Post Index

Saturday, August 23, 2008

Private label

It is heartening and exciting to meet others of like mind. Malissa Long is one such person. I clicked my heels in midair (well, alright! It’s a metaphor. . . but I can do it) when I learned of her decision to offer private label collections to boutiques in Austin. Among the boutiques: Girl Next Door, Adelante, Blackmail, Soigne, Envie, and by George. I do not know of the boutique owners' decision.

I often broach the subject of private label when I meet independent apparel retailers. Three
things come out, typically:

They have thought about it, but it’s too expensive,
They have thought about it, but do not know how to go about it, and,
They have never thought about it.

Malissa is typical of the vast number of individuals talented in apparel in Texas, Virginia, Oregon, Florida, California, Matamoros Mexico. I mention these locations because these are just a few of the places from where this blog receives returning visits. Clearly, people are curious. They want to know how they can utilize and benefit from their KSE as independent contractors in apparel. Malissa is talented in the creation of patterns and is well prepared to tackle the challenges boutique owners see in private label:

They are hard to produce.
They are costly.
The time involved is too much.

Malissa is not reinventing anything. She is merely accessing free open source patterns that are
out there for anyone to use. She will work with clients on any adjustments, alterations to
produce the owner’s desired wishes. Contact Malissa if you're ready to try out your own private label. That sounds like an Olympic Gold idea!

Thursday, August 21, 2008

Lessons from an Olympic gold medal winner

Everybody's looking for gold! Some lessons from a gold medal winner at the 2008 Olympics in Beijing China.

He, like many competition athletes, did not come to China to have fun. He came to take care of business. The business of sports is competition. The profit/loss business ledger columns of business are the win/loss columns of sports competition where a win is profit and a loss is a loss, still. He came for the gold.

Michael Phelps, the twenty-three year-old from Baltimore Maryland, has forced even the most disinterested to take notice of his remarkable Olympic feat: An unprecedented eight (ocho) gold medals in men’s swimming competition to surpass Mark Spitz' 1972 longstanding record of seven.

We spectators may find it difficult to accept this view of Olympic sports competition. It doesn’t sit well with our romantic, couch view of sports as entertainment. This is not a throw-off on capitalism or competition. It is about a lesson of independence and team work.

I wrote a Spanish post on the "Treasure of the Maquiladoras" ("El Botin de las Maquiladoras") a while back. The point of that post was to illustrate although the maquiladoras (apparel assembly manufacturers, primarily) in south Texas are gone their treasure, their gold, remains. That valuable treasure is the Knowledge, Skills and Experience which remains as the sole intellectual property of the independent former workers who now earn their livlihood at McDonald's, Walmart or the call centers and plastic injection molds which continue to seize the labor-force opportunity left behind in south Texas.

These same individuals possess the capability to team together with local independent apparel retailers; a virtual apparel manufacturer. I receive a regular stream of emails from designers in need of pattern makers and a manufacturer. At least one of them has expressed her desire to discontinue her business with China manufacturers. She has decided to go for the gold in the US, instead. Why are these two, independent individuals and independent designers, apparel retailers, not seizing the valuable treasure in their communities for the creation of their apparel items, their apparel line? They are both looking for gold, but both seem to look past each other.

As impressive as are Michael Phelps’ accomplishments they are a powerful testimony and lesson about trust, confidence and risk. Although he tied the world record when he won seven (siete) gold medals as an individual there was one more. The only race left where he could possibly, and quite likely, win another gold medal was the 4X100 medley relay; _ not as an individual swimmer, but as a team member.

Lest you think, “It’s only a game”, that is not the mindset of competition athletes. The decision by Michael Phelps to play as and be a team member was potentially costly. His image was at risk had the team suffered a loss. However, I believe it was more than just another race for him. It was an golden opportunity to play, compete and win as an American team member. He believed in the capability and willingness of his teammates to take the risk and go for gold together with them.

Take care of business. Go for the gold. Enhance your competitive edge. Build your team. Build your IC-Network.

Sunday, August 17, 2008

A logistics perspective on apparel outsourcing

This article clip on apparel is from a logistics perspective. Logistics is all about the chain stretching from order placement, design, materials, manufacturing; to order delivery. Clearly, outsourcing is not the cure-all for ills affecting US apparel retail and manufacturing. Although the setting here is the global stage the issues and their solutions are real for local independent enterprises and independent retailer networks, too.

These three things stand out about outsourcing:

The pursuit by apparel companies for lowest prices continues.
The problems of contractor turnover.
Poor apparel/contractor relationships translate into poor product quality.

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Hot Topics in Apparel

Strengthening Outsourcing Relationships
Apparel companies' relationships with contract manufacturers in low-cost countries have historically been transient. Deals sometimes last only a few months as brands continuously pursue the lowest cost. On average, one-third to three-quarters of an apparel company's contractor portfolio turns over every year.
But this relationship-hopping comes with a price: poor product quality and contractors who are unwilling to invest in enhancing operations.
"Flitting from contractor to contractor hinders flexibility, hurts quality, and invites social compliance and visibility risk," says David Aquino, research director of the Industry Value Chain Strategies Service at AMR Research, Boston.
Some brands are ameliorating this risk by taking a more strategic approach and pledging longer-term commitments. They're also putting more feet on the ground -- either their own local personnel or in-country logistics or sourcing partners.

They're hoping a rationalization of suppliers and longer-term deals will build the trust required to spur contractors to invest in technology and equipment, boost quality, and prioritize their work.
Apparel companies are also setting up supplier portals to enhance long-distance communications. The most successful companies build global sourcing infrastructure slowly and methodically, rather than rushing in, Aquino says.
"We prefer to stay with the factories we have good relationships with," says Lisa Kuhns, account manager at The S Group, Portland, Ore., which maintains offices in major production countries to offer a local presence to apparel companies lacking the resources to build infrastructure themselves.
"Having strong relationships gives us better negotiating power, and helps hold down prices on behalf of apparel companies," Kuhns says.
In addition, apparel companies are getting more involved in raw materials sourcing, a task previously left to contract manufacturers. It's a strategy designed to shore up quality, which tends to suffer in the move from factory to factory.

Pinpointing New Low-Cost Countries
Rising prices in southern China are driving apparel companies to new low-cost locations throughout Asia, and focus has begun to shift to African and Pacific Island countries. But sourcing from these countries can be risky because they lack apparel production training and infrastructure.
"Critical mass has to build up before large air and ocean carriers can offer fixed-day service out of a new location," says Tom Wyville, vice president of marketing for FMI, a Carteret, N.J.-based 3PL.
It's a challenge to move to less costly, industrialized areas without higher transportation costs wiping out the savings. 3PLs and sourcing partners are helping apparel companies by opening local offices that offer services to hold down logistics costs and provide visibility and quality control. Logistics strategies include blocking out space with air and ocean carriers and operating consolidation centers.
But the number of new sourcing locations is finite. "The world is round, and eventually you come back to where you started," notes Mark Cohen, CEO of Tracy Evans Ltd., an apparel company that has returned to sourcing from Central America after a brief shift to Asia.Smart apparel companies operate multiple supply chains, balancing near-shore with distant sourcing locations, and maintaining reserve capacity to meet unexpected demand.

Saturday, August 16, 2008

Grow your business on a weak US dollar

Profits from export sales are up for US corporations like Microsoft, McDonald’s and California wine makers who are taking full advantage of the weak US dollar.

A weak US dollar could present a mutual opportunity for at-home custom-apparel Independent Enterprises (IE) and Mexico (or, US) Specialty buyers.

A weak or slow economy is often seen as being bad for business and not a time for taking a risk. However, you can grow your business on a weak US dollar, too. Specialty products and services often take a back row to the company’s core business until the economy recovers. However, Independent Enterprises and buyers need not rely on high volume to sustain and grow their business even during a down economy.

Because both are among the smallest business units, compared with major manufacturers and mega-chain store retailers, they are best able to change into a surge mode the moment the economy rebounds. While many downsize their operations into a “survive the slump” mode these Independent Enterprises, because they are already “downsized”, don’t need to think or act small. They are forward and progressive thinking about opportunity. Some incoming revenue is better than not at all, but perhaps more important, parties involved are setting themselves to be ready for the economy re-surge.

What could make a partnership between an IE-Network and a custom-apparel Mexico Specialty buyer attractive and grow your business on a weak US dollar?


1. Individual attention to buyer’s client preferences.
2. Network can be as big or as small as buyer wishes.
3. Diversity of talent.
4. Potential of ever expanding IE-Network base.
5. No contracts or commitments to buy.
6. Networks and buyers, alike, are mobile.

IE-Networks can sell their “Made In USA” label, proudly and confidently. Specialty buyers can give IE-Networkers assurance of prompt payment-for-services through the setup of a Commercial Credit transaction account with a bank in the Network’s area. Even better, set it up online for electronic quickness.

I can imagine you’ve got questions. I do not have all the answers, but _ we can talk.

Monday, August 11, 2008

Independent Enterprise Network presentation

You are invited to attend a Powerpoint slide presentation on

CANCELED
My apologies for the inconvenience. Reschedule to be announced.
Independent Enterprise Networks


The Powerpoint presentation is an overview of the at-home IE-Network model:

Profits
&
Strategies

6:00PM
Friday August 15

Caffe Panini
(Conference Room on premises)
1105 S Mays Street
Round Rock, TX 78664

Caffe: http://www.caffepaninitx.com/

location: http://www.caffepaninitx.com/1698692.html

Who should attend?

Independent Apparel Retailers

Independent Apparel Contractors

Independent Computer Systems Builders

Questions or comments:
GTorresCUE@gmail.com 512.218.4627

Saturday, August 09, 2008

Lining up to buy fabric from Mexico

They are lining up to buy fabric following the news release by the USTR.

The doors have just opened wide . . . for Central America.

Actually, the international conference call on July 2 by US Trade Representative Scott Quesenberry was to reassure all parties Mexico denim fabric exports to CAFTA member Guatemala will start on August 15. The savings for factory owners range from 30 to 40 percent over US-bought fabric in the past. Of course, as we know there is no longer a textile industry in America to produce the fabric for which apparel producing countries have been starving. Apparel produced in these CAFTA countries using Mexico fabric is than imported into the US duty-free, without quotas, and, _ very cheap.

This raises some questions in my mind. I submitted my question concerning ICs in Texas to the USTR on August 08 and will share their response as soon as I receive it. My question: Is this duty/quota-free denim fabric available to ICs in Texas?

Do fabric retailers, such as Hancock and Jo-Ann have an interest or plan to procure Mexico denim fabric for their customers?
If the cost-savings are so appealing for factory owners are they any less for ICs?
What if a local IE-Network of at-home apparel makers approached the store management to make known their wishes for this fabric?

Actually, this may be an opportunity best seized by an independent Mexico entrepreneur.

What if this fabrics vendor turned right around to place, pickup and purchase custom apparel orders from IC-Networks in Texas for his/her clientele in US or Mexico? Any international import/export issues would be his business to handle, not that of independent contractors.

What if your private label caught the vendor's eye? Are you ready to meet the buyer’s requests?

FYI: Powerpoint business presentation to be announced August 11 on this blog.

Saturday, August 02, 2008

Independent apparel retailer unity

“No, but sounds like a great idea!”

That was the reaction from an independent apparel retailer in Round Rock to my question: “Is there an association of independent apparel retailers?”

Consider this my invitation to all: If you can enlighten me to the existence of such an association, organization or network to unite independent apparel retailers I would like to know about it. Also, I invite you to view, “CHALLENGES OF THE FUTURE”, a resource by the Illinois Retail Merchants Association.

What effect does the IE-Network have on the unity of independent apparel retailers?

First, unity among IRs means merchandisers and others businesses will see and hear them as a body.
Second, unity ceases to be a mere slogan or wish, but a reality. Independent retailers who unite can exercise their business clout to leverage textile suppliers and retailers on behalf of the IRs’ apparel-makers network.
Third, unity gives IRs a voice in local government.

The link above is the actual text. The five-point text below reflects my red highlights added for emphasis. Here is one portion I highlighted.

Some of the trends affecting retailers discussed in the report are:
1) the increasing amount and intensity of competition;
2) the impact of major demographic changes like the aging of America, the growth of the Hispanic population, and economic clout of the “Y Generation” born 1981-1995 as the largest consumer group in US history;
3) the backlash against chain expansion in smaller communities;
4) the impact of soaring healthcare costs on retail businesses; and
5) the ever-blurring delineations between market segments and buyer groups in the US.

1. The competition is not going away. It is not only from overseas, but across the street, across the street. Increasing sales revenue must come from something more than less expensive procurement. A retailer’s local, private apparel-makers network offers great promise for reducing procurement costs by minimizing or eliminating conventional inventory stockpiling practices.

2. The buyers represented by these demographic groups can best be reached through IE-Network members who themselves, as apparel-makers, both young and old, represent the community demographics. I have heard from so many young girls and young women a mere two, three years out of high school who have great desire and ideas for fashion. What snuffs their creativity is not knowing or being able to partner with independent retailers. Despite their youth many of them have old, conventional paradigms, “I-need-a-lot-of-money-to-start-my-business” mindsets toward getting into the apparel business.

3. Perhaps the best indicator of this backlash is WALMART has committed to taking on the “small business” look in local communities. Whether they achieve that is not so much the point as that they see the value of you of the independent small business.

4. I believe the allusion in this IRMA source is to BIG retail business. Nonetheless, contractors, in the truest sense of the word, represent a way for retailers to continue to build with their former employees Knowledge, Skills and Experience as independent contractors and eliminate healthcare costs.

5. This point is closely related to the first point on the demographics makeup of the community.

Star certification for independent contractors

What's the advantage of Star Certification for independent contractors?

There are two groups in the private business sector which are the focus of the TSR IE-Network model. They are the individual, private, independent enterprises (IE) of contractors and retailers. Although the primary focus is on at-home apparel makers and computer systems makers the model will extend into other areas to include; automotive, AC installation/repair, cable installation, housecleaning, roofing, satellite dish installation and more. These two sectors, independent contractors and independent retailers, are represented in large numbers throughout America. Despite the great amount and diversity of talent they are often unable to establish and grow their enterprises.

Star certification could make the difference. A Star Certification program for IE-Network members is under development and is expected to be completed by launch of the IE-Network model in Round Rock Texas. Star Certification is a means of reassuring the IC’s private clients, consumers and the IC’s retailer for whom he/she fulfills apparel orders. Overall, Star Certification establishes a standard on par with any other in the market. It is an invitation to the general public to place their trust for quality workmanship and service on independent contractors and independent retailers. The IC can display his/her Star Certification for customers. Customers can view rank (3 star, 2 star and 1 star) and grade level details of the IC's profile for their specific talents as well as customer testimonies.

The Star Certification is structured with 3 ranks and 6 grade levels. These are some of its elements:
· Verification of number of service calls performed within a specified timeframe.
· Verification of service fees associated with those service calls for purposes of determining IC grade level. (For example: Under $50 in a 1 year timeframe would classify as a One Star rank, A4 - A6 grade level; Over $1500 in a 2 year timeframe; Three Star rank, A1 grade level.)
· Verification of experience.
· Verification of education.

The Star Certification will be available for an affordable as yet to-be-determined fee. The program will be conducted through an independent accounting firm. TSR is committed to supporting independent contractors and retailers in the establishment and development of their enterprises through the creation of IE-Networks.

Sunday, July 20, 2008

Network marketing scams

The red text in this post is taken from the last paragraph at this link. The comments which follow the red text are mine. I have provided two additional links. None of these are presented here as alerts, condemnations or endorsements by or of WorkingMannequin or the at-home IC-Network model. Rather, they are for you, reader, to make a comparison of the at-home IC-Network model (known as IE-Networks, also) and networking marketing businesses in general with the benefit of the information provided by these resources.

I can state unequivocably and confidently, the IC-Network is a solid, legitimate Independent Enterprise business model. True, because TSR, Inc. is neither registered nor conducting business it will not appear in these network marketing watchdog sites. However, given the general lack of understanding of network marketing I can well anticipate the knee jerk reaction by some to cast it in the mold of a scam. This blog has been dedicated to informing and enlightening readers to the nature and function of the IC-Network model. You are encouraged to review the FAQ link on this blog. WM


With network marketing,

there are no big capital requirements,


IC-Network membership cost is an average of 10 dollars a month or $120/year.


no geographical limitations,

IC-Networks are local, regional, statewide and nationwide. Only the individual networker decides if and when they wish to extend their network beyond the immediate local setting.

no minimum quotas required

IC-Network members are independent and as such are not obligated to fulfill any quotas toward TSR, Inc.

and no special education or skills needed

There is much written about Knowledge, Skills and Experience (KSE) on this blog. People acquire, and sometimes amass, much KSE in their respective fields of employment. They learn well, for example, how to create apparel items or build computers for their employer. However, even this KSE is not a requirement to obtain network membership.

Network marketing is a low-overhead,

The at-home IC-Network model utilizes equipment or tools (such as sewing machine or computer troubleshooting skills) in the possession of networkers, already. Even when someone might choose and need to acquire, for example, a sewing machine, it is not an expense that would indebt them for large amounts.

home-based business that can actually offer many of the tax advantages associated with owning your own business.

Tax advantage strategies are all about how business corporation owners not only increase their profits, but, more importantly, how much they keep.

Network marketing is a people-to-people business that can significantly expand your circle of friends.

While this is certainly true, IC-Networks are more than a social hangout club. They are a means for leveraging, or multiplying, an individual’s income.


It's a business that enables you to travel and have fun as well as enjoy the lifestyle that extra income can provide.

If leisure travel is what you desire that is for you to plan. Otherwise, a networker’s business travel in pursuit of expanding his/her network is their private decision, strictly.