Global Sourcing Project - Uniqlo

Emily Hyde P14145599 Sourcing and Supply 3411

Global Sourcing Project 


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Table of Contents 1.0 Introduction …….. 3 2.0 Company Summary …….. 3

2.1 A brief History of Uniqlo …….. 3

2.2 Company SWOT Analysis …….. 4

2.3 Uniqlo Corporate Social Responsibility …….. 5

3.0 The Product

3.1 The current collection …….. 6

3.2 The current collection in imagery …….. 7

3.3 The new product …….. 8

4.0 Ethical Trading Policy ……. 9 5.0 Potential Sourcing Countries

5.1 Country analysis …….. 11

5.2 China SWOT …….. 11

5.3 Vietnam SWOT …….. 12

5.4 Bangladesh SWOT …….. 12

6.0 Chosen Country for Production

6.1 Justification for chosen production country …….. 13

6.2 Management of supplier ……. 14

6.3 Relationship with supplier ……. 15

7.0 Buying, Quantities, Values, Payment, and Transport

7.1 Critical Path ……. 16

7.2 Pricing ……. 17

7.3 Payment method ……. 17

7.4 Transport ……. 18

8.0 Conclusion ……. 19 9.0 Bibliography ……. 20 Appendix 1 Tech Pack ……. 22 Appendix 2 The Environmental Impact of Fast Retailing’s Business ……. 26

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“At first, Uniqlo was a casual chain on the back streets of Hiroshima, Then… we became a national brand in Japan. So, the next step it to become a global brand.”

-Tadashi Yanai (founder of Fast Retailing)

1.0 Introduction The role of a fashion buyer is varied and all-encompassing. Buyers are responsible for selecting a range of products that will complement what the brand has in-store already while ensuring that the new garment will create a sense of newness for the customer and generate sales. With this always in mind, a buyer will face many considerations when sourcing products from international markets. The buyer has to: identify fashion trends, create the product, liaise with suppliers, ensure flexibility with the supplier, calculate margins, analyse past sales, all whilst making sure that the companies ethical policies are followed, and the customers ethical concerns are acknowledged. This report will establish how a buyer at Uniqlo would go about the sourcing and management of one product, the difficulties they would face, and how these would be overcome.

2.0 Company Summary 2.1 A brief History of Uniqlo

Uniqlo was founded as a revolutionary textile manufacturer in Yamaguchi, Japan in 1949 (Uniqlo, 2016). However it wasn't until 1984 during a period of profound economic growth in Japan, that this innovative company first opened its doors as a retailer in Hiroshima on the highstreet, as a division of the Japanese holding company Fast Retailing (Durisin, 2013). This retailer was originally called ‘Unique Clothing Warehouse’ but by amalgamating the words together Uniqlo was conceived. By 1994 Uniqlo had over 100 stores in Japan, and had its eye on expanding overseas, however an overestimation of brand strength meant that this was a troubled process. By 2002 the United Kingdom had 21 Uniqlo stores, however only 8 remained in 2008 (Durisin, 2013). Fast Retailing executives said that “they didn’t do a good job of ‘establishing a brand identity’” (Sanchanta, 2006), and clearly a new strategy was required. Innovative methods in marketing resulted in a resurgence, and in 2012 Uniqlo had become the world’s fourth largest retail company, behind only Inditex of Spain, H&M, and Gap (Dolan, 2012). Today Uniqlo has over 800 stores world wide and has become the biggest apparel chain in Asia (Inagaki, 2016). From humble beginnings in Japan to its mega stores in London and New York, Uniqlo is considered by Forbes magazine to be fashions biggest success story of the 21st century.

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2.2 Company SWOT Analysis

S ✦

✦

W Offering high quality clothing at affordable and

✦

No logo on clothing - hard to recognise the brand

competitive prices

✦

Not as ‘fashion forward’ - deals mostly in basic

Development of new innovative textiles and products (ie HEATTECH and AIRism)

✦

Mass volume retailer

✦

Strong market position (Currently number 1 appeal

clothing ✦

2016) ✦

chain in Asia (Badenhausen, 2016) ✦

Over 800 stores world wide with over 30,000

Reliance on certain regions for production (Uniqlo, Not as well know is western culture - known predominately as a sportswear brand

✦

employees (Fast Retailing, 2016) ✦

Strong CSR policy

O

T

✦

Creating a fashion forward line

✦

Rise its profile in western culture

✦

Competition from brands such as H&M and Zara who product basics as well as fashion forward designs

✦

Fallout from Brexit, and the global uncertainty politically and economically could lead to higher taxation of foreign products

✦

Social unease – the attack in Dhaka at restaurant, Uniqlo suspended production to ensure workers were safe (Taylor, 2016)

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2.3 Uniqlo Corporate Social Responsibility

Uniqlo is committed to developing products of an exceptional quality in order to ‘create clothing with new and unique values to satisfy customers worldwide’ (Uniqlo, 2014). With this in mind, Uniqlo has reinvented itself as LifeWear; clothing that isn’t disposable, and where customers opinions play a crucial role in how every product is developed. In recent years, the customer has become increasingly conscious of the ethical nature of companies and their social responsibilities. Just as Uniqlo takes their customers review of their products into account, they have ensured their customers can have peace of mind when purchasing their clothing with the Uniqlo CSR vision of Making the World a better place. (Uniqlo, 2015).

In 2006 the All-Product Recycle Initiative was implemented by Uniqlo as part of its CSR commitment (Uniqlo, 2015).

Originally this initiative would recycle donated clothing as material for the textile industry, however as Uniqlo product are of a very high quality originally, most if the items received were in wearable condition. Wanting to prolong the life of these items, Uniqlo began sending them to people in need of clothing around the world (Uniqlo, 2015). In 2011 Uniqlo partnered with UNHCR (United Nations High Commission for Refugees) to deliver clothing to those considered most in need around the world. As of 2015 the total number of items collected in 15 countries stood at 39.49 million, while the total number of items donated in 59 countries reached 16.32 million. All Uniqlo stores took part this amazing activity (Uniqlo, 2015).

Through the partnership with Japan Setouchi Olive Foundation, Uniqlo has planted more then 150,000 trees to help Teshima Island and other Setouchi areas to recover from toxic waste that has devastated the environment (Uniqlo, 2015). By the year 2020, this forward thinking retailer is committed to eliminating hazardous chemicals from not only the product process but the whole life cycle of all their products.

In April 2015, Uniqlo created the Factory Worker Empowerment Project in Bangladesh. This unique project donates proceeds from selected products to provide educational support for female garment workers (Uniqlo, 2016). Basic educational opportunities are limited for workers in the garment industry, and this often means a lack of knowledge of what could improve their health, safety, and management of the household. Uniqlo has partnered with Business for Social Responsibility (BSR) an international not-for-profit organisation that provides educational support in developing nations. This program helps workers acquire a range of living skills, basic nutrition, hygiene and healthcare in relation to pregnancy and child birth, as well as household management (Uniqlo, 2016). Uniqlo hopes to empower people for life, and is clearly a market-leader in terms of charitable initiatives and social responsibility.

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“Uniqlo as a company has always developed new fabrics and is always trying to be innovative. The design is simple, so the fabric is important.”

-Nicola Formichetti (Diesel creative director)

3.0 The Product 3.1 The current collection

Uniqlo is a purveyor of innovative, creative apparel who prides themselves on high quality clothing that will adapt with you throughout your lifetime. Moreover, Uniqlo is on the cutting edge with their use of technical fabric in classic pieces. Uniqlo has created The Science of LifeWear - simply to make clothes that make life better (Uniqlo, 2016). The current collection at Uniqlo is no exception to this ethos.

The current range is full of colourful, well designed basics. Each category of clothing has a select number of designs coupled with many different colours and this make the bulk of Uniqlo Range. As previously stated, Uniqlo is a trailblazer in technical fabrics. These revolutionary fabrics are woven throughout the whole range illustrating Uniqlo’s commitment to their ideology of function and style.

Uniqlo prides itself on being high quality yet affordable fashion for everyone. As Uniqlo purchases large volumes of clothing, they are able to keep true to this motto. This is reflected in their price architecture; as an example a women short-sleeve tee entry price is £7.90, the mid is £14.90, and the exit at £24.90. In a more diverse category such as women dresses the entry price is £29.90, the mid is £39.90, and the exit £79.90.

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3.2 The current collection in imagery  

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3.3 The new product

For any new product to compliment Uniqlo’s current range of classic design with a technical fabric flare, it has to follow the ethos of innovative, creative apparel that will accompany you for a lifetime. The blazer is one of the most iconic pieces of clothing, and therefore is a product that will be an impeccable addition to the current collection of high quality basics. However, most of the time this product needs to be dry-cleaned which it detrimental to the environment. As the modern consumers are becoming increasingly conscious about the environment and with Uniqlo’s commitment to eliminating hazardous chemicals during the life cycle of the product, this blazer created for Uniqlo will be completely machine washable. Just as Uniqlo was the first to create innovate fabrics such as HEATTECH, Blocktech, and AlRism, this incredible technical fabric will be the first wool product Uniqlo offers that is machine washable.

This revolutionary blazer will be created in 100% bonded merino wool and will be lined with AlRism (59% Polyester, 31% Cupro, 10% Spandex) . It will originally be produced for both men and women in black, navy, grey, and beige, however some of the fabric will be held aside in greige state should more colours be required. As this will be a premium product with high quality wool and innovative technology, it will retail for the exit price of £99.90. Although many retailers would charge substantially more for this product (ie GANT for £165, Ted Baker £259, and Paul Smith £375) Uniqlo is in a favourable situation as they negotiate directly with material suppliers around the world (Kazi, 2016). As Uniqlo purchase considerable amounts of the fabric this allows the to ensure they are paying the lowest realistic cost for fabric and trims. This garment will be launched in both men’s and women’s wear. Please see Appendix 1 for full product spec.

Womens Blazer

Mens Blazer

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“Ethical is the new black.”

- Unknown

“Buy less, choose well, make it last.”

- Vivien Westwood

“Ethics + Aesthetics = Sustainable Fashion” - Pratt Institution Exhibition

4.0 Ethical Trading Policy As consumers are becoming increasingly conscious about where their clothes come from and how they came to be, retailers have had to ensure they are transparent in every aspect of a products creation, from concept to the garment that is on the shop floor. Uniqlo and Fast Retailing have stepped up to the plate and created a strong and customer aware sourcing policy.

At the Fast Retailing Group, monitoring the workplace is essential. To ensure this the company has leveraged the power of their business to help the society around them grow. In the communities they operate in they provide educational training as well as on the job training, living wage, and safe working conditions (Fast Retailing, 2016).

Fast Retailing have paired with external auditors to ensure their factories and their partner factories have safe and secure working conditions and follow the companies Code of Conduct for Production Partners standards which were established in 2004. These codes of conduct are essential not only for companies as a tool to establish their labour standards, but also to ensure that partner companies comply with these standards. In a world of exponentially increasing connectivity, largely driven by the rise of social media, these codes of conduct help the company to stand apart - in the customers eye - from all other fashion retailers.

Fast Retailing’s codes of conduct are:

✦

Legal requirements – production partners must comply will all local and national laws. In addition to these to maintain uniform standards in all suppliers and manufactures Fast Retailing may set requirements that go beyond the standard laws (Fast Retailing, 2016)

✦

Child labour – production partners will not use child labour. Child labour is defined as a person under the age of 15 (or under the legal working age if legal standards have been set) whichever age is higher (Fast Retailing, 2016).

Production partners will maintain all legal documents to verify the age of all workers. In countries where In countries where legal documents cannot be verified, production partners shall establish appropriate and consistent methods to confirm the worker’s age. All partners will work under the laws related to under 18 workers

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as well as laws related to apprentices and students. All workers under the age of 18 will not work under any hazardous conditions, or during night shifts (Fast Retailing, 2016). ✦

Forced labour – production partners will not used any bonded, indentured, forced, or slave labour, conducted by prisoners, labour similar to slavery or labour engaged in or through human trafficking. Workers will not be require to submit personal legal document or make deposits of any kind during their employment. All workers freedom of movement will not be restricted in either their workplace or living quarters (Fast Retailing, 2016).

✦

Coercion and Harassment – production partners will be treated will respect and dignity. Partners will not engage in or permit any forms of abuse or harassment (Fast Retailing, 2016).

✦

Health and Safety – production partners will provide all woks will a sage and healthy work environment ensuring proper building and fire safety, safety of machinery and equipment, as well as access to portable water and suitable sanitary facilities, and safe handling of all chemicals. The same standards will apply for housing if applicable (Fast Retailing, 2016).

✦

Freedom of association – production partners will respect the right of the workers to associate collectively in a legal and peaceful manner with penalty or interference in accordance to the law (Fast Retailing, 2016).

✦

Wages and Benefits – production partners will ensure wages are of a living standard, benefits, as well as make monetary deductions if required (however deductions are not permitted for disciplinary actions). Partners must provide workers with contraction of their compliance, and must maintain wage-related documents (Fast Retailing, 2016).

✦

Working hours – production partners will comply with limited work hours established by applicable laws, but under no circumstances shall total weekly working hours exceed 60 hours per week (Fast Retailing, 2016).

✦

Environmental protection – apart from complying with all applicable environmental laws, production partners must comply with Fast Retailing’s environmental requirements such as to reduce their CO2 emissions per floor area by 10% by end of 2020 (Environmental Impacts graph appendix 2). In 2011, Fast Retailing implemented initiatives to eliminate the release of hazardous chemicals by removing hazardous chemicals from its textile production process through the whole products lifecycle in conjuncture with Greenpeace Detox Solution (Fast Retailing, 2016).

✦

Monitoring and compliance – production partners must all Fast Retailing and is designated agents to access all workers, all facilities – including manufacturing and worker housing facilities, as well as relevant documents to confirm compliance, with or without notice (Fast Retailing, 2016).

✦

Corrective action – if production partners violate any of the codes of conduct, they will agree on a corrective action plan that eliminates the problem within a reasonable timeframe. If these corrections are not met, Fast retailing may cancel orders and terminate the business with the production partner (Fast Retailing, 2016).

✦

Subcontractors and homeworkers – if production partners used subcontract production, these company's or homeworkers activities must be in accordance with Fast Retailing’s codes of conduct, and use of the subcontractors just be reported to Fast Retailing prior to their engagement (Fast Retailing, 2016).

✦

Transparency and integrity – all business with production partners are to be carried out in an ethical and transparent manner, mo unethical behaviour or any from will be tolerated (Fast Retailing, 2016).

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“Global sourcing has become a way of life for retailers and manufacturers in the clothing industry. New sourcing locations provide a new outlook into how clothes can be made.”

- Unknown

5.0 Potential Sourcing Countries 5.1 Country analysis

As Uniqlo has production management offices in Shanghai, Shenzhen, Ho Chi Minh, and Dhaka the three initial choices of manufactures were China, Vietnam, and Bangladesh. In order to ensure the correct country was chosen for production, a SWOT analysis was carried out.

5.2 China SWOT

S

W ✦

Political corruption (but less so than rival countries)

✦

Distance from many Uniqlo stores (longer lead

✦

Close to the HQ of Uniqlo in Japan

✦

2 management offices in China

✦

Good with specialist products

✦

High import tariffs

✦

Advanced technology in creating textiles

✦

Can be difficult to find the right factor for the

✦

Can produce large volumes

✦

Sheep thrive in the climate

✦

Abundance of skilled workers

✦

Strong currency

✦

Political stability

O ✦

times)

product ✦

Capacity can be booked up

T To make new connections and relationships with

✦

key manufactures

Unpredictable economy (although relatively stable within the region)

✦

To work with technical textile manufactures

✦

Rising prices of the manufacturing process

✦

Largest population base in the world - easy access

✦

High staff turnover (ie some do not return after

to both highly educated and low-skilled workers

Chinese New Year) ✦

Quality can be overlooked to meet deadlines

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5.3 Vietnam SWOT

S

W

✦

Low labour cost

✦

Raw materials must be imported

✦

Manufacturing office in country

✦

Does not have the technical textile knowledge

✦

Chinese affiliated

✦

Technical Swing skill not strong

✦

Hasn’t been in the media

✦

Lack of education

✦

Low import tariffs for certain countries (Trans-

✦

Not much information on production in country

O

T

✦

Supporting a growing industry in the country

✦

Quality can be overlooked to meet deadlines

✦

Educating workers

✦

Lack of codes of conduct, could be a potential social media threat

5.4 Bangladesh SWOT

S

W

✦

Low labour cost

✦

Sheep do not thrive in country

✦

Manufacturing office in country

✦

Political instability

✦

Can produce large volumes

✦

Poor infrastructure

✦

Abundance ok skilled workers for basic garments

✦

Dependence on other countries for raw materials

✦

Part of Uniqlo Factory Worker Empowerment

✦

Profoundly environmentally unstable

Project ✦

Low export tariffs

O

T

✦

Supporting a growing industry in the country

✦

Quality can be overlooked to meet deadlines

✦

Educating workers, creating a better workforce for

✦

What has happened in social media

the future

✦

Social unease – the attack in Dhaka at restaurant, Uniqlo suspended production to ensure workers were safe (Taylor, 2016)

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“The designer today should not help to produce more – he has to help product fewer and better things. There is a beauty, awn aesthetic and philosophy of the less.”

- Philippe Starck

6.0 Chosen Country for Production 6.1 Justification for chosen production country

For the production of the wool blazer, the country chosen was China. As China is the foremost producer for technical fabrics and precision garment production, this was the ideal country to source from. Some considerations for choosing China for the production of this revolutionary blazer were:

✦

The ability and knowledge of technical fabrics; as Uniqlo is a leader in technical fabrics, it is imperative that the fabric is of a high quality and well made.

✦

With the ‘LifeWear’ commitment, garments have to be created to last a lifetime. As China is a leader in manufacturing, the detail to attention they provide in each garment is unsurpassed and therefore is the perfect country to produce the product.

✦

China has an established supply base, this allows for security in receiving the garments.

✦

The ability for Uniqlo to purchase large amount of bulk fabric in a greige state should allow for negotiation at a more competitive cost.

✦

In addition to the potential for purchasing large amounts of fabric; factories in China have the ability to cater to substantial orders of products. As the blazer will be retailed in all bricks and mortar stores as well as online, the order will be large in terms of scale.

✦

As stated above, there are two production management offices located in China. This will ensure communication between the buyer and the textile supplier.

✦

As Uniqlo deals in basics, there in no established date for the blazer to be in store. This will allow flexibility during the production process if anything needs to be changed.

Uniqlo is a world leader in technical high quality basics. To ensure the appropriate production partner was chosen to create Uniqlo’s first machine washable blazer, it needed to be a country that shared its knowledge of classic design, innovative manufacturing and technical fabric. China is the world leader in production of technical high quality garments, and therefore was the only logical choice as host for this revolutionary creation.

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6.2 Management of supplier

Having a good supply base and a strong supplier relationship is a necessity for any fashion buyer (Shaw and Koumbis, 2013). Communication between buyer and supplier is paramount in ensuring that the garment is produced with the least amount of restyling or remaking. As there are production management offices in China, much of the communication will flow through this conduit. From production of the garment, to distribution, to the final destination, the buyer and production management team in China will be working side by side even if they are thousands of miles away. Much of this communication will take place over daily emails as well as Skype meetings to ensure that the production management team are keeping a close eye on the manufacture and to ensure the critical path is on schedule (see section 7.1 for Critical path). Once a supplier has been chosen, the buyer along with the production management team will visit the factory to ensure that all codes of conduct stated above have been followed.

However in addition to these codes of conduct, the buyer will also be inspecting treatment of the merino sheep to ensure that they have suitable indoor and outdoor paddocks, have sufficient access to food and water, and that there are no more then 10 sheep per acre, as too many sheep in one area can lead to malnutrition and sickness (Farmer, 2015). If the supplier passes the audit, then much of the communication will be between the supplier and production management team, they in turn will relay the information to the buyer and from there any decisions on the production will be discussion between the buyer and production management team.

To ensure the high quality of the garment, a garment technician in the production management team will receive all samples to ensure that the garment is fit for purpose. For the first and second fit samples, the buyer will Skype while the fit sessions are in progress to ensure that they agree with the garment technicians findings. For the final sealing sample, this will be sent to the garment technologist in the production management team as well as the buyer to establish whether there needs to be another sealing sample, or if they are happy to go ahead with production. If it is the latter, then the garment will go into initial production, if not, another sealing sample will be sent to both parties before production. A pre-production sample will again be sent to both the garment technician and buyer to compare against the sealing sample, and if all is satisfactory, then full production will be approved. During production, the buyer will undertake a visit to the production management team as well as the supplier to ensure that all manufacturing is on schedule, and that the codes of conduct are routinely being met.

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6.3 Relationship with supplier

The relationship between buyer and supplier is of paramount importance to any business, and with just a few simple steps this can be achieved.

Actions that can cement the relationship early on include; ensuring clarity of communication, being respectful, and making every effort to make a good first impression - these are all easy steps to take to secure this crucial relationship. Ensuring all payments are made in a prompt manner allows the supplier to trust you, and this will also benefit your relationship with them. Avoid rushing orders whenever possible, this can cause stress to both the buyer and supplier and strain the relationship. Address any concerns as soon as they arise. As Uniqlo will be using this supplier for repeats on the design it is imperative that the relationship remains strong. As the relationship grows, there may be the opportunity for Uniqlo to have the supplier train other technicians from different countries (who have lower production costs) how to produce the garment.

Strong buyer supplier relationships can be of help when the production process goes awry. There are no real risks with the production of the blazer, as it will be stocked along side other basic garments, the delivery can come any time. However, if a problem did arise the supplier is going to be more helpful if you have a strong relationship built on trust. This relationship is crucial for all involved in the creation of the garment, and everyone who is involved will reap the benefits of a strong symbiotic arrangement.

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“The buyer must broker deals between the factory owners and huge retailer, driving down prices and purring the pressure on to get the competitive advantage on the swamped high street.�

- Lucy Siegle, To Die For - is fast fashion wearing out the world?

7.0 Buying, Quantities, Values, Payments, and Transport 7.1 The critical path

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7.2 Pricing

7.3 Payment method

As the letter of credit is the most common and secure way of paying for goods, Uniqlo will be using this method for the production of the blazer. A letter of credit is ‘a written promise that the goods will be paid for on presentation of certain export documents’ (Ling, 2016). This letter is a promise to pay purely on the receipt of documentation. The advantages for using a letter of credit are: ✦

The buyer has the obligations from the suppliers for the goods to be shipped (Mondaq, 2010)

✦

It reduces the production risk – if the supplier changes or cancels the order (Mondaq, 2010)

✦

The buyer can calculate the payment date for the goods (Mondaq, 2010)

As Uniqlo will be using a new supplier to create this blazer, it is imperative that they protect themselves as completely as possible, and by using a letter of credit for the payment method, this is a step towards that protection.

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7.4 Transportation

Uniqlo has a unique advantage when it comes to its stock; the clothing’s shelf life is much longer than most retailers (Kazi, 2016). This allows for the company to take a more relaxed attitude to shipping. As the most cost-effective way to receive items into the UK from China is by sea and road, this is how the Blazer will be making its journey to not only Uniqlo stores in the United Kingdom, but to all 800+ stores worldwide. As it usually takes around 4-6 weeks for the garments to be transported from China to the UK, they will have to leave the factory at the beginning of April 2018. The dates are not critical, however it maintain a sense of newness in a store of basics - new items need to be received to ensure customers are coming back into the store.

These blazers will be flat packed in boxes, and transported ‘Free on Board’. This means that when the goods are delivered onto the vessel nominated by the buyer, the good passes into the care of the buyer (Ling, 2016). There is a risk of loss or damage to the good as the are shipped, and the buyer will bear the cost of this. Even with that risk, this is still the most cost effective way to deliver the goods into the DC.

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8.0 Conclusion The job of a buyer is an ambitious one. Throughout the process of this report, there have been many obstacles to overcome. In this day and age of transparency and CSR one would think that finding information on how a company operates would be easy. This was not the case. When researching different companies such as J Crew, who do not have much CSR information it was apparent that not all companies were equal in their transparency. To ensure the product that you have chosen will fit into the range, and how much it will cost, to decide which supplier to produce with, to establish a set of principles tracking how the garments will be monitored throughout the production process, and to make certain that the retailer will finally receive the product is not a job for the faint-hearted. During this process, one of the biggest challenges faced was deciding which country would represent the most advantageous host for production. In this world of global connection, there are so many choices all with comparable advantages and disadvantages, and it is certainly true that a number of companies and corporations are looking more to SouthEast Asia than to the more traditional destination of China. The choice to produce in China over Bangladesh and Vietnam was a convoluted and thought-provoking one. Although options like Vietnam or Bangladesh may have offered slightly lower production costs, this advantage cannot compare to the quality of product that can be achieved in China. As the global leader in technical fabrics, volume production and high attention to quality, even with the higher cost of production, China was still clearly the best option for this revolutionary blazer. With Uniqlo's ability to make volume orders of 150,000 pieces, this gives this retailer the advantage of cost discounts for purchasing large quantities of the product. Uniqlo also has the advantage of dealing in basics, which gives the garments a longer product shelf life, which in turn allows more flexibility with longer lead times.

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9.0 Bibliography Badenhausen, K. (2016) Uniqlo on the Forbes world’s most valuable brands list. Available at: http:// www.forbes.com/companies/uniqlo/ (Accessed: 1 December 2016) Farmer, P. (2015) Starting your own flock. Available at: http://www.nationalsheep.org.uk/next-generation/startingyour-own-flock/ (Accessed: 8 December 2016) Fast Retailing (2016) Fast Retailing CSR Report 2016. Available at: http://search.fastretailing.com/eng/? layout=pageview&url=http%3A%2F%2Fwww.fastretailing.com%2Feng%2Fcsr%2Freport%2Fpdf%2Fcsr2016_e.pdf &pageno=1&lang=en (Accessed: 7 December 2016) Fast Retailing (2016) Fast Retaliing group code of conduct for production partners. Available at: https:// www.fastretailing.com/eng/csr/business/pdf/coc.pdf (Accessed: 7 December 2016).

Fast Retailing (2016) FAST RETAILING Business Strategy. Available at: http://www.fastretailing.com/eng/group/ strategy/uniqlobusiness.html (Accessed: 1 December 2016) Fast Retailing (2016b) Initiatives to eliminate the release of hazardous chemicals. Available at: http:// www.fastretailing.com/eng/csr/environment/zero.html (Accessed: 7 December 2016) Dolan, K.A. (2012) Uniqlo: How Japanese billionaire Tadashi Yanai plans to clothe America. Available at: http:// www.forbes.com/sites/kerryadolan/2012/10/05/uniqlo-how-japanese-billionaire-tadashi-yanai-plans-to-clotheamerica/#13683e8f1a31 (Accessed: 23 November 2016) Durisin, M. (2013) How clothing chain Uniqlo is taking over the world. Available at: http://www.businessinsider.com/ the-story-of-uniqlo-2013-4?IR=T#the-first-uniqlo-opened-its-doors-in-hiroshima-japan-in-1984-1 (Accessed: 23 November 2016).

Inagaki, K. (2016) Fast Retailing looks to bounce back with help of online sales. Available at: https://www.ft.com/ content/6c1967ac-912e-11e6-a72e-b428cb934b78 (Accessed: 23 November 2016) Kazi, Z.S. (2016) Success Story: Why Uniqlo is Asia’s top apparel retailer. Available at: http://www.indiaretailing.com/ 2016/06/16/fashion/success-story-why-uniqlo-is-asias-top-apparel-retailer/ (Accessed: 7 December 2016).

Ling J. (2016) Recapping for Assessment Report Available at: https://vle.dmu.ac.uk/webapps/blackboard/content/ listContent.jsp?course_id=_442179_1&content_id=_3333674_1&mode=reset (Accessed: 7 December 2016) Mondaq (2010) Advantages of using letter of credit in international transactions - international law - turkey. Available at: http://www.mondaq.com/turkey/x/100456/international+trade+investment/ Advantages+of+Using+Letter+of+Credit+in+International+Transactions (Accessed: 9 December 2016)

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Sanchanta, M. (2006) Uniqlo poised to open flagships in drive to expand. Available at: https://www.ft.com/content/ 162964dc-6a01-11db-952e-0000779e2340#axzz2RV7Voz2t (Accessed: 23 November 2016) Shaw, D. and Koumbis, D. (2013) Fashion buying: From trend forecasting to Shopfloor. Lausanne: Fairchild Books.

Taylor, N. (2016) Bangladesh garment industry fears backlash after deadly Dhaka attack, Fast Retailing suspends visits. Available at: https://www.wgsn.com/news/bangladesh-garment-industry-fears-backlash-after-dhaka-attackfast-retailing-suspends-visits/ (Accessed: 7 December 2016) Uniqlo, CO, U. (2016) About UNIQLO. Available at: http://www.uniqlo.com/uk/corp/ (Accessed: 23 November 2016) Uniqlo (2015) Making the world a better place Uniqlo CSR. Available at: http://www.uniqlo.com/en/csr/refugees/ recycle/ (Accessed: 23 November 2016) Uniqlo. (2014) UNIQLO business strategy. Available at: http://www.fastretailing.com/eng/group/strategy/tactics.html (Accessed: 23 November 2016)

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Appendix 1 Tech Pack


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Appendix 2 The Environmental Impact of Fast Retailing’s Business

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