JEANS IN SRI LANKA

The jeans industry in Sri Lanka is very well established since many years ago. There are several export based companies involved in the manufacturing of jeans.  The population of the country is around 20 million people and the nominal per capita GDP is around  3000 USD. Inflation rate is 6.4%, not low.
Inflation over the years has been influencing significantly the growth of the economy by slowing down net growth. In spite of that, the economy has grown steady, but certainly if inflation would not so strong, the country could do much better. Please check graph below






The local currency, the rupee, has been depreciating over the years. This has been a strong help to exporters of the jeans industry.


It is important to consider these macroeconomic variables in order to analyze the performance of the country and its future. Sri Lanka needs very special conditions in order to compete globally. An experienced and value added work force is needed now and in the future. Local companies have done very strong investments in capital equipment in order to provide top quality garments to their customers. The challenge of the country is to keep educating its work force and also to keep wages under control for export oriented companies. Due to its "isolated" location, Sri Lanka may seem a country of difficult logistics for exporting garments and import raw materials (cotton) but it has proven succesful until today as several companies are top notch suppliers of important brands in the US (GAP, Tommy, Next, Guess).

The three main companies in the country are Brandix, Maliban, LIC and Gloria Vanderbilt. The industry is mainly located in Colombo area. It is important to notice that political stability these days seems under control and this should be a positive aspect for the country future jeans business. The country also offers good tourism opportunities, making an enjoyable place for investors and visitors.

Please take a look at the following links for these jeans companies in Sri Lanka:

BRANDIX
MALIBAN
LICJEANS 

FACTORY IN SRI LANLA

ZARA, A TRUE SUCCESS STORY (INDITEX GROUP)

If we analyze the figures of the Inditex group, one concludes that there is something miraculous about the whole process. The store coruñesa 2,500 pesetas born with investment in 1975 is now one of the giants of the Spanish Stock Exchange after yielding a net profit of 432 million euros in the first quarter of 2013, a 30% increase in economic crisis. Its founder Amancio Ortega, one enterpreneur out of the limelight and no college, has managed to weave a major textile imperiores planet, as journalist David Martinez explains in his book "Zara, vision and strategy Amancio Ortega '( Editorial Conectal).

Martinez gives us the keys to the success of the flagship of the group and how the business model "made in Arteixo" has forever changed the way we buy clothing of millions of people around the world.Bookcover Martinez

First, the reporter noted that, contrary to what happens in other fashion houses' in Zara the customer is the center of business. " The textile multinational imposes no consumer tastes and trends, if not this is who selects and sets the tone in the workshops. To know where the demand is, they analyze daily sales in more than 1,700 shops in the world (6,000 if you include the other Inditex brands). The charge of each establishment must send a report of what was sold, information about items that are stacked on shelves and what to ask and look for customers.

From this daily communication, trends captured in the street and also the patterns displayed on the catwalk, designers take note and create each of the parts traveling from Galicia to any corner of the world with a catalog of articles overall.

Here would lie another Ortega revolutions. "Disintermediation was the first decision of this entrepreneur truly innovative," explains Martinez in his work. All garments are designed in Galicia in a commercial business in which "are integrated both fabric storage as design and cutting presses and manufacturing is outsourced to factories that work quickly."

"In Zara customer is the center of business»







Setting aside the usual couple of collections a year and the renewal of clothes twice a week is another reason for the success of Zara, that although "democratize" fashion with low prices and adapt to the demand patterns, has managed to change and "re-educate" the way consumers shop. Fast fashion customers have become accustomed to novelty and find different products on the shelves in front of the distinction made by other firms between spring-summer and autumn-winter.

To output models as quickly as possible, Inditex has ten logistics platforms that allow these to reach anywhere in the world in two days. So do not accumulate inventories and collections can be removed with no success in the market and avoid a price increase that ultimately rests with the client.

A complex plan, but based on the simplicity and the local concentration and then move to the global expansion and, on the basis of effort and humility of its founder, has achieved the unimaginable: a fashion textile emporium set to Spain.

Please check Inditex web side for information about the group and its brands.
INDITEX

CRAZY JEANS & CRAZY FASHION

Designers around the world are always checking and thinking of something new to offer. The jeans niche is not different. It is certain that jeans business has changed so much since early stages. We have seen all kind of styles, accesories, patterns, washes, etc.

In this section of the blog we want to locate the most extravagant jeans available in the market today and analyze if there is a market for it.

Hong Kong and Japan were countries that were doing these very elaborated jeans full of exaggeration and special taste.  Check some of the jeans styles below:

      

            

     

        

        

          

By checking these pics one may think that these garments are not possible to see around or even sell them at the shops. Certainly these are styles which the majority of the consumer will not wear but there is a niche demand for these kind special garments and they are used for special ocassions, not daily use.
When you visit a retail show of some international jeans brand, they do have small sections where you can find these type of garments. In most of the cases you will realize that they have only few garments on display.
Prices for these kind of garments differ but in general they are higher in price than basic and non basic jeans.