (plan for the first year 12 months), the goods
costs (plan for the first three months stock) and operation costs (plan
for the whole year). Add 10% for unforeseen expenses which by the
way would be much more than you would expect and the sum you get
is what you need in hand before your launch your business.
Location you have two choices here (i) the virtual world or the Net
and (ii) the real world. It is not necessary that you choose only one. You
could have both and this would be simply great for you if you know
what you are doing. Location in the real world would depend on two
major factors (i) your ability to pay for it and (ii) the visibility of that
location to the target segment you plan to focus on.
Suppliers you need to have a couple or so of good and reputed
suppliers before you are even considered as existing in the business.
When you are completely new this is pretty hard. However, you could
try the snowball effect with the help of recommendations from
established sellers in the cloth business.
Market and advertise: You need to create demand for the goods you
are planning to sell and draw the attention of your target segment to it.
There has to be a hunger created for the type of products you are
promoting even before they are available. If your shop is in the real
world, use traditional and creative style of advertising billboards,
television ads, radio and newspapers. You could also use the Internet
for advertising even if your shop would not yet have a presence in the
real world. In case your shop is being set on the Internet, use BUM
Marketing tactics to put it up on the search engines result pages and
create your base. This is initial hard work but the rewards are mind
blowing.
Personal Inspiration: You would have to have a source of inspiration;
and inspiration here does not mean a mascot or a motivation point.
Rather it means the guiding force for your business information about
trends, market and networking

 Fashion sales is perhaps one of the most under represented &

unspoken about areas within fashion, yet without sales everything else
becomes redundant. A beautiful collection will remain a beautiful
collection of samples if no orders are secured. A catwalk, a photo
shoot, a PR campaign without retailers stocking the merchandise
becomes meaningless.
You need to find a niche where you can excel. Only then you could
advertise and attract your customers. Without a niche you would not
be able to lead and without something that differentiates you form the
rest of the crowd, you could never create an impact in the mind of your
customers. No impact, no customers, no business.
your customers need to know about you and initially, when you are
new and the ad campaigns have not build you up into a giant yet, they
need to see you. Hence, location is as important as the capital or your
niche. A bad location can kill your business within no time; just as a
good location could boost it. Whether you are launching your clothes
shop on the Net or in the real world location is a very important point.
you would need a number of permits to start your boutique and
clothing shop electrical permits, business permits, wholesale permits,
and what not. Check out with a professional law firm to ascertain what
the exact dictates of the law of the land are in your region.

6.5 Advertisements in Fashion Business:

Fashion advertising is a branch within the advertising field which focuses on
creating promotions for the fashion industry. Some of the most famous
advertising campaigns in history have been campaigns for major fashion
houses. Fashion advertising includes advertisements for garments, purses,
shoes, and similar products of fashion houses, along with high end perfumes.
The goal of fashion advertising is to connect potential customers with the
brand. As with other brands, fashion ads promote a lifestyle just as much as
the product, teaching consumers to associate a particular brand with a
specific lifestyle and social class. The tone and content of ads may vary,
depending on which market the company is trying to target, ranging from
very wealthy individuals to people with less disposable income who could still
be a valuable customer base.
In short fashion advertisement includes fashion designing, fashion business,
fashion marketing.

6.5.1 Use of Technology in Fashion Business:

Developments in technology have allowed the fashion industry to expand to
new and unique product lines. The most significant trend in the industry is
the development of smart fabrics that leverage nanotechnology. Clothing is
also increasingly multifunctional; for instance, companies have been working
towards integrating cell phones, mp3 players and other devices commonly
found in a handbag to slide into sleeves or jacket.

6.5.2 Trends & Emerging Issues:

For Macro Trends:
The next decades will see the gradual convergence of nanotechnology,
biotechnology, information technology and cognitive technologies. Typical
results will be materials with different tensile, thermal and optical properties,
integration of IT into fabrics, and linkage of our bodies to the network for
medical and communication purposes, via clothing or skin-wearables.
Smart fabrics will expand the qualities and characteristics of clothing, for
instance, anti-odor properties can be added to fabric.
Globalization has led to outsourcing, particularly in the textile industry.
Companies are increasingly managing global supply chains, making them
sensitive to international politics and natural events, like weather patterns
and disasters.
For Market Trends:
Clothing and retail companies are increasingly offering customized clothing
and involving the customer in the design process. Customers can customdesign a pair of Nike ID sneakers; Lands End has an online program to allow
users to create personalized clothing.
Fashion designers are spreading into new online markets: several
hundred clothing designers sell digital fashions for avatars in the virtual
world Second Life.
New fabrics are being developed to provide power generation using solar
power, electromagnetic, thermal and mechanical means.

Chapter 7: RISKS

7.1 Fashion Risks:

Risk the possibility that a loss can occur as the result of a business
decision or activity.

Risk management a strategy to offset business risks; a systematic

process of managing an organizations risk exposure to safety,
environmental factors, and the law.

7.2 Types of Risks:

Three types of risks:

Economic Risks risks that occur from changes in overall

business conditions.

Human risks risks caused by human mistakes as well as by the

unpredictability of customers, employees, or the work
environment.

Natural risks risks that result from natural causes such as the
weather.

7.3 Other Risks:

Pure risks risks that occur when there is a possibility of a loss, but no
chance to gain from the event.

Speculative risks that occur when gains or losses are possible.

Controllable risks that can be prevented or reduced in frequency

Uncontrollable risks events that a fashion business cannot prevent

from occurring, such as weather.

Insurable risk pure risks that could exist for a large number of
businesses, including those for which the probability and amount of
loss is predictable.

Uninsurable risks risks that occur when the chances of risk cannot be
predicted or when the amount of loss cannot be estimated.

Chapter 8: Creative Marketing

Strategies for the Fashion Industry

Creative Marketing Strategies for the Fashion Industry:

The fashion industry is a popular and competitive industry. With so much
competition, it's imperative that clothing designers, jewelry designers, shoe
designers and even boutique owners find creative ways to market their
brands. In order to do this, fashion brands must keep the potential
customer's prospective in mind from the product development stage to the
product evaluation stage.
1. Goals: Regardless of your niche in the fashion industry, before you
start brainstorming creative marketing strategies, it's important to
analyze your market and come up with a couple of measurable goals
you'd like to achieve with your marketing efforts. As a boutique owner,
your goal may be to create a campaign that attracts more visitors to
the store to bring in higher sales each month. As a fashion or jewelry
designer, your goal may be to introduce your new fall line and receive
at least ten initial orders.
2. Networking: One of the most time-tested and inexpensive ways to
creatively market products in the fashion industry is through word-ofmouth. If you're not personally speaking to your customers, be sure
that you have brand ambassadors who can communicate effectively
with your customers about your products. These brand ambassadors
should be people who actually wear your items and will share their
positive experiences with your brand.
3. Look Book: A look book is an essential piece to a creative marketing
strategy for anyone in the fashion industry. A book filled with glossy
photographs provides editors, potential buyers and even potential
customers with an idea of what you can create. Work with a
photographer who understands fashion photography and consider
hiring a stylist for the shoot. Be sure that your look book includes
information about you, how your brand got started, your direction and
your contact information.
4. Fashion Blogs: People are frequently introduced to brands by friends
and family, but they often venture online to do their research and look
for reviews from other customers. A big part of the online community
includes blogs and social networks. In many instances, bloggers are
also tweeting about the topics they discuss on their blogs.
Because of this, it's beneficial to establish strong, mutually beneficial
relationships with local and national fashion bloggers and websites as a
part of your creative marketing strategy. Develop interesting angles, as
they are inundated with requests from up-and-coming designers daily.

Send a professional pitch and your look book. If you need help locating
bloggers and websites or determining what to send, contact a public
relations professional for assistance
5. Fashion Showcase: Consider hosting a small gathering of 30 to 50
people to debut your line or boutique to key people in the fashion
industry. Invite bloggers, editors, buyers and potential high-profile clients.
This is a creative way to network and personally introduce your brand
through your own vision. During the event, allow time for a small fashion
show, and also display items throughout the room. You can use your look
book as inspiration and tie elements of it into your event.

Chapter

Entrepreneurship in Fashion Business:

Fashion entrepreneurship is about combining design, business and
manufacturing knowledge.
Some things can be outsourced or brought in but some things are critical for
the fashion entrepreneur or the management team.
These are the three categorized capabilities that are required for
entrepreneurial qualities in a fashion business:
1. Ability to develop a new symbolic language, a style that is experienced as
distinctive, consistent and new.
2. Ability to manage the process of communication on which fashion
depends.
3. Ability to understand and manage strategic, marketing and branding
issues for the fledging firm.

Customer-focused Fashion Retailers

The customer is King. That certainly is the case as many retailers are
focusing more on the market and the consumer needs rather than being
brand and product focused. High, medium and low-end fashion retailers are
presenting customers with collections which are more and more interesting
designer collaborations and mixture of high- and low-end designs. Retailers
are finding newer ways for consumers to experience their products. The idea
is to bring customers to the stores and provide them with a unique shopping
experience. The unique shopping experience involves more entertainment to
the customer for having a good time rather than being just a status/lifestyle
symbol. The fashion retailers are also educating the customer by providing
more information about products. Customers can even know how the
products are made and why they cost what they do. A few retailers have
displays/signage with product explanations.

Popularity Portion for Fashion Business:

The following pie chart leads us to some idea how much popular fashion
businesses are to be chosen as a source of income around the world market
of business.

Source:https://ece.uwaterloo.ca/~dwharder/TechnicalPresentations/VisualAids/Chart
sGraphs/PieCharts/

Chapter: ENDING

CONCLUSION:
The fashion industry is unique, artistic, profit driven and at the same time
very demanding. In this industry one person can make a big difference and
there is always room for more. The first two years are critical for the success
of a fashion business. Without help it may become difficult for new designers
to survive in fashion industry.
Success in the fashion business is as easy or as difficult as success in any
other industry. Irrespective of the industry that you are entering, it is
essential that you understand the unique characteristics of the trade and the
industry before you take the plunge completely and sink in the investment.
However, the good news is that www.StartingaClothingLine.com offers a
complete agenda of what you need to know before and after starting your
own fashion business line and this includes fashion design, fashion design
products like design software, branding, marketing and positioning a fashion
label, contacting retailers and getting your line in the outlets, supplier
contacts and step by step guidance that ensures success in the fashion
industry.

LITERATURE REVIEW PART:

The report, produced by Forum for the Future and Levi Strauss & Co.,
describes how fashion companies can be successful by becoming
sustainable.
For the fashion industry to be sustainable economically, it must be
sustainable socially and environmentally too. These provocative
scenarios challenge all of us to look beyond the short term and use
our collective power to work to create the kind of positive world
wed like to see in 2025.
John Anderson, president and chief executive officer of Levi Strauss
& Co.

Companies need to be seeding innovation and new ideas now in

order to thrive in a resource constrained world. We need thoughtprovoking research like Fashion Futures to help us collaborate and

advocate for the right future solutions around the most important
issues on sustainability"
Hannah Jones, Vice President, Sustainable Business and Innovation,
Nike Inc.

A CUSTOMER DRIVEN OPERATION: It is a customer driven operation.

The process starts with the customer (customer needs and use
situations) and ends with the customer (the customers level of
satisfaction). (Walters, 1999)