Professional Documents
Culture Documents
Examine Worlds
inventory and financial performance to
understand how successful the system was.
CONTINUED
CONTINUED
Since apparel has short life cycle, so the more
it is displayed the more sales would be
generated
Japan retail stores carried less display inventory
than their American counterparts
So dont keep it in drawer
The department store typically received a
substantially portion of the retail sales
generated as high as 40%
So the company should focus more on
departmental store
continued
continued
The factory maintained small batch sizes to
allow production workers to undertake
several different operations and relieve
boredom
Also major new collections were introduced
annually augmented by new product
introductions every two weeks
To preserve brand focus world ensured that
its designers identified with the target
customer
Continued
CONTINUED
Replacement Quantity : In cases where a
popular styles are sold out there is not
enough material to produce enough
replacement quantity from merchandisers
try to have more garments using additional
fabrics or design new styles with
characteristics of best selling items
These decisions are made in an order
meeting that is held every week and is
attended all the merchandisers in a brand
Forecasting Aggregate
Demand
Category Side
Forecast
Distribution Side
Forecast
($200,000/store x 110
stores)/ $100/unit =
220,000 units
Example: 45,000
units/week, 4 weeks
45,000/week x 4 weeks
= 180,000 units