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Analysis of the fashion industry, - Assignment Example

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Italy and the UK are other two prominent countries upholding fashion. These countries along with the US hosts a number of coveted fashion events every year, which are internationally recognised. The US fashion…
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Analysis of the fashion industry,

Download file to see previous pages... Fashion weeks held in the US brings in huge amount of money into the country’s reserve. On the other hand, the UK fashion industry is worth £26 billion (Pithers, 2014). Even in the UK, this industry accounts for high number of jobs. Report states that during the London Fashion Week, more than £100 million of orders are placed.
In fashion industry, the market is segmented according to brands, which is generally concerned with creativity involved in the product design and another as per market, which again is determined by price of the product that the consumer is willing to pay.
The clothing that are made in factory setting and not by hand are referred as ready-to-wear (RTW). They are also sold in the market in standard sizes (D’Aveni, 2010). These cloths are manufactured so that consumers can wear them without excessive alteration owing to the standard sizes. On the other hand, diffusion line is created by high-end fashion brands or fashion designers. These are secondary merchandises, which are available in the market at lower prices. This helps in increasing sales volume as the customer base becomes wider with lowering of the price. By leveraging desirability of the premium ranges, designers successfully tap the market through a halo effect (D’Aveni, 2010).
In case of RTW clothes, the buyers’ needs are taken care of as sizes offered are standardised in nature and fit properly to majority of individuals. These clothes hardly require any alteration, which means the product is available to consumers at the desired time. Generally, this is followed by all fashion brands at present. The diffusion, on the contrary, is to increase the consumer base as brands start a secondary merchandise line, which is sold at lower prices than the primary one. There are takers for fashionable merchandises if available at affordable price. The brands are aware of the same, which is why they have taken the path of ...Download file to see next pagesRead More
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