Blog: Leonie BarrieEconomies of scale

Leonie Barrie | 20 August 2003

For several years now, international clothing industry consultant and just-style.com contributor David Birnbaum has been prophesying that post-2005 the garment industry will be dominated by a small number of huge trans-national suppliers who will control 70 per cent of world apparel exports. Many of these, he believes, will be based in the Far East, because US and European governments, banks and other institutions do not consider the garment industry to be important or even viable.

Speaking at the World Apparel Markets conference in Brussels in 2001 he explained: “In the (near) future, you have 3 choices – get bought by Li & Fung, get as big as Li & Fung or get subsidised by your government so you don’t have to worry about Li & Fung.” His predictions now seem to be taking shape. This week sourcing giant Li & Fung signed a deal to sell its own Levi's-branded tops directly to US retailers, taking it into value added services such as design, marketing and distribution for the jeans giant.

Levi’s might be the first to outsource parts of its supply chain to specialists with faster and more flexible production…but it certainly won’t be the last. Remember you read it here first!

Life after quota


BLOG

Why digital supply chains are top of mind

Confirmation that digital supply chains are top of mind for apparel industry executives came last week with the latest plans from global sourcing specialist Li & Fung....

BLOG

Navigating global political frictions and economic uncertainty

As a barometer of the issues top of mind for apparel sourcing executives, it is hard to beat the annual Prime Source Forum in Hong Kong. ...

BLOG

Trump and Brexit generate more confusion

Over the past month, Donald Trump and his team failed to offer any clear plan to ensure Americans would "Buy American, Hire American" - while the British government's attempts to clarify the specifics...

BLOG

Bangladesh works to resolve labour activist issues

The Bangladesh government was forced to respond late last week to pressure over its crackdown on labour activists after a number of global brands and retailers, including H&M and Inditex announced pla...

just-style homepage



Forgot your password?