ATCFAI Flashcards
what are the current issues that are affecting the textiles industry
globalisation, imports/exports, skill level of workers, changing consumer demands and lifestyle, manufacturing strategies
what is globalisation
increasing worldwide connection, integration and interrelations of the economic, social, technological, cultural, political and ecological spheres
what does globalisation depend on
the role of human migration, global trade, global communication, movement of capital via global trade and integration of financial markets
how has globalisation affected the industry
globalisation is driven by improved technology and reduced trade barriers and has increased the connections between people around the world.
globalisation provides opps for jobs in the import/export area of textiles e.g. wool and cotton in australia which are processed overseas
how has globalisation affected design
global migration, trade, culture and communication have all contributed to the expansive marketplace opps open to all designers and in particular increases global networking . designers can create cultural designs incorporating cross-cultural references to new and innovative design ideas
how has globalisation affected manufacture
- aus companies often manufacture goods overseas (high cost of labour and manufacture in aus) - allows companies to manufacture goods at lower cost and ship them back at a lower rate
how has globalisation affected distribution
- increased distribution has called for new drivers such as e-commerce
difference between mass-production and niche market
mass-produced goods are created by those businesses that manufacture vast amounts of merchandise to be sold (cannot cater to every market)
niche market is a smaller portion of a larger market and refers to a narrowly defined group whose needs are not being addressed by conventional mass produced goods
niche market
when businesses cater for the mass market, they leave out the niche market, this providing a profitable opportunity for smaller, niche businesses. a niche product appeals to a consumer’s individuality
How has imports assistance affected the industry?
Import credit scheme: encourages clothing and finished textiles firms to achieve growth in their value added product
Products diversification scheme: designed to give clothing and finished textile manufactures an extra incentive to achieve growth and globalise sourcing arrangements to diversify their existing product range
4 ps of marketing mix
Product planning
Promotional strategies
Price structure
Place and distribution channels
Product planning
Product should always meet the need of a particular target marker
Promotional strategies
Get people to recognise your product and understand how it satisfies their needs via an appropriate method of promotion
Price structure
Can be difficult - must reflect the appropriate position of the product in the market, cover costs and make a profit
Place and distribution channels
Where a product is marketed and the distribution channels used to get the product to the market
Direct, wholesalers, retailers
