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          1. Apparel Manufacturing Industry Profile

            Report Page Length: 10-12
            Last Quarterly Update: 8/31/2020
            SIC Codes: 2253, 2353
            NAICS Codes: 315
            Chapters Include:
            Industry Overview Trends & Challenges Industry Forecast
            Quarterly Industry Update Call Prep Questions Website & Media Links
            Business Challenges Financial Information Glossary & Acronyms
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            Excerpt from Apparel Manufacturing Industry Profile

            Companies in this industry manufacture garments made from purchased fabric and from fabric they produce themselves. Major companies include Hanesbrands, Levi Strauss, PVH, Ralph Lauren, Under Armour, and VF Corporation (all based in the US), along with Michael Kors (based in Hong Kong) and Prada (Italy).

            Global fashion sales, an indicator of demand for apparel manufacturing, are projected to increase by between 3.5% and 4.5% in 2018, according to McKinsey & Company's State of Fashion 2018 report. Longer term, global fashion sales are forecast to grow at an average rate of 5.5% per year. China, the world's largest apparel manufacturer, accounts for about 35% of the world export market. The European Union, Japan, and the US are the largest importers of apparel, together accounting for more than 80% of imports.

            The US apparel manufacturing industry includes about 6,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $10.5 billion.

            COMPETITIVE LANDSCAPE

            Apparel manufacturers compete on both price and fashion. Under many supply agreements, customers can cancel orders or return unwanted inventory. Companies with a competitive advantage are those that can successfully cater to consumer tastes while managing costs and securing beneficial contracts with clothing marketers.

            Large integrated companies such as Levi Strauss and Ralph Lauren have sophisticated marketing programs to promote their brands. Small companies can compete effectively with large ones by specializing in a particular type of ...

             
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