SUBJECT: FASHION BUYING

FINAL PAPER SUBMITTION

SUBMITTED BY:

MUHAMMAD HANZALA

9870

SUBMITTED TO:

MISS LUJINA WAHEED QURESHI

DISCIPLINE: MASTER’S IN DESIGN MARKETING & MERCHANDISING

Q:1 Read the business case carefully and answer the following business question:

If you were Randall, which, if any, of the suppliers would you choose? Why? What are the
consequences that may arise by going with one supplier and not the others? Explain the advantages and
disadvantages of each of the suppliers as sourcing options for Lukpeach Apparel’s women’s sweatshirts?
(10 Points)

BUSINESS CASE SCENARIO

Introduction

Randall Sprite is a sourcing manager for Lukpeach Apparel, an emerging company in the ready- made
garment industry that sells moderate-priced activewear for men, women, and children. Although
Lukpeach Apparel is not as popular as its competitors (such as Hanes and Champion) because of its
relatively short history as a company, it has been steadily making profits in the five years since it was
established. The company’s consumer loyalty is increasing; shoppers buying from Lukpeach Apparel
want to see more variety in the brand’s styles and options. Thus, Lukpeach Apparel is looking to
expand its product inventory offerings. One of the reasons Lukpeach Apparel has been gradually
growing their profits is due to its low product cost and high profit margins. Establishing relations with
the appropriate manufacturers as the company was founded helped accelerate brand success.

Business Case Problem

Randall, a sourcing manager for Lukpeach Apparel, is looking for more cost-effective suppliers in
comparison to its current suppliers. After originally sourcing their production from China, the
company is drawn to Bangladesh because of its cheaper pricing for ready-made garments. As Randall
has been researching potential suppliers, he learns about the Alliance and the Accord. However, he
also sees that a portion of Bangladeshi factories are not involved with members of either coalition. On
behalf of Lukpeach Apparel, Randall decides to travel to Bangladesh to meet with prospective
suppliers for an order of 5,000 women’s sweatshirts; he hopes to find a full- package supplier with
material sourcing, product development, and cut-make-trim capabilities. After touring various factories
and discussing with potential suppliers, Randall narrowed his list to three suppliers that may work best
for the company. In narrowing his choices, a key aspect that Randall considered was whether the
factories complied with the company’s code of conduct for suppliers. All three suppliers complied with
Lukpeach Apparel’s code for worker safety and compensation.

Supplier A provides Randall with the best deal in terms of product cost and is substantially cheaper
than Supplier B or C. However, the lead time is the longest among the three suppliers since ocean
freight (the least expensive and most environmentally sustainable but slowest option) is used. Supplier

A has adequate product development capabilities but samples provided to Randall appear lower in style
variation and quality than the other suppliers. Supplier A has excellent relationships with material
suppliers since the factory focuses on only a few types of garments and produces them very quickly.
Although the MOQ is 6,000, Supplier A’s management indicated that they could negotiate a lower
MOQ if Randall agrees to a multiyear contract. Supplier A works with a number of members of the
Accord.
Supplier B provides Randall with the best quality of service and product development of the three
suppliers. Their product developers speak English and have state-of-the-art design and production
software. Furthermore, samples provided by Supplier B were of high quality with various options
available. The lead time was acceptable, with the supplier indicating that air freight (the quickest but
most expensive) could be used, if needed. Although Supplier B is more expensive than the other two
suppliers, it is the smallest facility and has a lower MOQ (2,000) than either of the other suppliers.
Supplier B’s facility is run as a family business with a commitment to building strong and long-lasting
relationships with fashion companies. Supplier B has not worked with fashion companies who are
members of either the Accord or the Alliance.

Supplier C is the largest factory of the three suppliers, with over 2,000 workers. As a WRAP- certified
factory, Supplier C not only complies with Lukpeach’s code of conduct but surpasses most of the safety
and worker compensation standards. Supplier C’s MOQ is 4,000, but because of their size, the factory
works primarily with fashion brands ordering 8,000–10,000 units. As such, production of Lukpeach’s
merchandise may be a lower priority than other contracts they handle. Similar to Supplier A, Supplier C
has good relations with materials suppliers and can get materials quickly. Quality of the samples was
satisfactory but lower than Supplier B, and with few style options. Prices were more than Supplier A
and less than Supplier B. The lead time was also satisfactory although ocean freight results in slower
delivery times. Supplier C works with a number of members of the Alliance.
Randall point is to discover savvy providers and different arrangements, for example, material sourcing,
item improvement and MOQ of 5000 Units. He should choose provider B because of the accompanying
reasons.

Customer needs more assortment in the brand style and choices because of expanding client
unwaveringness. Provider B has the capacity of best quality administrations as far as item
improvement, plan and creation programming. Likewise, the examples quality is obviously better than
provider An and C.

Since it's a moderate evaluated brand. Cost is certainly not a urgent factor for lukepeach clothing and
can't be compromised as far as item quality.

Both Air and Cargo alternatives are accessible for the stock conveyance.

MOQ is low when contrasted with provider A and C.

Supplier An is resolved to keep a drawn out relationship with style organizations.

Advantages Disadvantages
Supplier A Best deal and cheaper price as Highest Lead time among the
compared to B & C three suppliers
Lower MOQ on multiyear contract Lowest Quality in terms of style
variantion
Working with number of members of Higher MOQ of 6000 units
the Accord
Excellent relationship with material
suppliers

Supplier B Availability of State-of-the-art design Expensive as compared to supplier A

and production software &C
Best Quality and product Didn’t worked with fashion
development services as compared companies who are member of
to A & C either the Accord or the Alliance
High Quality samples with various
options available
Ocean and Air freight both options
are available
Lowest MOQ of 2000 units

Supplier C Largest facility for production Lowest Priority for Lukepeach

as compared to supplier A & apparel due to lowest MOQ
B
WRAP Certified (WRAP certification Sample quality is satisfactory but
is recognized around the world as proof lower than supplier B
of social compliance in the apparel
industry)
Satisfactory Lead Time
Good relations with material suppliers
Working with several members
of the Allaince
 Q:2 Rank the skills and attributes of a successful fashion buyer in order of importance, as if you
were responsible for recruiting a buyer for a fashion business catering for trendy 16- to 22-year-
old female customers. List the reasons for your choice(s).

i. Do you think that you already possess some of the key skills and attributes needed to be a
successful buyer? If so, what are they?

Excellent Analytical Skills:

To be fashion buyer for a fashion business catering 16-22 years old female customers it is important to
know that what products or dresses are going like hotcakes & which ones are spending their lives on
shelves. They must have all the knowhow of latest fashion trends.

NEGOTIATOR:

A style purchaser should realize how to keep the right harmony between cost and quality, you'll need to
utilize your arranging ability to get those items at the best cost. You'll have to build up associations with
merchants and have the option to pound out the best arrangements.
COMMUNICATOR:
To be fruitful, style purchaser you should have incredible relational abilities. Since despite the fact that
you may regularly deal with your own, you're a basic piece of the group. You'll have successive
connection with providers, salesmen, stock staff, chiefs and some other colleagues can give important
contribution to what's going on with deals, clients and stock.

FORECASTER:
As a style purchaser you will not be relied upon to know what the climate will bring tomorrow, yet you
should have the option to expect future market patterns. As a rule, you'll purchase stock a very long time
ahead of it hitting your store, so understanding deals information, remaining current with what's going on
in your industry and having the option to follow up on that data appropriately is urgent to your prosperity.

MULTITASKER & TECHNOLOGY SAVVY:

As a style purchaser you should must be a multitasker as there are different everyday exercises which
ought to be performed with your significant job in the organization.

Some more competencies are:

- Logical, rational
- multi-tasking flexibility
- IT-oriented
- Numerate
- Analytical
- Detail conscious – but aware of bigger picture
- Assertive
- Retentive memory.
The work of the plan buyer is where craftsmanship meets science, which means being intelligent and
alright with math similarly as style adroit will put you ahead and I acknowledge that these are the
critical capacities that I have. I understand how to screen stock as we use the plan bookkeeping page
programming's (Rule, Google Sheets) and familiar with the plans in the program. One second the buyer
could be capacity investigating the latest brands, the accompanying second he/she could be acquainting
with the board why the buying decision has been made to purchase a developing organizer's
combination reliant upon purchaser understanding.

Likewise, the second significant ability that I have is Arrangement just as correspondence. Both these
abilities come connected at the hip as you manage the providers so you should have those persuading
powers and certainty.

ii. Do you think that buying womenswear is easier than buying menswear or childrenswear? If
yes, why is that? (10 Marks)

Indeed, as a design purchaser I accept that purchasing womenswear is simpler than menswear and kids
wear since we have a more extensive scope of items with regards to ladies’ style while in menswear and
kids wear, we have a restricted scope of items from which to pick. From outerwear to innerwear, there
are a scope of various style and styles in womenswear. Additionally, there is a tremendous organization
of providers in womenswear, so with regards to arranging you are not restricted in the choices and
should not think twice about the quality and cost. Additionally, men's clothing may cost more on the
grounds that the majority of the quick style brands though womenswear has such countless choices in
cost also.
Q:3 Due to the pandemic, there has been a sudden negative shift in consumer sales patterns. Who
is responsible for identifying this shift? why does it matter to them? What are the tools used to
analyze the sales? Will it influence the planned sales phasing? Explain what steps they are likely
to take under this scenario. (10 Marks)

Coronavirus pandemic has been an unpleasant ride for some, organizations be it a retailer, a producer,
wholesaler, or some other business everybody has been hit with an alternate business challenge going
from non-accessibility of crude materials to upset inventory network plans because of the different
limitations and lockdowns in different nations. This has not just brought about changes at the
organization level yet additionally it has influenced the business pattern.

For retailer the essential asset to distinguish such changes in client purchasing or deals design is style
merchandiser. This asset is basically capable to recognize the adjustment of customer deals design.
They should precisely gauge future interest, stock arranging, oversee stock or cycle new requests and
control. As these assets control and plan venture levels hence, it is essential that such assets are deft and
proactive in recognizing patterns and gauge appropriately.

To distinguish deals patterns and various examples a few instruments are accessible. The discipline of
information examination has entered a by and large new time particularly because of the intercession of
innovation in this field. The fundamental device utilized in the vast majority of mid-level associations is
Microsoft dominate. Another extremely persuasive device that aides in distinguishing deals history and
patterns is Microsoft power BI. Utilizing said instruments the merchandiser assesses deals design, item
execution, irregularity effect, and considerably more.

Any adjustment of shopper purchasing conduct or deals example will straightforwardly affect numerous
different spaces of the business including the arranged deals staging. It is given that the arranged deals
will be upset because of the adjustment of purchaser purchasing in light of pandemic, thusly, the
arranged marketing projection will make an effort.

Following are not many advances that can be taken in merchandiser experience such a situation:

The merchandiser should zero in on guaranteeing that the ideal item is created at the ideal cost on the
perfect opportunity at ideal spot in right amount to the right client in the correct manner. This may
sound complex; but this is the way to understanding the administration of such an emergency. The
merchandiser ought to likewise zero in on testing new roads to expand deals including however not
restricted to:

➢ Introduce product promotions to ensure that an extra push is created on products and faster
movement of product is achieved
➢ offer discounts to encourage more visitors and more conversions on the specific product lines.
➢ introduce Bundle offers to ensure non-performing inventory does not get piled up.
➢ identifying new revenue streams such as corporate sales
➢ incentivizes retailers/partners to sale more products
➢ Increasing product visibility to sell
 Q:4 You work as a fashion buyer for a fast-fashion retailer with a customer profile aged between
25-40. You are responsible for launching next year’s summer collection. What are the key market
trends that will influence your decisions? Explain how you will effectively incorporate those
trends in the upcoming summer collection. Give examples of similar retailers/brands that failed
to adopt trends. (10 Marks)

Fast fashion describes low-priced but stylish clothing that moves quickly from design to retail stores to
meet trends, with new collections being introduced continuously. The key market trend that will
influence the decisions of my next year’s summer launch will be:

COMFORTABLE CLOTHING:
Coronavirus has changed the way that many individuals live. With numerous grown-ups moving to far off
work, youngsters moving to remove learning, and numerous public spots being shut, individuals have
been investing more energy at home. Since individuals have been stuck at home, there is been a huge
expansion in deals of athleisure and loungewear. Thus, solace is the key pattern these days and it watches
out for last more as numerous organizations are proceeding to permit individuals to telecommute.

ETHICAL & SUSTAINABLE CONSUMER BEHAVIOR:

As of late, more individuals of note have pointed out friendly issues that are identified with the style
business, explicitly with regards to quick form.

To battle the waste issues, certain individuals are inclining towards brands that either make great items
that are intended to keep going for quite a while or those that utilization reused materials to make their
attire. As individuals keep on making way of life shifts towards manageability and so forth, these patterns
could probably carry on for quite a long time to come.

INCLUSIVITY PREVAILS:
For many years, plus size women have had a hard time finding many varieties in clothes that suited
their body types. Many brands overlooked these women and failed to create styles that fit people that
did not wear a standard small, medium, large, or extra-large.

Body positivity is a growing trend that appreciates bodies of all shapes and sizes. This has led to more
inclusivity in fashion in terms of sizes and styles available.

INCLINATION TOWARDS PRACTICALITY:

In exploration of 2020 over quick design, it was accounted for that every one of the online discussions
around quick style were identified with reasonableness: "looked both couture and lively, "active
reasonableness and prepared to-wear", "streetwear", "road style" and "simple to wear around the
house" were all key expressions used to depict quick style things. While design isn't constantly known
for reasonableness, it appears to be that there's been a change in buyer's perspectives towards pieces of
clothing that fill different needs instead of garments that are in vogue.
OFFICE-WEAR IS REIMAGINED:
While the expert closet as far as we might be concerned didn't get a lot of foothold in 2020, another
WFH business-relaxed classification appeared to arise in the information. The delayed lockdown has
constrained many individuals to reconsider how they dress at home, and what that apparel addresses.
Purchasers began accepting the novel thought of force dressing even in the WFH climate to raise their
state of mind and feel certain and inspired.

In my impending Summer Assortment, I will play up with the apparent advantages of sprucing up
while at home. My assortment will be founded on the possibility of 90's sentimentality to investigate
supportability, liquid plan and new types of utility. As the new style these days is solace. Thus, the
new line will be founded on style with solace. The center will be WFH styles that will be stylish yet
agreeable. I will be inclining toward super-comfortable sews to help level-up the zoom gatherings,
they will be adequately comfortable to wear the entire day yet in addition won't tell individuals that
you didn't simply carry up.

The drapey jeans will likewise be dispatched as they are super popular nowadays and they are more
agreeable than tights.

Gucci experienced harsh criticism for social assignment. The fashioner house delivered a balaclava
style sweater in its most recent assortment on its site, which many asserted took after blackface. The
backfire was prompt via online media, and it came as a greatest style screw up in the design business.
 Q:5 A fashion retailer offers weekly price markdowns as its trading philosophy. They were
barely making the cut but are now at the brink of collapsing. As a fashion buyer and
Merchandiser, how can you help the retailer overcome this challenge? What strategies, methods
or changes can you recommend that will help them stay in business? Explain how you will
manage the fragments left from old stock? (10 Marks)

The following strategies retailer can have the following strategies through which they can overcome the
leftover fragments and they can sell them without getting them expired or rejected / defected.

Refresh, re-merchandise, or remarket

Repositioning them in your store is one thing you may do. Put them in a new section of the store or
rearrange their shelves. Retail management consultant Judy Crockett says that this could be an excellent
way to freshen up your merchandise.

Double expose that old inventory displays them towards the front of your store and then have the
same products at the back.
This entails putting those things in more locations around your store. For instance, you may put them in
the front of your store and then have the identical things towards the back.

Give Discount on those items

We can provide our customers different discounted offers to boost our sales

Items can be bundled together or can be with Buy 1 Get 1 Free

Bundling related products with excess inventory to create an irresistible offer is a win-win situation for
your company: your average order value rises, and you get rid of excess inventory.

Make them available as gifts or incentives.

This strategy is most effective with low-cost items. If a product is difficult to sell, consider using it as
prize or incentive instead.