CTE 2800 Final Exam Study GuideApparel Costing2 types of costing:•pre costing (initial cost)-direct costs= materials, labor, other•final costing (manufacturer’s cost) total, real-direct costs= materials, labor, other-indirect costs= design, merchandising, salaries, administration, rent, insuranceRetailers Cost= Manufacturer's (Whlse) CostRetail (consumer’s) price= cost + markupUsually cost is about 1/2 retail (keystone)Beauty, Spa & WellnessCosmetics, fragrances, hair and skin, spas and centersMass and prestigeCareers & Positions:•Research & product Development•Merchandising & Marketing- account rep/ coordinator- involved with special events, promotions, traveling to sites- sales/ account executive- sells products to retailers, manages the accounts (inventory) and merchandises- public relations account executive- works with media contacts, promotes- retail counter, line management- sell, manages, coordinates events and promotions- makeup artist- works with product and peopleWellness- massages, facials, fitness, nutrition, spasEsthetics- makeovers and beauty- enhancementCareer Opportunities: Vendor/WholesaleVendor- resource, manufacturer, product to distribution, international/global industryOrganization: set up as many other businesses with officers, divisions, departments, and staffTop Executives:Vice President of Wholesale Sales- develops the strategies, leads staffs, controls budgets, and has overall sales responsibilitiesNational Sales Manager- manages sales, orders, distribution for a family of businessex. Girls- BCBG GIRLSManager of International Logistics- responsible for foreign accounts, responsible for trade issuesSales Executives:Account Executive- sources and meets with accountants and new accountants Executive Sales Assistant- schedules appointments, bookings, responsible for line additions and cancellationsVendor Selling Staff:Sales Representatives- given a territory (region)2 major types of reps•Corporate/Company- on their payroll -In house/showroom -Traveling•Independent- paid on a commission basisCustomer Service RepresentativeSales Reps- analyze selling, tracks delivery, takes orders, works with retail buyers (communicate and visit buyers, attend markets) may have showroom responsibilities alsoShowroom Rep- •Responsible for merchandising maintenance and image•Prepare for business (market week & appointments). •Know current lines, clientele and have strong selling skills•Prepare for appointments (Merchandising)•Review selling history and various buying traits•Assure purchase orders are set up along with look books, line books, swatches, etc.•Review deliveries, and follow and check for reorders•Know sales goals, usually commission status•Monitor deliveriesMarketing/Promotion/Publicity- promotes business (press releases, brochures, special events, shows, movies, celebrities, working with stylists)develops advertising/promotional materialsMerchandisers- Analyze records, visit stores and merchandise, analyze assortments, markdowns, presentation, and visual. Work closely with store management.Wholesale Visual Manager- Maintains brand image in stores and at shows, creates directives for store merchandising teams to follow, distributes visual collateral to store merchandising teamsMerchandiser/Stylist- Makes decisions concerning the company’s line and sourcing, marketing research, projecting sales, working with the mills, reviewing production considerations and costing the merchandise. May work with staff to schedule samples for promotional events.Foreign MarketsMarkets- physical place where the buyer and seller come together to do business- purchase or sell goodsMarts, trade shows, showrooms, Foreign & Domestic, Market weeks/calendarsDesigner F/W & S/SRTWJanuary-- SummerMarch-- Fall IMay-- Fall II /HolidayAugust-- Holiday/ResortOctober-- SpringForeign Markets-WHY SO IMPORTANT?•BUYERS CONSTANTLY SEEKING CREATIVE AND INNOVATIVE FASHION MERCHANDISE.•BUYERS SEEKING NEW RESOURCES.•BUYERS TRAVEL TO THESE MARKETS TO OBSERVE NEW TRENDS, BUY SAMPLES TO COPY, OR TO PURCHASE THIS MERCHANDISE4 Major Fashion Markets:•Paris, France•Milan, Italy•London, England•NYC, NYOthers: Hong Kong, China, Spain, Germany, Canada, Scandinavia, Taiwan, etc.Paris, France:•Center of haute couture since 1858•Many haute couture houses still exist, ie St. Laurent, Dior, Valentino, etc.•Large RTW shows held at various hotels, major attraction sites, castles, Les Halles, a cultural center built on site of famous food market (30,000 buyers attend this show) and other various locations.Chambre Syndicale-•Organized in 1868 to coordinate the activities of the fashion industry•To belong:established workroom in Paris, present twice a year, 75 designs, and employ sewers•Services include:representation with government, registers and copyrights designs, coordinates dates for shows and manages attendance issuesToday, designers from various countries lead the french design housesMilan, Italy:•A leading center for men’s and women’s clothing (grew as leader in the 1970’s)•Known for fine fabrics, knitwear•Strong production base •Haute couture/RTW - Alta Moda•Armani, Versace, Dolce & Gabana, Gucci•Other centers in Italy include Florence and Rome, Lake ComoLondon, England:•London’s Saville Row for men’s wear what Paris had been for women’s wear •60’s-known for Mini’s and Punk•Woolens•80’s/90’s-being revived by designers such as Westwood, Galliano(Dior), McQueen(Givenchy)\Apparel is designed and presented on two levels:•Haute coutureJanuary/July•Pret`a porter , YSLRTW is produced in greater numbers than coutureMarch/SeptemberEmerging Foreign Markets:•Spain-leather, women/kids apparel, over 500 mfg. firms•Germany-New wave of designers (Jil Sander, Hugo Boss, Wolfgang Joop) firms such as Mondi and Escada•Worlds major textile fair, Frankfort (Interstoff); Cologne(apparel shows)U.S Fashion MarketsDomestic Markets- are a location where manufacturers display their samples, introduce new lines, and buyers place orders.Markets include many different buildings and in some cities, permanent facilities called “marts”Basic Market Calendar:•JANUARY-SUMMER MARKET•MARCH/APRIL-EARLY FALL MARKET•MAY/JUNE-LATE FALL MARKET•AUGUST/SEPTEMBER-RESORT •OCTOBER/NOVEMBER-SPRINGWhy buyers go to market:•see merchandise and entire line•seek new sources for buying•compare a wide variety of