CTE 2800 Midterm Study Guide Fashion dependent on people and time the preventing style at a given time Style the specific design or look Design a specific version style Trend the direction fashion is moving Fad short lived style or fashion Classic enduring style that lasts over a period of time little black dress 5 pocket denim jeans Clothing any covering to the body Apparel constructed garments Dress all ornamentation and body coverings Silhouette physical shape or lines of style Marketing activities involved in conceiving a product and or service and directing the flow of goods from producer to the consumer including product development pricing promotion and distribution Merchandising buying and selling of goods for the purpose of making a profit Retailing producing goods and or services from various resources and distributing them through retail outlets T A Industry Flow Chart 5 Rights of Merchandising Merchandise Time Quantity Place Price T A Marketing Chain Fibers Product development Production Sales distribution Yarns Product development Production Sales distribution Fabrics Product development Weaving knitting Sales distribution Retailers Merchandising Sales Consumers Vertical integration a company that performs more than 1 function in the chain What are organizations and their structure Why used Organization systematic arrangement of people to accomplish some specific purpose Organizational structure describes how a company is set up and detailed It also aids in the monitoring and managing work Types of businesses Sole proprietorship one owner Advantages easy to initiate proprietor makes all decisions profits belong to proprietor Disadvantages proprietor must be expert in all areas limited investment funds unlimited liability Partnership 2 or more owners limited and unlimited Advantages increased specialization better credit standing increased capital Disadvantages possible personality conflicts equal liability each partner legally bound by others actions Public Corporations some shares of stock owned by general public Advantages owners liability limited to investment owners can leave business by selling stock Disadvantages high taxes high cost of incorporating more regulations on the business Private Corporations owned by individuals not public Multinational Corporations more than one country Mergers blending of companies Consolidations combining with a result of new company Takeovers one company takes control over another Conglomerates diversified and different business Duties Tariffs tax charges levied on imports Quotas regulated quantity allocations of imported goods Embargo bans imports on certain goods categories and countries Balance of trade value between a country s imports and exports Advantages vs disadvantages of imports and exports Lower costs gives higher value and higher retail markups profits Product uniqueness offers styling trends and labor intensive finishes Not made in US some goods are only available if imported Different quality lower for discounters and higher for upscale goods Smaller orders offshore plants accept small quantity jobs Design reputation foreign designers offer prestige snob appeal Private label goods exclusively manufactured to store s specs Helps poor nations provides jobs for human survival Technological terms QR quick response UPC universal product code bar codes EDI Electronic data interchange CAD computer aided design CAM computer aided manufacturing POS point of sale RFID radio frequency identification VCI Apparel Manufacturing terminology 3 methods Production Package all budget thru an agent who manages job Cut make and trim supplies fabric then made Off shore assembly budget and cut US then assembled Environmental Monitoring Economic Financial matters Political legal governmental influences and laws Technological electronic and scientific advantages Socio cultural occurrences and behavior in society Maslow s Hierarchy of Needs why people wear clothing Physical need protection Psychological needs adornment identification Social Needs Modesty status Fashion Innovation a style design perceived Diffusion spread of an innovation within Product Life Cycle Introduction Rise Peak Plateau maturation Decline Obsolescence 3 Major Fashion Theories Trickle Down hierarchical oldest Trickle up bottom up sub cultural from streets horizontal Trickle across simultaneous newest Fashion Principles 1 Consumers establish fashions by their acceptance or rejection of styles 2 Fashions are not based on price 3 Fashion is evolutionary rarely revolutionary 4 No amount of sales promotion can change the direction that fashion moves 5 All fashion ends in excess Cycles of Fashion Recurring style resurfacing Broken or interrupted stop then resurgences Cycles within cycles style remains but elements change Forecasting predicting determining what the wants and needs of the consumer will be based on research analysis of past behavior current situations and conditions and goals set Types of forecasters Primary Fiber fabric DuPont Cotton Inc Color trends Color Box Pantone Demographic psychographic forester faith popcorn Trend forecasting companies Tobe Promostyl WGSN Secondary Manufactures retailers and consumer publications Information sources Market research firms trade shows collections networking designers organizations fashion services design sources publications arts travel entertainment celebrities fabrics lifestyle trends gathering places venues and streets Examples of top forecasting companies Tobe Doneger Promostyl WWD and Fashion Group International Skills to forecast Awareness Insight Interpretation Objectivity Steps to forecast Research reporting and Recommending Industrial Revolution How did it impact textile production It made it easier to produce mass amounts of textiles Factory system Factory system modeled after England s first animal then water then steam to our eventual use of electricity Sweatshop conditions often deplorable hours children safety etc Textile inventions Flying Shuttle Spinning Jenny Water Frame Eli Whitney cotton gin revolutionized the use of cotton and began the south s role in textiles cotton was king Triangle shirtwaist factory fire Workers reformers protested conditions and treatment in sweatshops Unions formed Laws passed to help in 1900 labor safety wages etc Department stores 1850 1920 s a store with many departments under one roof that revolutionized retailing Contributions Primarily family owned Women got their