o Direct costs materials labor other o Indirect costs design merchandising salaries administration rent ins etc CTE2800 Final Exam Guide Costing 2 Types of costing Pre costing initial cost o Direct costs materials labor other Final costing Manufacturer s Cost total real Retailer s Cost Manufacturer s Wholesale cost Retail consumer s price Cost markup Usually cost is about retail keystone Retail math concept to set retail price Beauty Spa and Wellness Cosmetics fragrances hair and skin spas and centers Mass and prestige Careers o R D research and product development o Merchandising and Marketing Account rep coordinator Involved with special events promotions Sales account executive Sells products to retailers manages the accounts inventory and merchandises Public relations account executive Works with media contacts Retail counter line management Sell manages coordinates events traveling to sites promotes and promotions o Make up artist Works with product and people o Wellness Massages facials fitness nutrition centers spas o Esthetics Makeovers and beauty enhancement Chapter 11 Accessory and Fur Manufacturing not covered on PP assigned reading material Fashion in accessories is cyclical and related to apparel styling Man apparel designers create accessories to complement their clothing In the shoe business a modelista makes the first models of shoe designs and then the line builder organizes them into a balanced collection The production of shoes is a complex process from last making to finishing Manufacturers are using a computer aided machinery to speed up production and save labor In handbag production dummies are first made to test a design Expensive bags are made by hand of quality leather whereas less expensive bags are made of imitations or fabrics The manufacture of belts is done at many small companies Glove production involves many hand operations Designer hats are hand blocked and made of the finest materials while less expensive fabric hates many be cut and sewn High end scarves are made in Italy with many color screens on the finest fabrics while less expensive scarves are made in Asia Hosiery manufacturing is dominated by large knitting mills Fine jewelry is made of precious metals and gemstones and tends to be classic in design Better costume jewelry is vermeil or gold filled and is made of sheet metal cast metal or wire Most of the accessory manufacturers are small firms because highly skilled crafts are involved in production however the shoe and hosiery industries are dominated by large companies Virtually all shoes handbags gloves and scarves are now important from countries where labor costs much less The fur industry produces coats jackets and hats as well as trimmings for textile and leather apparel The largest centers of fur production are China Canada Korea and Greece The two methods of fur productions are skin on skin and letting out Because the latter is especially tedious and time consuming coats and other fur garments are expensive o Calvin Klein Tommy Hilfiger Ralph Lauren Gucci Vera Wang DKNY Louis Vuitton Chanel Dolce Gabbana Giorgio Armani o Coach Gap Calvin Klein Guess Nine West Liz Claiborne tie Tommy Hilfiger o Timex Fossil Guess Seiko Rolex Coach Citizen Bulova Calvin Klein Tiffany Fashion Designers Chapter 1 and 8 Designers Top 10 Accessories Top 10 tie Ralph Lauren Ugg Fossil Jewelry and Watches Top 10 and Co Sportswear Top 10 Wrangler Reebok Types of Fashion Designers o Old Navy Levi Strauss Nike Lee Gap Calvin Klein Aeropostale Adidas o Custom do made to order fashion for individual clients o Designer bridge create upscale seasonal collections with top0quality materials o Mass Production design ready to wear lines made in standard sizes for retail and workmanship selling to consumers o Stylist do knock off copies for mass production by adapting popular styles to lower quality and price levels o Freelance work on a private basis for several manufacturers or sell sketches of designs to manufacturers for their lines Career Opportunities Vendor Wholesale Chapters 9 11 12 and 13 Vendor resource manufacturer o Product to distribution o International global industry staff Top executives Organization Set up as any other business with officers divisions departments and o Vice President Of Wholesale Sales Develops the strategies leads staffs controls budgets and has overall sales responsibilities o National Sales Manager Manages sales orders distribution for a family of business o Manager Of International Logistics Responsible for foreign accounts responsible for trade issues Sales executive o Account Executive sources and meets with accounts and new accounts o Executive sales assistant schedules appointments bookings responsible for line additions and cancellations Vendor Selling Staff o Sales representative given territory regions o 2 types of reps Corporate company on their own payroll in house showroom traveling Independent paid on commission base o Customer Service Representative o Sales Reps Analyze selling tracks delivery takes orders works with retail buyers communicate and visit buyers attend markets may have showroom responsibilities also o Showroom 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 deliveries o Marketing Promotion Publicity Promotes business press releases brochures special events shows movies celebrities working with stylists Develops advertising promotional materials create and execute special events etc o Merchandising Analyze records visit stores and merchandise analyze assortments markdowns presentation and visual Work closely with store management o 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 teams o Merchandiser 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 Markets Chapters 8 and 12 Markets o