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Global Fashion Industry

Global Fashion Industry






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    Global Fashion Industry Global Fashion Industry Presentation Transcript

    • The Global Fashion Industry
    • Global jeans Where do the clothes you are wearing come from?
    • Nike produces 75% of the world’s trainers • BUT………none are made in the USA • Their factories are in 40 countries mainly in SE Asia including China & Vietnam • WHY??????
    • NICs – Newly Industrialising Countries
    • Raw materials Head Office Nike Factory In SE Asia Nike Sports shops Cotton & rubber from plantations in LEDCs – Decisions made in MEDCs – TNCs factory in LEDCs – Nike has 50,000 shops selling their products around the worldmanual labour, usually women, in factory – trainers cost 75 euros – managers from MEDCs – profits go back to MEDC - wages are 2 euros a day – design of trainers in MEDC - people work 14 hours a day, 6 days a week
    • Changes in wages Why do you think TNCs moved their factories from the UK to Japan in 1960’s? Why did they move again in the 1990’s? Where to?
    • Nike. Cool eh? • On the next few slides you will see a few posters or adverts that have appeared in different countries around the world. 1. What do the posters tell you about Nike? 2. How do you feel about Nike now? 3. Explain why you will / will not buy Nike products.
    • In 2000, he signed a 5-year, $105 million contract extension with Nike. Woods' endorsement has been credited with playing a significant role in taking the Nike Golf brand from a "start-up" golf company earlier in the past decade, to becoming the leading golf apparel company in the world, and a major player in the equipment and golf ball market. Nike Golf is one of the fastest growing brands in the sport, with an estimated $600 million in sales. Woods has been described as the "ultimate endorser" for Nike Golf, frequently seen wearing Nike gear during tournaments, and even in advertisements for other products. Woods receives a cut from the sales of Nike Golf apparel, footwear, golf equipment, golf balls.
    • Some figures……. • Trainers cost 75 euros or more to buy ($100) • Trainers cost 4 euros to make ($5) • Workers making trainers are paid 2 euros a day • The boss of Nike earns 737,463 euros a month
    • Share of the money • For the 75 euro trainers– – – – – 50% goes to the shop selling them 25% goes to the Company making them eg Nike 13% is the cost of production (raw materials & factory) 11% are the transport costs 1% are the wages of the workers
    • Pay millions of dollars to sport superstars to promote their product. Pay workers in foreign countries $2 per day to make their product. Charge their workers for their lunch – 27 cents a day. This comes directly out of their pay cheque.
    • What do you think she might be thinking?
    • Nike. Cool or Cruel? 1. What do the posters tell you about Nike? 2. How do you feel about Nike now? 3. Explain why you will / will not buy Nike products.