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Classic Knitwear Essay

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Below is an essay on "Classic Knitwear" from Anti Essays, your source for research papers, essays, and term paper examples.

Classic Knitwear

• Works in the branded and unbranded market
• Operates mostly in the unbranded category
• Business comes from wholesalers (Screen printing) and retail channels (private label sector)
• 16.5% market share in wholesale category
• 1% in private label sector
• State of the art off shore facility in Dominican Republic gives them moderate cost advantage over competitors due to low SKU count and economy of scale
• Threat of other big players adopting similar strategy
• 47.7% and 42.8% sale to mixed retailers like Walmart and Clothing Specialist Retailers like GAP respectively
• Average manufacturer’s gross margins in Private Label Sector are 10-20% while it is 30-40% in Branded Sector
• Special seasons (Christmas and Back to school) constitute 50% of annual retail knitwear sales
• Current gross margin of Classic is 18%--goal is 20% by 2006
• Competition may catch up soon in replicating Classic Model
• Neither controlled labels nor tie-in promotions can bring in gross margins consistently over 20%
• Possibility of a downgrade of Classic’s stock if the company did not communicate compelling plans for margin growth
• Increase awareness of insect borne disease—Lyme disease and Nile virus
• Few preventative measures currently available
• Currently a niche market—very few insect repelling clothing companies in the market
• $8-10 million required to generate 50% national unaided awareness among males aged 18-35
• Classic does not have the funds available to expand
• Licensing partnership with Guardian to produce insect repellant clothing—lasts yup to 70 washes—3 times longer than the current leading brand
• Guardian is a well know brand for insect repellants—known for their good quality—branding recognition
• EPA registered (Category IV)
• Guardian has 50% unaided awareness among 18-35 year old males—95% have good impression of the brand
• Marketing cost of Classic will be reduced by $3 million...

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"Classic Knitwear". Anti Essays. 12 Dec. 2018


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Classic Knitwear. Anti Essays. Retrieved December 12, 2018, from the World Wide Web: http://parimatch-stavka7.com/free-essays/Classic-Knitwear-168146.html

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