FIT & FLOURISH Sourcing Strategy

LO F & FIT

H S I UR

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TA B L E O F C O N T EN T S ABSTRACT MISSION, VISION, AND VALUES

6-7 8 - 13

INTRODUCTION

14 - 35

STRATEGY DEVELOPMENT PROCESS

36 - 49

COUNTRY ANALYSIS

50 - 117

SUPPLIER ANALYSIS

118 - 139

COSTING

140 -143

STRATEGY DEVELOPMENT

144 - 163

CONCLUSION

164 - 167

APPENDIX

168 - 199

BIBLIOGRAPHY

200 - 203

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5

A B S T R AC T

After comprehensive research of various countries and potential suppliers for Fit & Flourish, we narrowed our selection down to three: China, Peru and Jordan.

With information regarding the culture within those countries, as well as the business standards and procedures, we were able to build a strategy for sourcing our products. We chose our suppliers based on key necessary factors, including their abilities, costs, capacity, lead times and their adherence to our sourcing guidelines. As a startup company, it is important to Fit & Flourish to build a strong relationship with our suppliers in order to ensure that the quality of our product is where it should be and that delivery times are suitable to our needs. We were also able to determine the distribution of our products within those countries and the amount of each product needed to be produced each month throughout the year.

Our sourcing strategy is clearly displayed through in-depth rankings of countries and suppliers, a detailed breakdown of costs, a clear line plan for production and imperative information about the countries from which we are sourcing.

ABSTRACT 7

MIS S ION

“To inspire a well balanced life, both physically and spiritually.�

9

VI S ION

Fit & Flourish designs allow women to embrace both their inner and outer beauty. Through innovative technongy use and the highest standards of quality, our active wear boosts the female individual’s comfort level making fitness fun again.

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VAL U ES

C H A L L E N G E C O U R A G E C R E A T I V I T Y INNER HARMONY H

E

A

L

T

H

T E A M W O R K S T A B I L I T Y ACHIEVEMENT A E S T H E T I C I N T E G R I T Y 13

WH O W E A R E

Based in Savannah, Georgia, Fit & Flourish began with five active, passionate women determined to make their mark on the apparel industry. Upon college graduation, the founders recognized an opportunity within the active wear market. Discovering this niche market, the five women decided to design an accessible line of knit bottoms. Manufacturing with the most innovative technologies from day one, Fit & Flourish began with the goal to inspire a wellbalanced, high-functioning, comfortable life for every woman.

The initial funding for Fit & Flourished came through devoted support from family and friends that believed in the brand and its vision. Additionally, the team utilized the popular crowd-funding platform, Kickstarter. With the belief and generosity of others, Fit & Flourish was able to raise over $15,000 to cover operating costs, miscellaneous operating expenses, IT, and marketing.

Fit & Flourish was then able to bring in a group of technical designers and advertisers to help further develop the brand. Local boutiques in Savannah began selling a few select pieces in their stores. Frequented by tourists visiting the South, the boutiques were able to spread the word about this exciting new startup.

Currently, Fit & Flourish is in a prime position for expansion.

As a result, they are currently looking to the Eastern world for potential suppliers. Despite the brand being in its early stages, quality is key to the consumer and therefore to Fit & Flourish as well. In the future, the brand hopes to put themselves on the map with other successful active wear brands such as Lululemon, GAP and Lucy Active wear. They are also working towards designing products made from the most relative and innovative high-tech fabrics, including anti-bacterial and temperature controlled textiles. Utilizing manufacturing methods and materials that substantially decrease any harm to the environment and promote a greener lifestyle are also values to be put into practice.

INTRODUCTION 15

W H AT W E S TA N D F O R

Fit & Flourish was created to make fitness fun again by complementing a woman’s inner and outer beauty and inspiring a well-balanced life; both in a physical and spiritual sense. The company’s core values and beliefs are inner harmony, teamwork, challenge, and achievement, among many others. Among these values, Female empowerment is Fit and Flourish’s most significant. Through community involvement with charities and organizations that support female empowerment and powerful marketing campaigns geared towards positive promotion of women, Fit and Flourish reveals the importance of such values.

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OUR TA R G E T M A R K E T

MARKET OVERVIEW Fit & Flourish aims to target young women between the ages of 20-35. These are the women who wake up in the morning with motivation to make the new day better than the one before. These women live extremely active, fast-paced lifestyles, from their professional occupations to their free-time workouts. They also strive to make their health, both physically and mentally, a top priority. The average Fit & Flourish customer contains a steady income of $40,000 and up with a small amount of spending money. With that being said, these customers shop for long-lasting, high-quality products that will give them the most for their dollar.

CUSTOMER FOCUS Meet Naomi. Naomi is a single 27 year old currently residing in the large urban city of Austin, Texas. Naomi has an everyday schedule that is packed with things to do yet she manages her time extremely well in order to keep her energy positive. She is an early bird who gets to the gym while it’s still dark. She returns home after her hourlong workout, drinks her morning cup of green tea, and whips up some oatmeal and berries to eat on the way to work. She works fulltime as a dental assistant where she earns the majority of her income.

On the side, Naomi is also a yoga instructor and lifestyle blogger.

She typically focuses on writing about topics such as food, exercise, meditation, and her overall lifestyle. Though she is quite young and just beginning her career, she looks for quality and consistency in the products she chooses to purchase, especially her workout clothes. Because of this, she is willing to spend a few extra dollars for products she knows will be long-lasting, efficient, and comfortable.

INTRODUCTION 19

FI T & F L O U R I S H P R O D U CT

All of our products are specifically designed to compliment women’s figures in the most fashionable way possible. We believe that every woman, no matter what her shape or size, should feel fit and comfortable at all times. All of our knit bottoms are made from Lycra Sport, a specialty blend of high-quality fibers. This fabric is engineered specifically for sporting activities, which require a combination of lightweight breath-ability, muscle support, and freedom of movement.

Our product selection is specifically focused on active wear bottoms.

The collection includes a biker short, capri pant, long legging, boot-cut yoga pant, and flare yoga pant. All of the bottoms are a low-rise fit. The biker short is fitted, similar to a spandex short, but the length reaches the mid-thigh area. The Capri pant is fitted and ends just below the knee. The long legging, one of our most popular products, is also fitted and tight all the way down to the ankle. Lastly, our boot-cut yoga and flare yoga pants are the most similar. The boot-cut legging is a more fitted yoga pant while the flare contains more of a bell-bottom opening around the ankle.

INTRODUCTION 21

B IK E R S H O RT

RETAIL PRICE $40.00

INTRODUCTION 23

C A P R I PA N T

RETAIL PRICE $65.00

INTRODUCTION 25

L O N G LE G G I N G

RETAIL PRICE $65.00

INTRODUCTION 27

BO OT C U T L E G G I N G

RETAIL PRICE $75.00

INTRODUCTION 29

FLARE LEGGING

RETAIL PRICE $75.00

INTRODUCTION 31

PRO D UC T D E S C R I P T I O NS

All of our products are specifically designed to compliment women’s figures in the most fashionable way possible. We believe that every woman, no matter what her shape or size, should feel fit and comfortable at all times. All of our bottoms are made from Lycra Sport, a specialty blend of high-quality fibers. This fabric is engineered specifically for sporting activities, which require a combination of lightweight breath ability, muscle support, and freedom of movement.

Our product selection is specifically focused on active wear bottoms. The collection includes a biker short, capri pant, long legging, boot-cut yoga pant, and flare yoga pant. All our bottoms are low-rise fit.

The biker short is fitted, similar to a spandex short, but the length reaches the mid-thigh area. We chose this product because it is a basic short that serves multiple purposes activity-wise. You can run, play sports, or bike in this product.

The Capri pant is fitted and ends just below the knee. We chose this product because it is a popular cut for the average woman. When the weather is not as cold, it is a better choice than the long legging. It is a style that is the middle ground between the biker short and the long legging. You can run, do yoga, or pilates in this product.

The long legging, one of our most popular products, is also fitted and tight all the way down to the ankle. We chose this product because it is the most basic legging. Every woman needs a style such as this one, not only for her active life but also her social life. You can do run, do yoga, or just wear this item out to lunch with a longer top.

Lastly, our boot-cut yoga and flare yoga pants are the most similar. The boot-cut legging is a more fitted yoga pant while the flare contains more of a bell-bottom opening around the ankle.

We chose these products because we know how common yoga pants are today in the active wear market. Like the long legging, this item is one that women wear when they are active or just lounging around the house. You can do yoga, pilates, or run errands in this product.

INTRODUCTION 33

W HY F IT A N D F L O U R I S H ?

Fit & Flourish was developed with the focus being active knit bottoms because the original interest was specific to researching and sourcing high tech materials and manufacturing processes. The lack of comfortable women’s apparel in the sportswear category was a huge deciding factor. Many brands are very low priced, for example Target or Champion. On the other hand, the more popular styles such as Lululemon and Nike are extremely expensive. Fit & Flourish fills that gap by creating a brand that fits somewhere in the middle while still meeting high performance standards. Fit and Flourish was developed to make quality knit bottoms available to a mass marketplace. The goal was to create a product line that met the needs of all types of women. With a variety of silhouettes to choose from, the knit bottoms selection compliments both a women’s body and her lifestyle. The price range remains competitive at $40 to $75, less than the highly sought-after labels. The price range is not high enough to be considered inaccessible, but also not low enough to allow quality to be questioned. Ultimately, Fit and Flourish was developed to make high quality active wear at an attainable price point, setting it apart from all other athletic wear brands.

INTRODUCTION 35

WHY A G L O BA L S T R AT EGY ?

In today’s rapid economy, international business relationships are essential for a thriving brand. Creating a global sourcing strategy is vital to establishing oneself in the global marketplace. Sourcing includes developing and understanding the complex relationship that exists between the product, pricing, and company values. Carefully developing and managing a strategy will help businesses enter the international marketplace with a sense of current climate. Proper strategic alignment is crucial to creating product at the rapid pace of the economy. Knowledge of the present marketplace will help to gain efficiencies and reduce costs. “A recent Duke Off-shoring Research Network study found that the top four drivers of global sourcing are cost savings, access to qualified personnel, enhancing efficiency through business process re-design, and competitive pressures.” In addition to this, other major factors to developing a strategy are access to the newest technologies and larger capacities.

That being said, there are a number of risks businesses must be aware of when sourcing globally. Such factors to be aware of are the rapid fluctuations in the global economy, inadequate control over production processes, longer lead times, high transportation and logistics costs, supplier concerns, intellectual property, lack of responsiveness, language barriers and worldwide social unrest. Businesses that are weary of entering the global market will find they are at a major disadvantage amongst their outsourced competitors.

Companies that use the businesses practices and invest in global capabilities are able to focus more the brand’s identity and other value-added activities. Developing a global sourcing strategy will ultimately receive the greatest return on a company’s assets. Globalization, competition and consumer have forced businesses to search for the most cost effective services.

STRATEGY DEVELOPMENT 37

BREAKDOWN

KNIT BOTTOMS PRODUCT BREAKDOWN Biker Short

Capri Legging

SEASON: SPRING / SUMMER 2015 Long Legging

Flared Yoga Pant

Boot Cut Yoga Pant

$40 XS-XL

$65 $65 $75 $75 XS-XL XS-XL XS-XL XS-XL TOTAL VOLUME: 100,000 TOTAL VOLUME: 110,000 TOTAL VOLUME: 155,000 TOTAL VOLUME: 145,000 TOTAL VOLUME: 140,000

VOLUME BREAKDOWN BY MONTH JAN

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

DEC

TOTAL

4,000 7,000 10,500 10,000 10,000 31500

4,250 8,000 11,500 10,500 10,500 34250

6,500 9,000 12,750 11,700 11,000 39950

8,500 10,000 13,150 12,000 11,000 43650

10,525 10,500 13,100 11,500 11,500 45625

14,000 10,000 12,500 11,500 11,000 48000

13,750 9,500 12,000 11,000 10,500 46250

13,400 10,000 11,500 12,000 11,500 46900

7,025 10,500 12,500 13,000 12,500 43025

6,500 9,000 13,500 13,000 12,500 42000

4,550 8,500 15,000 13,000 13,000 41050

7,000 8,000 17,000 15,800 15,000 47800

100,000 110,000 155,000 145,000 140,000 650,000

SPRING/ SUMMER 2015

BIKER SHORT CAPRI LEGGING LONG LEGGING FLARED YOGA BOOT YOGA TOTAL

STRATEGY DEVELOPMENT 39

BREA K D O WN JU S T I FI C ATI ON

Active wear knit bottoms have consistency throughout the fashion calendar. For this reason, our volumes are broken down fairly evenly. Individuals who lead well-balanced lives are active all-year round, thus our volume’s flow routinely.

Our product assortment features a biker short, capri legging, long legging, flared yoga pant and boot cut yoga pant. We chose these styles because they offer the best options for the most amount of body types. Fit and Flourish wants to be the active wear destination for all women. Whether she is a marathon runner or trying to lose some extra weight, we want her to find comfort in our knit bottoms.

Our highest volume product is the long legging. We set this volume at 155,000 because we believe every women will love this style. The legging is a versatile piece, it can go from the gym to the street seamlessly. Leggings have been a consistent trend for many years now. It is no longer reserved for athletes. For this reason, we have faith this product will see the largest amount of sales.

The yoga pants have the next highest volumes. These pants are also transitional which is why we set them at 140,000 and 145,000. Both the yoga pants and leggings have staying power throughout the seasons.

Our lowest volume products are the capri legging and biker short. The capri is set at 110,000 and the short has a volume of 100,000. We made these two styles lower because they will not be as popular in the winter months.

In conclusion, our line plan is based off the weather and the seasons. Because the active wear industry is consistent, we set our overall volume for the season at 650,000. Although this is high, we are confident through our research that high performance knit bottoms have potential for high profits.

STRATEGY DEVELOPMENT 41

S O U R C I N G VA LU E S

H E A LT H PERFORMANCE FEMALE EMPOWERMENT QUALITY EQUALITY

STRATEGY DEVELOPMENT 43

SO U R C IN G G U I D EL I N ES

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INTRODUCTION The Fit & Flourish Supplier Workplace Code of Conduct defines our standards for fair, safe and healthy working conditions; as well as environmental and corporate responsibility throughout our supply chain. All suppliers that work with Fit & Flourish must commit to adhering to our detailed Code of Conduct. Fit & Flourish’s mission is to, “Inspire a wellbalanced life both spiritually and physically”. Fit & Flourish seeks to exercise the best possible practices to ensure respectful and ethical treatment of workers. Our employees will be guaranteed a healthy, safe work environment in which they will receive fair and timely wages.

C O D E O F C O N D U C T / L AW A N D C O D E C O M P L I A N C E Our suppliers are expected to comply with and will be internally monitored to all applicable laws and regulations of the country in which our workers are employed.

1. Manufacturers operate in full compliance with all applicable laws, rule and regulations including those pertaining to labor, employee health and safety, and the environment.

2. Manufacturers must freely invite and offer access to its facilities and records, whether or not notice is provided in advance or not.

Q UA L I T Y C O N T R O L Descriptive explanations as to how our products are made and with what our products are produced will be laid-out within our technical package. To be sure we will be receiving products that are in adherence to our standards, we will conduct a raw materials inspection, in process inspection, as well as a final product inspection. Should our final inspection reveal product that does not adhere to our quality standards said items will be returned to the supplier. At that point should the supplier not decide to re-make the product according to our expected quality, we will terminate business with said supplier and seek production elsewhere.

INTERNAL MONITORING In order to manage our supply chain, maintain codes of conduct, and ensure business is being conducted in accordance to our policies, we require all suppliers and agents to emulate the internal monitoring approach. We will have frequent, routine as well as unannounced checkins to guarantee all guidelines are being strictly adhered to. Should we find that rules are not being adhered to we will issue two warnings before we end all business with a factory or supplier. When performing check-ins, monitors will observe workers in their natural habitat, confirm that facilities are hygienic and safe, as well as interview employees oneon-one to assure that they are being treated fairly as well as being paid in a timely manner.

CHILD LABOR All individuals employed by Fit & Flourish must be over age 15. Young workers (ages 15-17) shall not perform any work, which by its nature is carried out in a way that compromises the juvenile’s health, safety, or morals. These policies are nonnegotiable and non-adherence will end in immediate firing by Fit & Flourish.

FORCED LABOR There shall be absolutely no forced labor. This includes imprisonment, indenturing of any kind, bond agreements, slavery like practices, or any other forms of forced labor. Our prospective employees have the right to choose whether or not they wish to work for Fit & Flourish, and by no means are forced into positions of any kind.

SO CIAL RESPONSIBILIT Y Fit & Flourish is committed to providing a positive, successful workplace environment.

Production practices must meet a variety of standards that will be enforced through frequent checks on a continual basis, both announced and unannounced. Our care for all employees involved in any part of the supply chain is equal to the care we have for our customers. Empowerment, integrity, and safety are values we regard very highly and want to be sure are enforced. In order to implement such values we will provide protection from fire hazards, toxic waste and any materials that are potentially dangerous. Employees must have access to facilities at all times and work breaks will be a mandatory part of their day. Any prevention of workers’ rights is unethical and against our code of conduct.

E N V I R O N M E N TA L R E S P O N S I B I L I T Y At Fit & Flourish, environmental responsibility is an essential part of our identity. Being connected to the entire supply chain and the complete manufacture process of our business is of extreme importance. Though we are a small and continually developing brand, we see great potential in making a positive difference in relation to current critical global issues. By taking steps to ensure that we are environmentally responsible, we verify and support our success by providing transparency in communication with our customers, employees and shareholders.

Because all of our products cannot be produced with sustainable materials, we focus our efforts on reducing waste, energy, and chemical emissions in our stores and distribution centers. By becoming aware of our water use and energy consumption, along with minimizing our carbon footprint when it comes to transportation, we continue to work towards our goal of helping to reduce greenhouse gas emissions in the US by at least 20% in the next few years. We will take the steps necessary to transport by sea, as opposed to by truck, and we will contribute funds to various organizations working towards the same goals, including Sustainable Apparel Coalition and Ceres’ Business for Innovative Climate and Energy Policy (BICEP) as well as the Zero Discharge of Hazardous Chemicals (ZDHC) group. In addition, we will be supporting our mills and factories in their individual efforts to becoming environmentally responsible.

N O N D I S C R I M I NAT I O N Our female employees are not to be discriminated against in any way. Employment of women and female empowerment is something that we as a company celebrate.

Seeing as though we product apparel and product for women, it is imperative that we respect women all around the world, including those manufacturing our garments.

Through the Working Women Organization, annual conferences will be held in all factories to educate female employees on their rights as workers, women, and human beings. Through the WWO, female factory workers will have their voices heard.

STRATEGY DEVELOPMENT 47

C O D E C O M M U N I C AT I O N Fit & Flourish requires suppliers to post the Code of Conduct in an easily found public place that is frequented by all employees. Said Codes of Conduct must be displayed in all local languages spoken by employees, supervisors, and managers. With enforcement of this policy, the Code of Conduct will become second nature for our employees, allowing for informed, responsible decision making. We will offer training to new and current employees in regards to the Fit & Flourish Code of Conduct standards simultaneously encouraging employees to speak up should they have any questions.

WA G E S A N D B E N E F I T S We seek and favor suppliers who progressively raise employee standards through fair and improved wage systems, health benefits, welfare benefits, and other services. Every employee has the right to work sufficiently enough to meet the worker’s and his or her family’s basic needs as well as some discretionary income. All employees also have the right to compensation for a regular work schedule. Every employee must receive equal wages and benefits. Attributes such as age, sex, religion, ethnicity, race, or any other personal characteristics shall not create differences in pay rates. Compensation must equal or exceed the minimum wage that is required by law.

When compensation fails to meet the employer’s basic needs and provide some non-obligatory income, each worker will work directly with Fit & Flourish and the Fair Labor Association (FLA) in order to take the necessary steps to determine and establish a level of compensation that does. All compensation shall be paid to employees in an efficient and timely manner.

O V E R T I M E WA G E S In addition to compensation for regular working hours, employees must be paid for overtime hours. Overtime labor will be compensated at the legal rate required within the country or for said manufacturer. In countries where overtime compensation is required, pay will exceed the regular wage rate starting at a minimum of 125%.

As with standard compensation, overtime pay shall be given in a timely manner.

HOURS OF WORK Suppliers and managerial staff may not require employees to work in excess of the fixed hours scheduled each week or required by law. All overtime work is consensual. Employees are required to obtain at least 24 consecutive hours of rest within every seven-day period. Work hours cannot exceed 50 hours per week or the legal requirement of the country of manufacturer. Overtime cannot exceed more than 10 hours each week. Hours worked per week should not exceed over 60 hours.

E M P L OY M E N T R E L AT I O N S H I P Fit & Flourish employers should immediately adopt and abide by the rules and conditions of employment that establish respect for workers, safeguard their privacy, obey their rights, and maintain their well being under both international and national labor and social security laws and regulations. All employers and employees should treat each other with fairness and equality, with the comprehension that they are all working as a team.

COMMUNITY Fit & Flourish encourages all of its suppliers and their employees to get involved locally in their individual communities; whether this may mean socially or environmentally. It is encouraged that suppliers and employees contribute as they can to charitable efforts by way of volunteering, donation, or any other form of support. Fit & Flourish hopes to work in collaboration with suppliers to make philanthropy efforts a constant reality - regardless of where they are located..

STRATEGY DEVELOPMENT 49

COU N TRY S EL E C T I O N

51

CHINA ECONOMY China’s economy grew at a fast pace in 2013 than the government’s official target, even as Beijing sought to implement painful economic reforms. According the China’s National Bureau of Statistics, gross domestic product grew by 7.7 percent in 2013 over the previous year.

In the final quarter of the year, a full-year expansion was supported by a 7.7 percent growth, ultimately beating a forecast of 7.6 percent by a thread. Though last year’s growth topped the government’s official target of 7.5 percent, China’s economy is stagnating after recording revised 7.7 percent GDP growth in 2012 and 9.3 percent growth in 2011. This data reinforces that the view that growth is on a downward trend and should expect GDP growth to slow in the year 2014.

The pace of China’s GDP growth is the most comprehensive gauge of the country’s economic health. This number is key to monitoring as the government works to bring about stability after decades of runway expansion.As part of efforts to find more sustainable expansion, in 2012, the government introduced a number of reforms, including the establishment of a national security council and loosening the one-child policy and more, which tackles everything, from fiscal policy to family planning standards.

While most economists consider reforms as an essential tool for China, putting the plan into action will not be easy and gains may not expose within the economy for years to come. How changes are implemented, and the other in which reform are introduced, will determine whether or not there is any impact on the economy. It is clear that there should be a strong emphasis placed on reforming state-owned enterprises and fiscal policy to start. If these are plans are carried out in a successful manner, economic growth should be stable at 6 to seven percent over the next decade.

Of course there is a less positive side that believe the governments plans remain vague, and more significant reforms are needed to reduce dependence on state-backed businesses. Overall, China faces a number of threats with credit growth and local government debt as top issues. Reining in credit could lead to unexpected liquidity while expansion could also lead to further issues and disaster.

The Chinese government faces numerous economic challenges including: its attempt to reduce its high domestic savings rate and low domestic demand, sustaining adequate job growth for tens of millions of migrants and new individuals entering the work force, reducing corruption and other economic crimes, and containing environmental damages and social strife relation to the economy’s rapid transformation.

In coastal locations, economic development has progressed and more than 250 million migrant workers and their dependents have relocated to urban areas to find work. One major consequence of the Chinese population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment – air pollution, soil erosion and steady fall of water – is another longterm problem. China continues to lose arable land because of erosion and economic development. From 2010 to 2011, china faced high inflation, which resulted from largely from its credit-fueled stimulus program. There have been tightening measure that appear to have controlled inflation, but GDP growth slowed to under 8% in 2010.

Today, China’s economy is showing obvious signs of positive change and stability with help from policy support and small improvement in global demand. China’s issue with local government debt also remained under control according to the National Bureau of Statistics. In the third quarter of 2013, the government took supportive measures in order to reinforce signs of economic stability by scrapping taxes for small firms, help for ailing exporters, and accelerating investment in urban infrastructure and railways. Then came strong data that showed factory output growth at its fastest pace since 2012 and unexpected strong trade data. Although it was difficult for China to maintain a fast growth rate due to structural adjustments and declining surplus labor, rising consumption, increasing urbanization and catch-up growth in less developed regions will become long-term economic controllers.

COUNTRY ANALYSIS 53

POLITICS China has embraced a multi-party co-operation strategy under the leadership of the CPC. The CPC is the leading party in China and contains minority parties, which are not parties out of office or conflict parties, also participating in state affairs. It is the dominating party that has been responsible for devising all government policies to the provincial level rulings since 1949.The CPC is the largest political partyin theworldwith over 70 million members. In order to uphold its administrative role, members of the party hold a majority of the most important positions in government.

The CPC also has branches in government offices, factories, schools, communes, local neighborhoods, and the military. Overall, the CPC is a unified body with complete and total supremacy, which follows an ideological mix of democracy and communism. The constitution of the CPC requires that any Chinese worker, farmer, member of the armed forces, or intellectual who has reached 18 years of age should accept the curriculum and constitution of the CPC. In addition, they should be willing to join and work in one of the party organizations, carry out the party’s decisions, and pay membership dues on a regular basis.

The CPC’s dominance as a chief party will continue in the standard term. The government’s aim towards a clean country is expected to increase transparency in the bureaucracy and control in the country.

Overall, China will maintain its chief role in intercontinental politics and will sway decision-making in worldwide policymaking bodies.

There are signs that China’s political situation has never been as dangerous as it is today. Two major destinies, future prospects, lie before China. One possible future is one that will return to the old system of regressive leftist lines of the Cultural Revolution and power by the pressure to maintain one-party rule, even if that rule is under a militaristic, fascist manner. This type of outcome would be bound to disrupt conventional civilized society in China. The second possible future is to find a way to supervise the government, constrain party officials, institutionalize regulatory mechanisms to protect human rights, and to create a pluralistic civilization with restored social vitality and national cohesion. Whether or not China is governed constitutionally, the end is related to these two possible outcomes.

GOVERNMENT The estimated 78 million-member CCP, the dictators in structure and ideology, continue to dominate the government. Nevertheless, China’s population, geographical vastness, and social diversity challenges attempts to rule by authority from Beijing. Central leaders must increasingly build consensus for new policies among party members, local and regional leaders, influential non-party members, and the population as a whole.

In periods of greater vastness, the influence of people and organizations outside the formal party structure has tended to increase, particularly in the economic realm. This trend is most rapidly developing in coastal regions.

Nevertheless, all important government, economic and cultural institutions in China, party committees work to see that the party and state policy guidance is being followed and that non-party members do not create autonomous organizations that could challenge the party rule. Party control is tightest in government offices and in urban economic, industrial, and cultural set¬tings. In the rural areas it is considerably looser, where roughly half the people live.

China’s relationship with Japan reached an all time low in August 2012 over the ownership of the Senkaku Island located in the East China Sea. The dispute came about after the Japanese government purchased the islands from a private property developer. The Chinese government asserted its claim over the island and stated that it would not soften its protection of its territorial sovereignty. In the same year, a two-month standoff between China and the Philippines erupted over territorial claims over Scarborough Shoal, and island in the South China Sea. Both countries still face rising tensions in the area. Government relations with India remain troubled due to allegations that China forces have intruded India’s territory numerous times since 2010.

Local governments face concerns regarding high off-budget debts. Local governments are not legally permitted to borrow, but companies owned by them undertook the majority of the infrastructure projects under the stimulus package. These companies financed these projects by borrowing from banks. Furthermore, the debts of local government agencies responsible for running schools, healthcare centers, etc., are not included in official records.

COUNTRY ANALYSIS 55

SOCIETY At this time, the Chinese society is undergoing intense structural changes, which ultimately creates an emergence of two classes: the new urban workers and the middle class. These two classes, of which consist of roughly 300 million individuals, pose major challenges to municipal management and the maintenance of social stability and sustainable development.

The social class representing the new workers in China is currently entering a state of politicization amongst the Chinese bourgeoisie.

Due to rapid urbanization and economic growth, the Chinese petty bourgeoisie make up the most significant middle class in the world, totaling to 300 million individuals and 23% of the country’s population.

By 2015, this number could reach the 500 million mark or 30% of the population. With this information, it is unreasonable to claim that the share of consumption in the Chinese economy is insufficient. To add, this amount of consumption has serious environmental impacts with increasing growth rates compared to emerging and western countries.

The Chinese middle class is primarily concentrated in urban areas and has demonstrated a strong commitment toward participating in local governance and defending its own interests. Although the middle class is constrained by a broad geographical presence, dispersal in difference sectors, and an unstable formation, it is still finding its political voice.

Gender imbalance is a serious social problem occurring within the Chinese borders today. According to census date by the National Bureau of Statistics, there are 117.7 boys birth in the country for every 100 girls. This number has increased since 2009, but is still high in terms of interÂŹnational standards. The gap is wider in provinces such as Anhui, Jiangxi, and Shaanxi, where the male to female ratio is close to 130:100. There are ongoing concerns that this imbalance can lead to an increase in sexual violence, human trafficking, and crime, furthercreating an unstable society.

FOREIGN INVESTMENT AND TRADE Generally, China is open to foreign direct investment (FDI). However, the country’s legal and regulatory framework allows the government to determine the promotion of investment in specific regions or industries it targets to develop, and to impose restrictions on investment that is not considered to be in its national interest or tat might compete the stateowned or other favored domestic firms. As an example, China encourages FDI in higher value-added sectors, including high technology, research and development, complex manufacturing, clean energy technology, and some modern service sectors. Incentives are provided for investments in the encouraged sectors, from tax reductions to flexible loans and state guarantees. Meanwhile, it seems to discourage FDI in sectors in which China wishes to develop domestic firms into globally competitive multinational corporations. Equity caps and foreign ownership limitations exist in a range of areas such as finance and real estate.

With its competitive economy and large, rapidly growing consumer market, China continues to be among the world’s most favored destinations for FDI. The importance of FDI in China’s economy has also decreased since 2007, as the country tries to stray away from an investment-led development model. China has also emerged to become a significant investor overseas, especially within the Asia Pacific region and in Africa.

China emphasizes the role of infrastructure development for economic growth and the country has led the world in terms of infrastructure investment. However, there is still a significant gap that exists between China’s coastal cities and interior. China’s infrastructure along the coastal regions is where a large part of the country’s trade and investment is concentrated and is well developed. Many rural, isolated areas are still in need of roads in order to connect with outside markets.

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WHY CHINA? There are obvious benefits and risks to sourcing and doing business in China. Unarguably, during all economic history, China has been a key player in the textile industry, as well as top of their game in economic growth. In the last decades, after the economic reform, China recovered its leading position and it became the most competitive country in the textile industry. As a result, textile production in China expanded drastically for both domestic consumption, but mostly for international exports. Plus, China’s activewear industry and textile industry, as a whole, is continuously growing, with thanks to a consistently growing economy. The determinants of the Chinese incontestable competitiveness are mainly: low labor costs; massive inflows of foreign investment, which is rapidly expanding, and technological expertise, leaving China as a leader in the manufacturing industry as a whole.

China is also one of the cheapest locations to manufacture products, specifically clothing. With this being said, labor prices are on the rise due to the growth of migrant workers and expanding middle class.

Ultimately, it is key to note that China still remains under a one-rule government party known as the CPC. This ruling not only affects the way society lives and their freedom, but also affects laws and governing regarding business and international affairs.Alongsidewith China’svarious government and economic regulations, doing business in China is much different than in Western countries, including business etiquette, table and dining manners, time, business meetings, language, social traits, etc.

Though there are no exact free trade agreements between China and the United States, there are still many official agreements between the two. If China chooses to agree to a free trade agreement with the US, this will ultimately lower tariff rates and diminish outstanding barriers, along with having mandatory compliance with the law and official monitoring. Along with a lack of trade agreement, China has labor laws, but often times finds trouble and mishaps. Though there are laws in place, Fit & Flourish must take into strong consideration where and with whom they will manufacture and must be sure to clearly identify their sourcing guidelines in agreement with their chosen business partners. One must keep in mind where these manufacturers, ports, and airports are located due to extreme climate and unpredictable natural hazards, such as heavy rain, tsunamis, and earthquakes.

Overall, China has its risks but, too, has grand opportunity and value.

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P ERU ECONOMY Peru has had some of the fastest economic growth in Latin America in the last seven years because of its mineral exports. The country experienced an economic boom in the 2000s, and in 2011 it was said to have one of the world’s fastest-growing economies. Between 2002 and 2006, after many years of inconsistent economic performance, the economy boomed and grew by 4%, with low inflation and a stable exchange rate. In 2007 the economy could register a growth rate of 9%, the largest in Latin America at the time, and in 2008 the growth rate increased to 9.8%. Even though more and more Peruvians benefit from the continuous growth of the economy, inequality still exists and the distribution of the country’s wealth seems to be a major concern. Since 2004 Peru’s poverty levels dropped by a shocking 28%, but still a third of the population lives in adversity. The country has one of the lowest inflation rates out of Latin American countries because of its good economic management, along with their exchange rate, which is one of the most stable in the world.

The difference between poverty in urban and rural areas is really quite significant. For example, in urban areas such as Lima only 16% of the population live in poverty, whereas in the Andes area a whopping 67% of the population live in poverty. While Peru’s stability and economic growth brought about significant reduction in unemployment, mainly only urban areas were impacted. Peru’s free trade policy has continued under the Humala administration; since 2006, Peru has signed trade deals with the US, Canada, Singapore, China, Korea, Mexico, Japan, the European Free Trade Association, Chile, and four other countries; concluded negotiations with Venezuela, Costa Rica, and Guatemala; and begun trade talks with two other Central American countries and the Trans-Pacific Partnership.

Peru also has signed a trade pact with Chile, Colombia, and Mexico called the Pacific Alliance that rivals Mercosur in combined population, GDP, and trade. The US-Peru Trade Promotion Agreement entered into force 1 February 2009, opening the way to the way to greater trade and investment between the two economies. Although Peru has continued to attract foreign investment, political activism and protests are hampering development of some projects related to natural resource extraction.

UNEMPLOYMENT DROPS The mood in Peru is also upbeat among workers. In the capital city of Lima, 36 percent of active workers believe their wages will increase this year, and 68 percent are confident Peru will continue to receive significant foreign investment. Peru’s unemployment rate has been falling over the past year. In Lima, Peru’s capital, the unemployment rate fell to 7 percent at the end of last year. And, a recent Gallup survey, that polled more than 51,000 people in 56 countries, reveals within Latin America, Peruvians are the least worried about job instability.

More than 562,000 new jobs were created in Peru last year, according to the Institute of Economic and Business Development and the Lima Chamber of Commerce. Both organizations are confident that GDP and jobs will continue to increase this year. The cities that saw the highest employment increases late last year were Juliaca, Sullana, Cajamarca, Ica and Huaraz, with the majority of jobs in professional services, commerce, mining, transport, restaurant and financial services industries. Reflecting a general regional trend, urban employment continues to grow in Peru.

The cities of Ica, Trujillo, Chiclayo and Piura in particular have reached high employment levels. Peru’s regions have experienced higher job growth than Lima, probably due to high levels of private investment.

FORMAL VS. INFORMAL JOBS There is a very strong informal job market in Peru – more than 12 million Peruvians work in the informal job market, representing nearly 80 percent of the actively employed. The majority of informal jobs are found in services, commerce and industry. Despite this, the number of formal jobs is growing. The rigidity of Peru’s labor market can make it difficult to find formal work, especially for young people. Temporary employment contracts are also frequent. Young people in Peru have difficulty entering the formal job market, mainly due to inadequate education or qualifications, and a lack of technical skills. Young people aged between 14 and 29 make up the majority of informal workers.

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EMPLOYMENT TRENDS IN PERU With investment friendly policies and a strong entrepreneurial spirit, Peru ranks as one of the developing world’s most promising economies.

Unemployment continues to drop and diverse new job opportunities increase in this optimistic country. Peru not only survived the global recession but actually succeeded during it. The Latin American country’s economy is expected to continue growing this year, by as much as 5.5 percent. This growth trend in Peru’s economy has been going on for the past 20 years, and the poverty rate has steadily fallen. Latin America in general is predicted to have the highest growth economies in the world this year, according to The Organization of American States, and Bloomberg Markets ranks Peru’s economy the third most-promising in the developing world. This progress is sustainable only as long as Peru continues to attract investment, and this is not immune to global financial trends. If the European debt crisis gets any worse, it could negatively affect Peru’s economy. But, overall, the future of Peru’s economy continues to look bright, with the government predicting 50 billion USD in investment over the next three years. Business executives and economists in Peru are optimistic about the country’s outlook, and the entrepreneurial spirit is high. Peru’s open, investmentfriendly economic policies, high-quality exports and investments in infrastructure development have all driven the country’s overall economic development. Industry experts anticipate 40,000 new jobs will be generated over the next decade by new free trade agreements.

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POLITICS Peruvian independence was declared on July 28, 1821 from Spain. After 12 years of strict military rule, Peru then returned to a democracy in 1980.

But they began to have economic problems and a violent revolution that just continued to grow. In 1990, President Alberto Fujimori’s election introduced a decade that saw a dramatic turnaround in both the economy, and guerilla activity in general. However, because of his reliance on authoritarianism, as well as an unexpected economic slump in the late 1990s, the Peruvian people were unhappy with his rule – leading to the dismissal of his position in 2000. A caretaker government oversaw the next election in 2001, which brought Alejandro Toledo Manrique to the head of government. He promised to create new jobs, fight corruption, and promote human rights. Basically, he wanted to be “the president of Peruvians and of all races”. During Toledo’s term, he successfully returned Peru to a democracy. Also, thanks to his strong economic management skills and encouragement of foreign investments, an economic boom came to be (this was the beginning of the framework for Peru’s present success). Yet, this advancement in the economy did not extend to everyone – poverty decreased only slightly, and few new jobs were created. Strikes against Toledo’s policies happened frequently, and stories of corruption really undermined his administration. In 2006, Alan Garcia was elected president for the second time (he had a rather disastrous term from 1985-1990). He told the Peruvians that he had learned his lessons from his past term, and hoped to improve Peru’s social conditions this time around. He wanted to balance economic stability with increased social spending, as well as promising a noticeable decrease in the country’s poverty levels. His goal was to lead an accountable and transparent government. Garcia surprised the population when he managed to embrace free markets and free trade – making Peru one of Latin America’s top locations for foreign investment. By the end of his term, he managed to increase foreign investment, improve the overall economic status of the country, drop public debt, and increase foreign reserves. In 2008 he was even named Leader of the Year by the Latin American Business Chronicle for his accomplishments in his country.

The current Chief of State and Head of Government is a former army officer named President Qllanta Humala Tasso. In 2005 he founded the Peruvian Nationalist Party, and ran in, then lost the presidential election in 2006. He ran again in 2011, and won the campaign – promising the “poor and disenfranchised” Peruvians a fair share of the wealth that Peru’s natural resources brought in. He was known for spreading joy amongst his followers, and fear amongst national and foreign investors. His current priorities pertain to increasing minimum wage, expanding health care, improving public education, and expansion of basic infrastructure to all areas in which Peru is lacking – all the while maintaining foreign investment and economic growth. Only time will tell in regards to what this president will be able to do for the country of Peru.

FOREIGN RELATIONS Peru generally enjoys friendly relations with its neighbors, other than the occasional bilateral tension with Chile pertaining to the maritime borders beginning in 1999. Relations with Chile became further complicated in November 2009, when a Peruvian Air Force non-commissioned officer was arrested for allegedly spying and passing classified defense information to Chile. In October 1998, Peru and Ecuador signed a peace accord to resolve once and for all border differences that had sparked violent confrontations. Peru and Ecuador now jointly coordinate an internationally sponsored border integreation project. The U.S. Government actively facilitated the 1998 peace accord between Peru and Ecuador and remains committed to its implementation. The United States pledged $40 million to the Peru-Ecuador border integration project and another $4 million to support Peruvian and Ecuadorian demining efforts along their common border. In 2009, the United States committed an additional $3 million to Peru’s humanitarian demining program. In 1998, Peru became a member of APEC, facilitating closer ties and economic relations between Peru and Asian nations. Peru hosted the APEC summit in 2008 and is an active participant within the APEC forum. Peru has been a member of the United Nations since 1949, and was a member of the Security Council in 2006 and 2007. Peruvian Javier Perez de Cuellar served as UN Secretary General from 1981 to 1991. Peru maintains 210 troops in peacekeeping operations in Haiti under the United Nations Stabilization Mission in Haiti (MINUSTAH).

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SOCIETY CLASS SYSTEM Peru does not recognize any official form of a caste system, but its understood treatment of the indigenous population can be seen in many ways as an absolute caste arrangement. In this caste system, race and ethnicity is the major variable to that divides the population into strongly (and after five centuries, voluntarily) enforced groupings. In Peru’s racial hierarchy, very much a remnant of its past, whites occupy the highest part of the system, while the rest of the population clings to the lowest part depending on their skin color and implied cultural status. Class plays a significant role in the social structure of Peru, placing itself upon the skewed racial hierarchy of the country. Not surprisingly, whites tend to occupy the highest positions in the country, and also experience the greatest amount of schooling. However, there are of course exceptions that have allowed for traditionally discriminated individuals to occupy high status positions either in politics or in the arts.

But to a degree these are individual exceptions that testify to, rather than question, the harsh caste and class arrangement present in Peru today.

SYMBOLS OF STRATIFICATION Dress and language are the most common symbols to designate either caste or class differences in Peru. Native American communities still maintain there indigenous languages such as Quechua, Aymara, and the lesser-known Indian languages spoken by the Amazon groups. Many of these Indian communities have maintained some form of traditional dress that identifies them as belonging to their group of origin. Both colonial legacy and the contemporary market economy have contributed to widespread competition for Western status markers. The ownership of cars, expensive clothing, knowledge of English or other foreign languages, and modern appliances are typical markers of elite status in contemporary Peru. In contrast, lower-class Peruvians can be seen wearing secondhand clothing and battling to survive almost on a day-to-day basis.

TRANSNATIONAL ISSUES ( 1 ) Chile and Ecuador rejected Peru’s unilateral legislation to shift the axis of their joint treaty-defined maritime boundaries along the parallels of latitude to equidistant lines which favor Peru in November 2005.

THE CONTROVERSY In order to deal with whaling fleets that endangered the resources of the Pacific Ocean, the governments of Peru, Chile, and Ecuador agreed to sign the Santiago Declaration of 1952. This declaration established sovereignty and exclusive jurisdiction over the maritime territories that were adjacent to each of their respective coasts. The jurisdiction extended a minimum of 200 nautical miles into the ocean. It was established that the maritime territories surrounding islands would be limited by the geographic parallel, so the principle only applied to Ecuador (there are no islands between Peru and Chile). Two years later, the three nations signed the Special Maritime Zone Agreement, among other important documents. The goal of this agreement was to avoid “small-capacity ships manned by seamen with little nautical knowledge or that are lacking the necessary equipment to determine their exact location on the high seas.” The Chilean case relies on these documents, for they say that they are proof that the maritime border between Peru and Chile has been established since the 1950s.

THE OUTCOME This six-year maritime dispute between the countries was recently settled on January 27, 2014. The International Court of Justice ruled largely in favor of Peru, stripping Chile of all economic rights over an area of the Pacific Ocean. Off the coast of Africa, a city on the border of Peru, the court set the boundary at 80 miles. Anything beyond that, it drew a diagonal line southwest slicing about 8000 square miles of ocean from Chile’s “exclusive economic zone”.

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( 2 ) Illicit Drugs: Organized illegal narcotics operations in Colombia have penetrated Peru’s shared border.While theworld’s largest coca leaf producer once was Colombia, Peru is now the world’s biggest cocaine producer.

The cultivation of coca in Peru was estimated at 40,000 hectares in 2009, which was a slight decrease over 2008. Finished cocaine is shipped out from Pacific ports to the international drug market, while increasing amounts of base and finished cocaine are being moved to Brazil, Chile, Argentina, and Bolivia for use in the increasing domestic drug consumption market.

This is an increasing problem for the country, with limited easy solutions.

However, Prime Minister Cesar Villanueva suggests that the growing demands for Peruvian cacao could help boost development in the more remote and jungle regions where drug trafficking currently play a major role. The country has been looking into the development of cacao and other crops as a strategy to convince farmers to stop growing coca, the raw material for cocaine. Villanueva said that “cacao and other crops could help regions defeat drug trafficking and illegal mining with development” while launching an annual “Golden Cacao” promotional program. “What we have to do is not only produce to export, but also transform and consume,” he said. Villanueva added that there is a “political will” from the Peruvian government to support cacao producers. Exports of Peruvian cacao have increased recently and are expecting shipments to increase in 2014. Cacao exports totaled $130 million in 2013, up 20% from 2012 according to export association Adex. Adex said it expects cacao exports to total about $150 million this year, which would be about a 15% increase from 2013.

WHY PERU? The average cost of sourcing our knit bottoms in Peru is $12.38, which is more than the price of producing our products in China, but significantly less than producing our products in Jordan. The trade agreement between the Peru and the U.S. eliminates all duty costs and any extra fees Fit & Flourish would have to pay, which is an attractive quality when considering placing our product in Peru.

Peru has an abundance of positive characteristics that make it a successful and viable choice for the production of our company’s knit bottoms.

The current political climate is, and has been stable for years and the government system they have in place is well organized and continually becoming a better one. Having just recently resolved one of their only major transnational disputes, Peru is currently a very accepting and promising country to develop a foreign relationship with. The economy is not perfect, however due to a plan recently implemented by the current government it is showing a rapid increase in growth with high hopes for the future. The abundance of natural resources available in Peru make it an appealing place to produce our products, especially due to the ongoing growth of the textile and apparel industry there. The industry is definitely one that is just recently started to develop, which could be a great reason for a start-up company like Fit & Flourish to produce our products there. Due to extensive research, our company feels that Peru would be a great country to manufacture our products in.

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JOR DA N ECONOMY Currently Jordan’s economy is one of the smallest of the Middle East with scarce supplies of oil, water, and other indispensable natural resources, which clarifies the country’s heavy dependence on foreign assistance and support. Additional current economic struggles include inflation, elevated poverty rates, unemployment, and a sizable budget deficit.

With King Abdallah’s persistent press for overall socio-economicpolitical improvement, noteworthy economic reforms such as the opening of trade regime, privatization of state-owned companies, and abolition of various fuel subsidies, have been able to transpire. Such advances have attracted new foreign investment in turn stimulating economic development and generating jobs.

In 2000 Jordan made its first triumphant step in liberalizing trade by joining the World Trade Organization. The following year additional efforts were made when an Association Agreement between the European Union and Jordan was signed into action. Following in this pattern, the first bilateral free trade agreement between the United States and an Arab country (Jordan) was put into effect the same year. This free trade agreement between the US and Jordan was significant because the countries had agreed to phased tariff reductions which resulted in the complete abolishment of duties on almost all product by the time 2012 rolled around.

Though great progress has been made in both trade liberalization and through economic reformation initiatives, the global economic deficit has caused stagnation to the overall growth of Jordan’s gross domestic product. As a result, this has impacted export-oriented divisions, the tourism industry, and construction in negative ways.

As an effort to improve the living conditions for the lower and middle classes, the government approved two economic relief packages as well as a budgetary supplement during 2011 and 2012.

Another financial burden for the country has been the natural gas pipeline attacks in the neighboring country of Egypt that have forced Jordan to seek other, more costly, diesel imports in order to generate their electricity; which have mainly come from Saudi Arabia. In anticipation of energy shortfalls, Jordan is presently looking into nuclear power generation as well as the utilization of copious oil shale reserves and sustainable technologies.

To balance past payment imbalances and correct fiscal discrepancies, Jordan became a part of a $2.1 billion, multiple-year International Monetary Fund stand-by arrangement in 2012. Prior to this arrangement, the country’s financial sector had remained rather isolated from the international financial calamity seeing as though Jordan has limited exposure to foreign capital markets. To continue to finance their deficit in the future, Jordan will remain heavily reliant on foreign assistance.

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POLITICS POLITICAL HISTORY Middle Eastern country of Jordan, located in southwest Asia, has been operating as an independent nation since 1923. The geographic area now known as Jordan initially began as the lands of Moab, Edom, Ammon, and Bashan during biblical times. In unison with its surrounding Middle Easter territories, Jordan was under the rule of the Assyrians, the Babylonians, the Persians, and finally around 330 B.C., the Seleucids. At that point, ongoing conflict between the Seleucids and the Ptolemies’s allowed the establishment of an Arabic-speaking kingdom known as the Nabataeans to formulate in the southeast region of the country.

Jordan fell under Roman rule, as part of the Arabian province, in year 106 A.D. During the years 633-636 the Arabs conquered Jordan and controlled the country. The 16th century saw submission of Jordan to the Ottoman Turkish Empire and was administered from Damascus.

During World War I Jordan was taken from the Turks by the British, which lead to separation from the Palestine mandate in 1920. Within the following year, 1921, Jordan fell under the rule of Abdullah Ibn Hussein.

Jordan officially became independent during 1923, subject to the British mandate. As an expression of their gratitude for Jordan’s loyalty during World War II, Britain abolished the mandate in 1946, making them officially the self-governing Hashmite Kingdom of Jordan. In 1950 Jordanian parliament officially incorporated the part of Palestine that had been occupied by Jordanian troops. 1959 saw the assassination of King Abdullah Ibn Hussein and his son Talal was deposed of the throne the year following due to mental disorder. Talal’s eldest son, Hussein, took over and assumed the throne from 1953 to 1999. Under Talal’s rule Jordan saw effective navigation of competitive pressures from the US, USSR, the UK, various Arab territories, Israel, and a large Palestinian population within their own country. The 1967 Six-Day war marked a monumental loss fro Jordan of the West Bank to Israel and soon thereafter (1988) King Hussein permanently relinquished its claims with the territory. A peace treaty with Israel was established and signed in 1994. King Abdallah II, King Hussein’s eldest son, assumed the throne with his father’s death in 1999. Since then he has done his best to instrument modest economic and political reforms but the ever-prevalent “Arab Revolution” in the Middle East has caused some complication. Today the King and Jordanian people continue to push for additional political independence, government improvements, and positive economic progress.

CURRENT POLITICS Politically speaking Jordan operates as a constitutional monarchy. The current monarch, King Abdullah II Ibn Hussein plays the role of head of state as well as commander-in-chief or the entire Armed Forces. He exercises his executive powers through the Prime Minister, which the King himself has appointed. The Prime Minister also advises to any other cabinet ministers appointed during his time. Jordan’s constitution of 1952 established a dualistic National Assembly that includes a House of Representatives with 110 members (also known as the House of Deputies) that is elected through direct universal suffrage, as well as the House of Notables which is a Senate consisting of 55 members that are appointed by the King. Within the House of Deputies a select number of seats are reserved for women, diverse religions, and a variety of ethnicities.

After the disintegration of the previous parliament by King Abdullah II in November of 2009, elections were held halfway through the fouryear term. Prime Minister Samir Rifai appointed a temporary cabinet and tasked them with legislation of new parliamentary and electoral laws in advance of the elections. Aside from a boycott by the main opposition group known as the Islamic Action Front, the election was successful.

Practically all of the parliamentary candidates were independents.

This signified that the new parliament is likely to stay dominated by representatives of tribes that remain loyal to the ruling Hashemite Dynasty.

The Amman Message of 2004 (from King Abdullah II) lays the foundation for an all-encompassing policy pursuing to reclaim the practice and reputation of Islam from extremism. Within King Abdullah’s speeches given both to Jordan and abroad, the themes of moderate Islam and interfaith understanding are continually recurring.

While Jordan has suffered several terrorist attacks in the past few decades or so, they remain committed to progress in Middle East Peace. With a sizable Palestinian population of more than 1.5 million Palestinian refugees, Jordan, along with Egypt, remains one of only two Arab countries to have a peace treaty with neighboring Israel.

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SOCIETY Jordan’s culture, similarly to most Middle-Eastern countries, is primarily male-dominated.The male culture of Jordan is different from most in the fact that many actions that may suggest romantic relations between two people in another country are nothing more than friend-to-friend gestures among Jordanian men. Examples of such actionswould be two males holding hands, sitting very closely, and even kissing one another on the cheek as a greeting.

In recent years, the role of females in Jordan is slowly beginning to evolve.

Women have generallyalways played the role of familycaretakerbycooking for the family, staying home with the children, and cleaning while the man focuses on his career and brings in the income. As of late, in larger cities of Jordan, women have been more frequently involved in business, enrolled in university, and employed in a variety of fields. While we are seeing slight progress it still remains unacceptable for women to do any manual or physical labor associated with a job.

An interesting and notable consideration is the fact that women should never sit in the front seat of a taxi and an unrelated man and woman shall not be seen alone together. Should this situation occur in a taxi it can be viewed as uncomfortable and possibly dangerous.

WHY JORDAN? The average cost of sourcing our knit bottoms in Jordan is $13.64.

Although it is the highest among the top three countries we have chosen for our sourcing strategy, other factors such as political climate, proximity to the East coast, and a growing textiles industry are what qualified Jordan as a substantial option for sourcing. The free trade agreement in place between the United States and Jordan eliminates duty costs and any additional fees Fit & Flourish may have had to take on otherwise.

There are many reasons as to why Jordan is a practical and positive option for the production of Fit & Flourish’s knit bottoms. While the surrounding Middle Eastern countries may be experiencing political turmoil, Jordan’s political climate has been stable for quite some time, and the country’s government has built and maintained successful relationships with many other countries, namely the United States.

The business climate of Jordan has been steadily growing and is projected to continue in this pattern. Despite issues such as lack of energy sources and the global economic crisis, Jordan has been able to maintain a level economy. The textile and apparel industry of the country is a huge draw, seeing as though that particular business sector has seen growth even with financial crisis. Thanks to initiatives in place looking to further cultivate the apparel industry of Jordan, placing product there would be highly advantageous with its predicted growth expectations. Based on the country’s interest in long-term business relationships, growing textile industry, FTA, easy east coast access, and development projections, we at Fit & Flourish feel Jordan would be a beneficial and successful partner for manufacturing our product.

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TE XT IL E I N D U S T RY CHINA

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The year 2013, specifically the summer season, brought a feast of downbeat data for skeptics about China’s economic prospects.

GDP and profit growth in the world’s number two economy have slowed. Orders for manufactured good have been weak.

Worries about bad credit amid surplus capacity have been rife.

And China’s main stock market indexes have trawled four-year lows, a bad omen for the future. As easy financing that helped fuel their boom begins, such slowdowns have contributed to gathering gloom in other emerging economies in Asia and elsewhere.

Even with an expected drop, the China growth story remains strong in industries that have got¬ten relatively less government attention and where private entities have gained significant footholds. The textile and apparel trade, long a Chinese mainstay but fragmented among many producers, is indicative. Following China’s entry into the World Trade Organization in 2001 after initial gains from an end to quotas, the industry slipped during the global financial crises when China also lost some wage-cost advantages, but is not making its way back.

Production at Chinese textile companies of scale, meaning with sales in excess of $3.3 million, rose by 13.3% in the first six months from a year earlier, to $488 billion, according to a national trade group. Despite rising domestic wages and tepid global consumption, China exports of textiles and garments grew by 12% in the first half of the year to $127 billion. To counter, demand and manufacturing at home is adding; Overseas shipments that generated 37% of fabric and yarn sales in 2002 today account for only 16%.

Propelled by the expected recuperation of China’s economy, apparel sales in China are predict¬ed to a recovering retail value of 8 percent. While cost of raw materials and labor are continually rising, so is the number of consumers who are willing to spend more money on well-tailored and fashionable clothing. Apparel prices are likely to accelerate to reach RMB76, RMC92, TMB53, and RMB104 per unit by the end of 2017 for women’s clothing.

Women’s clothing is expected to register the most dynamic retail value CAGR of 9 percent in constant value terms over the period of forecast. This trend will continue to benefit fast fashion players and will retain a key focus on female consumers.

In terms of sportswear specifically, there should be no significant changes to the competitive landscape, which has occurred over recent years. High-end segments will remain subjugated by international players, such as Nike and Adidas, while all domestic players will focus on middle and mid-to-low-end of the market.

Despite the slump that occurred in 2012 and given the eminent promise that sportswear in China has further development, both international and domestic sportswear players are likely to increasingly center their focus on this profitable segment of apparel.

In addition, physical exercise is expected to increase in popularity in China with mounting health issues and awareness among the Chinese consumers, especially among the urban middle class consumer market. Some emerging sports activities are expected to become popular among urban consumers, such as yoga and outdoor activities, which will directly propel the sales of relevant sportswear. With premium brand images, advanced product technology, and infiltration into lower tier markets, international players will continue to be highly competitive with domestic players.

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TEXTILE AND APPAREL ASSOCIATIONS CNTEX is the leading provider of marketing serves in the Chinese Textile and Apparel Industry and Resource and Information center of Chinese Textile and Apparel Industry, providing overall marketing plans for international enterprises entering Chinese Textile and Apparel Market.

The China National Textile & Apparel Association (CNTAC) and China Textile Information Center set up the China Textile Network Co., Ltd. (CNTEX). Over ten years of development, CNTEX has become the most influential media and resources center of the Chinese textile and apparel industry, which includes two print publications.

CNTEX MAJOR OBJECTIVES 1. To enable the Chinese national policy of reform and opening of the textile industry in China 2. To implement regulations and policies of the PRC relating to the development of the textile industry 3. To promote the production of textile products and the continuous growth of domestic and international trade in line with the principle of developing the market economy in China 4. To enhance the economic strength of its members 5. To expand the influence of CNTEX throughout Chinese society 6.To protect the legal rights and interests of its member and help foster a favorable market environment for the production and operation of the textile industry.

CNTEX MAJOR OPERATIONAL TASKS To act as an intermediary between CNTAC and Chinese government departments and CNTEX members; To safeguard the legal rights and interests of its members; To provide management and technical consultancy services to its members to improve the quality and profitability of their performance. To reflect accurately the opinions and demands of its members to the CNTAC and the Chinese government; To co-ordinate the and express member interests; To help members promote their products; To eliminate unfair or illegal competition; To transmit to its members the regulations and policies of the Chinese government; To assist the government in guiding and coordinating the operation and sales of Textile products as well as providing consultancy and services in this area; To provide its members with timely and accurate information on the Chinese Textile industry; To supervise members’ correct implementation of laws and regulations formulated by the Chinese State.

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TE XT IL E I N D U S T RY P ERU

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Peru is an outstanding producer of prime materials. Peruvian cotton is a valued good in a variety of markets, while apaca, and vicuna are perceived as excellent around the world. The country is strong when it comes to how many natural resources can be utilized. Recently, Peru has been trying to bring fashion to the forefront. The country is focused on making their regional brands into a more international market, for establishing these relationships will benefit Peru’s economy significantly. This is how a trade show called Peru Moda came about. Peru Moda is the biggest even of the Peruvian fashion industry, held once a year in Lima since 2009. The trade show offers the best of the Peruvian export supply in the apparel, footwear, accessories and jewelry markets. Visitors discover their highly recognized textile industry, known for materials such as the unique alpaca fiber, and Peruvian cotton – considered one of the best materials worldwide. They will also learn about the advantages of the Peruvian fashion industry in terms of quality, design, and competitive prices and are able to establish business relationships with local companies known for their immense response capacity and versatility. This year, Peru Moda plans to bring in 2,000 buyers from abroad this year – a 25% increase than what was present last year. There will be 57 countries represented in about 400 exhibition stands. The first day is dedicated exclusively for international buyers to have a closer look at the stands, while the next two days are open to the public.

Peru plans to invest at least $60 million by 2017 to promote its key designer brands in international markets. Peru is working to double textile and apparel exports in 4 years. “We want to internationalize our high-end pima cotton, vicuna, and alpaca brands and to do this, we really need to invest to help these brands build an international presence, including the designers behind them,” LuisTorres Paz said (export aid agency Promperu’s promotion director). Peru will work to enter new markets by participating in trade shows where the designers will be able to show their collections in runway shows.

Torres said the $60 million will come partly from Promperu, the production ministry and private investors. Peru’s plan to double textile and apparel exports comes as part of a bigger, more ambitious agenda to also double the total exports to $80 billion in the july 2011-july 2016 fiscal period. Together with agro-foods, textiles and apparel make up 60% of Peru’s value-added exports, which have grown faster than commodity ones in the past 4 years.

The textile and garment sector generate 6 billion soles (2.18 USD) in added value for Peruvian economy, Peru’s Production Minister Gladys Triveño has said. “The sector has contributed 10% of the country’s manufacturing GDP and 1.5% of the national product in recent years,” the minister noted.

Triveño stressed the Ollanta Humala administration is committed in supporting the recovery of this core sector, which currently represent 27% of the economically active population engaged in Peru’s manufacturing production. The president of the National Society of Industries (SNI) Luis Salazar pointed out the total employment contribution of the textile sector to the national economy amount to 450,000 direct jobs and nearly one million indirect jobs. “This means that over one and a half million of Peruvians depend on the development of this productive activity for their livelihood,” he said

COUNTRY ANALYSIS 85

TEXTILE AND APPAREL ASSOCIATIONS Asociacion Peruana de Tecnicos Textiles is an association related to any political, religious or nonprofit activity, consisting of people with technical, scientific and social skills. Their mission is to encourage the development of textiles in each of their partners by organizing talks, seminars, courses, conferences, and among others, to meet their goals for professional development with total and complete satisfaction. Their vision is to be the entity that gathers all students, employees and employers in the textile and apparel sector in their country to provide support, advice, and contact with textile entities worldwide. They encourage and promote research and dissemination of expertise derived from the textile industry. They currently have over 1400 partners (individuals) and 75 members (corporations) with a completely reorganized system, allowing a social relationship between the partners and their families in a way to consolidate the family known as Textile Peru. Their goal is to provide technical improvement for their partners and members, to encourage study and research in the textile industry, to develop technical, cultural, and social activities, and to establish relationships with assocaitions or similar entities in the country as well as abroad.

The Socidad National de Industrias is the largest and most productive textile association in Peru. It serves Peru’s textile and apparel industry with certificates of origin, publications, visaciones textiles, visaciones of confections, courses and seminars, legal advice, consulting in foreign trade, IEES, legal reporting and the industrial radar which keeps its members apprised of relevant national and international developments. The SNI responds to the demands of internationalization of the Peruvian industry. It participates in participates in the methods that facilitate trade flow between Peru and the world, reduces cost overruns for Peruvian businesses, and seeks to create standard criteria, procedures, and processes that reduce any administrative delays.

COUNTRY ANALYSIS 87

TE XT IL E I N D U S T RY JOR DA N

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The textile and apparel industry of Jordan, although small, plays a significant role as one of the country’s main industrial sectors. With a population of over 6.5 million, and a work force totaling about 1.8 million, an estimated 60,000 are employed within Jordan’s textile and apparel industry. The Hashemite Kingdom’s apparel business also accounts for roughly thirty percent of all export earnings.

According to the Central Bank of Jordan’s (CBJ’s) preliminary figures, the country’s fabric, hand-made articles, apparel, and yarn textile exports totaled 1.05 billion US dollars in 2011.

Between the Jordan – United States Free Trade Agreement (FTA) and the Qualified Industrial Zone (QIZ) Agreement, Jordan’s access to the US markets has greatly increased. Thanks to the FTA Jordan c a n n o w e x p o r t their goods to the United States free of duty and as a result of the QIZ agreement, specific products created in designated areas can enter the US both free of duty and free of quota. The QIZ and FTA have allowed Jordan’s apparel and textile exports to increase from 50 million US dollars annually (prior to 1999) to 1 billion US dollars annually (in 2010). Textile exports to the United States made up ninetythree percent of the country’s total apparel exports in 2010 also.

Not only has Jordan benefitted from these trade agreements but so has the United States. The Major Shippers Report, generated

by OTEXA, revealed that Jordan’s product made up for about 959.3 million US dollars and nearly 180 million square meters of the United States total apparel and textile imports in the year that ended in September of 2012. Goods manufactured in Jordan’s Qualified Industrial Zones were about 63.1 million US dollars of those exports to the United States that same year.

Being one of only two main seaports in the Middle East, the Aqaba seaport is one of the fastest suppliers to North America’s East Coast, pulling lead times of less than three weeks by ship. Past and current US-based companies that have sourced from Jordan include Calvin Klein, Walmart, Kmart, Tommy Hilfiger, JCPenney, Gap, Columbia, Limited, New York Laundry, and Victoria’s Secret.

While the trade agreements and consistent trade partnerships have greatly contributed in positive ways to Jordan’s textile and apparel industry, there are some prevalent issues facing the industry. The continually decreasing supply of natural gas and rising prices of oil have forced the country to bring in much more expensive fuel in order to create electricity. These energy issues, along with the global financial crisis, have only allowed more of a slowdown in the economic development of Jordan.

A separate issue the country currently faces is labor turmoil.

Several strikes by factory workers in efforts to demand higher wages, more developed health insurance policies, and other various benefits have been covered by Jordanian news agencies, allowing the issues to be heard by all. A specific incident further exposing such labor unrest was a report from the Institute for Global Labor and Human Rights exposing a Jordanian apparel factory for forcing overtime upon guest workers who weren’t receiving fair pay or any health benefits from their jobs.

In an effort to mend the issues surrounding labor and progress toward more ethical practices, Better Work Jordan (a partnership between the World Bank Financial Corporation and the International Labor Organization) was launched in 2008 with the goal of enhancing obedience to labor codes and standards within Jordan’s apparel business. It is now required that all textile and apparel manufacturing and exporting factories partake in the program. The expectation is that Jordan’s own workforce will advance and international competition will progress through the production of higher-end products.

COUNTRY ANALYSIS 91

TEXTILE AND APPAREL ASSOCIATIONS J GATE, otherwise known as the Jordan Garments, Accessories, and Textiles Exporters’ Association operates as a private, non-profit initiative developed fro the purpose of promoting growth of the industry. It is their utmost goal to act as a focal point for any productivity related to Jordan’s garment industry. In doing so, J GATE gives support and leadership to the key figures and partners at the forefront of the industry. The Mission, Vision, and Values of the textile association are listed on the following page.

M I S S I O N / VA LU E S NETWORKING: Activate collaboration by providing a forum that generates leads, builds domestic cooperation, forms global export alliances, and publicizes industry news & events.

INVESTMENT: Growth by promoting investment opportunities to both international and domestic investors.

PROFESSIONAL DEVELOPMENT: Develop staff capabilities and build on management infrastructure through comprehensive education programs that improve standards of performance.

PRODUCT AND MANUFACTURING DEVELOPMENT: Drive innovation and collaboration in design and production methods by overseeing research initiatives, showcasing technologies, and establishing cooperative enterprises.

STRATEGIC ALLIANCES: Improve access to supporting industries by linking manufacturers to best-in-class partners including financial institutions, logistics providers, insurance companies and real estate developers.

EXPORT READINESS: Ensure manufacturers are fluent in export provisions by creating guidelines and training seminars that address trade agreement compliance, international quality standards, labor laws, and customs requirements.

ADVOCACY: Minimize regulatory, legal, and trade restraints by lobbying for policy development and promoting necessary reforms..

VISION Transform Jordan’s garment sector into a world-class Fashion industry.

COUNTRY ANALYSIS 93

C O UN TRY R A N K I N G S

COUNTRY RANKINGS SCALE OF 1 TO 10; 1 BEING THE WORST AND 10 BEING THE BEST

BUSINESS CLIMATE COSTS GOVERNMENT LOCATION RISKS SOCIAL STABILITY SOURCING GUIDELINES TEXTILE INDUSTRY TRADE AGREEMENTS TRAINED WORK FORCE SOCIO-ECO-POLITICAL TOTAL AVERAGE

TURKEY

PAKISTAN

PERU

JORDAN

CHINA

6 4 5 6 5 6 6 8 1 7 5 59 5.4

4 9 3 5 2 2 5 6 1 6 5 48 4.4

9 8 9 9 8 8 8 8 10 8 9 94 8.5

8 6 8 6 3 8 8 7 9 7 6 76 6.9

9 7 6 8 6 5 5 9 0 8 7 70 6.363636364

COUNTRY ANALYSIS 95

B U S I N E S S C L I M AT E

TURKEY Turkey was given a 6 for business climate. The country is ranked 71 out of 185 via the World Bank ranking. Their government is committed to addressing the business environment; however there has been a recent substantial loss of investors.

PAKISTAN The business climate in Pakistan has seen an overall decline for the past decade. Due to high debt from the current energy crisis, businesses and citizens alike are unable to pay their exuberant taxes. Because of this, countrywide power outages continuously halt business and production. In addition to this, disputes on how to handle the economic turmoil continue to plague the nation. Corrupt business people and deals also prevent the climate from growing.

PERU Peru received a 9 for business climate because even though China is the top exporter in the world, Peru has one of the world’s fastest growing economies, and has a promising future in comparison. Initial introductions in Peruvian business are informal, while negotiations tend to be pretty lengthy, requiring more than one business meeting to strike a final deal. Peruvians place a great emphasis on building relationships before negotiating an agreement, something Fit & Flourish values in a manufacturer. There are not many official practices when doing business in Peru, making any transactions we would have in the country fairly easy.

JORDAN Jordan’s business climate has been making advances and improvements in the past decade. Jordanian professionals are highly interested in building solid, long-term business relationships with foreign markets. Once a trusted business relationship is established, Jordanian companies and/or individuals are focused on cultivating and growing the relationships to benefit both parties involved.

CHINA With its competitive economy and large, rapidly growing consumer market, China continues to be one the most favored destinations for foreign trade investment. China has also grown to become a strong investor overseas, particularly in the Asia-Pacific and African regions.

China is also a world leader in regards to infrastructure development.

COUNTRY ANALYSIS 97

COSTS

TURKEY Turkey has very high production costs. Sewing rates are at over $2.00 USD per hour. Interest rates have also skyrocketed in recent years.

PAKISTAN Production costs are low in Pakistan, which is why I ranked it at 9. In the textile industry labor costs around $1.50. In comparison to the other countries, besides China, Pakistan is the most cost effective.

PERU Peru received an 8 for costs because it is was slightly above China’s, while Jordan’s is a good amount above. Costs for the manufacturing of our products here would be relatively low in comparison, especially if we choose to do business with Topitop. This manufacturer encompasses all aspects of the processing cycle including spinning, knitting, dyeing and rigorous quality control. Choosing them would benefit Fit & Flourish in the long run due to the fact we can also use them as a fabric supplier. Also, because of the trade agreement in place with the U.S. we would not have to pay for any kind of duty on our products.

JORDAN Jordan’s production costs are moderate when compared to the other countries considered.

That said, it is ranked at a 6 since the costs, comparatively speaking, could be better.

CHINA Total cost to product one Fit & Flourish Biker Short is $7-$8, the cheapest of all countries chosen. Though production is cheaper than other locations, with the strong emergence of the newurbanworkers and middle class, cost of labor will increase and conflicts between work force and employers may surface.

COUNTRY ANALYSIS 99

GOVERNMENT

TURKEY The government is not in a very stable state currently. There are cases against the Prime Minister involving corruption and wrongly appropriated power. Protests are common among the population.

PAKISTAN Throughout its history, Pakistan has struggled to find a stable type of government. Parliament and citizens alike continue to have major dispute on how the governing bodies should be handled. Those with strong traditional Islamic values and those with more western ideals divide the nation. Because of this, many riots and extremists attacks occur in response to the instability. Disagreements on laws and regulations persistently plague the nation for succeeded in the international marketplace.

PERU Peru received a 9 for government because it is a presidential representative democratic republic, giving it the highest ranking over both China and Jordan. While Jordan has a stable government, China is still ruled by the communist party giving it the lowest ranking. Peru’s current government has a promising future, with the President recently implementing plans to increase minimum wage, expand health care, improve public education, and expand basic infrastructure in the country. President Humala also promises to give a fair share of the wealth from Peru’s natural resources to Peruvians, instilling a sense of justice throughout the country.

JORDAN While the immediate assumption is that all Middle Eastern governments are currently experiencing crisis, Jordan’s government has been stable and consistently improving. The government has placed much focus on building and maintaining positive relationships with many other countries and has managed to separate itself from much of the turmoil in surrounding countries.

CHINA China remains under strong Communist ruling. Local governments face concerns regarding high off-budget debts. The debts of local government agencies responsible for running schools, healthcare centers, etc. are not included in official records. Furthermore, the CPC is the overall dictator of Chinese business and production, ultimately limiting control personal.

COUNTRY ANALYSIS 101

L O C AT I O N

TURKEY Turkey received a 6 for location because of it’s proximity \to the Mediterranean Sea, the Atlantic and the Black Sea. Because of this, there are a large number of ports available for shipping purposes.

PAKISTAN Pakistan’s location was ranked at a 5 because it is surrounded by other major exporters but it still far away from the Savannah Port.

Pakistan is located in central Asia, close to China and other export locations. However, it takes about 40 days by ocean freight to get from Savannah to Pakistan. With the demands of the fashion industry, 40 days is longer than we would like our lead-time to be.

PERU Peru received a 9 for location because it is located on the water in the western part of South America. The overall lead-time to get from the chosen port to Savannah, GA is a short nine days. It received the highest ranking of the three chosen countries due to the lack of natural disasters and dangerous surrounding areas in China and Jordan.

JORDAN The geographical location of Jordan falls at a 6 on a scale of 1 to 10. Although the country is positioned for easy-East coast access and offers significantly shorter lead times by ship to the East coast than China, the lack of safety in surrounding Middle Eastern areas pose a threat when traveling through the region’s waters.

CHINA China is located at the east coast of the largest continent and has more than 32,000 kilometers of coastline, leaving plenty of room for ocean-freight importing and exporting. Since China covers such a vast amount of land-area, climates range from sub-tropical in the south to sub-arctic in the north. Heavy rainfall during wet seasons can lead to severe flooding, landslides, and possible typhoons.

China is also located in an active seismic zone and can experience an abundance of major, damage-causing unpredictable earthquakes

COUNTRY ANALYSIS 103

RISKS

TURKEY Turkeywas ranked at 5 for risks. The high costs and tumultuous political state of the countryare serious things to considerbefore placing product there.The proximity to Syria and the Middle Eastern conflict is also a risk to consider.

PAKISTAN There are many risk factors to take into account when sourcing with Pakistan. The economic and social turmoil are so extreme that they have the ability to interfere with international business partnerships.

The continuous warfare and uprising, lack of female empowerment and unethical labor standards may out weigh the benefits for a small company like Fit and Flourish. As start up company, we are looking to source with those nations that have the most trusting reputation.

Fit and Flourish is not in the position to take on too much risk.

PERU Peru received an 8 for risks because overall there are many issues that would affect our business. Natural disasters have not occurred there in years, and their are currently no transnational disputes going on in the country compared to everything that is going on in both China and Jordan.

Workers are, however, currently being paid lower wages than Fit & Flourish would ideally hope for, but their has been rapid progress in the country regarding this issue since the current government has been in place.

JORDAN Potential risks to be considered when sourcing in Jordan would be the country’s lackof consistent and sufficient energysources aswell as the danger and lack of stability of its surrounding countries. While these are serious potential threats, comparatively speaking, Jordan’s risk rating falls at a 3.

CHINA Overall, there are hardly any risks in regards to placing production actions in China.

COUNTRY ANALYSIS 105

S O C I A L S TA B I L I T Y

TURKEY Turkey has very high education enrollment numbers. However, the East and South East regions are very underdeveloped and poor.

PAKISTAN Pakistan is a lesser-developed country. For this reason, social stability is extremely in most parts of the country. While there a some metropolitan cities, the majority of the country is rural and very poor. Disagreements have also led to major riots and public acts of violence on a regular basis.

The major cities of Pakistan see the most of these extremist attacks. This makes traveling within the nation very dangerous for a non-Pakistani.

Additionally, refugees from neighboring Pakistan have led to furthered social instability. Decades of social unrest have forced Pakistan to focus it’s efforts on safety and stability rather than expanding the economy.

PERU Peru received an 8 for social stability because it is not currently involved in any international disputes that would affect our business, and openly welcomes foreign relations with all countries, especially the U.S. due to its current trade agreement.

JORDAN Socially speaking, Jordan is considerably stable. The mindset of most Jordanians can be broken down into one of two categories, modern or traditional. As a result Jordan’s social stability falls relatively high at an 8.

CHINA China is currently undergoing intense structural reforms, creating an emergence of two classes: the new urban workers and the middle class.

The emergence of the most significant working class will lead to three possible effects. The first possibility is that geographical migration of rural poverty will move toward urban areas, ultimately raising the number of slums. Second, there could come an unevenness of rural families. Lastly, the emergence of a proletariat will hasten along with more knowledge of their existence. Gender imbalance in China is a serious issue and is creating ongoing concerns that this imbalance can lead to increase in sexual violent, human trafficking, and crime. Also, the government, along with other intern security agencies, plays a key role in censoring media that may provoke discussion of creating movements for change against China and its systems. There is little freedom for the Chinese.

COUNTRY ANALYSIS 107

SOURCING GUIDELINES

TURKEY Turkey received a 6 for sourcing guidelines because of the recently passed 2003 Labor Act Reform. Fit & Flourish believes in workers’ rights and safety in the workplace and will only source from suppliers who follow these guidelines.

PAKISTAN Overall, it was very difficult to locate sourcing guidelines for the suppliers in Pakistan. For this reason, I rated this section a 5. Those companies that did offer some information only briefly mentioned the subject. Various suppliers claimed to follow good corporate social responsibility but did not go into detail on how these standards were met and followed.

PERU Peru received an 8 for sourcing guidelines because most suppliers researched not only had complete transparency about posting their sourcing guidelines, but they also closely aligned with Fit & Flourish’s aside from a low minimum wage. But again, this is something the government has currently been working on and has seen rapid changes in.

JORDAN With organizations such as J Gate dedicated to improving the apparel and textile industry, assuring manufacturers validity, and working towards 100% ethically sound practices, all Jordanian suppliers that were research had detailed sourcing guidelines whose values were in line with the values of Fit & Flourish.

CHINA There are a number of labor laws in tact, including safety regulations, injury compensation, workplace equality, and enforcement, but some are still unwilling to follow these reforms. Child labor is still an issue throughout China, which is a huge issue that Fit & Flourish takes very seriously and does not support. On the other hand, women are growing in within the workplace and being treated more equally.

Major companies who take their values and sourcing guidelines to heart, such as Patagonia, also source from China, including specific regions where Fit & Flourish possible suppliers were located.

COUNTRY ANALYSIS 109

TEXTILE INDUSTRY

TURKEY Turkey received an 8 for their textile industry. Turkey is one of world’s top 10 exporters, with various apparel companies sourcing from their manufacturers, including Gap, Guess, Patagonia, Nike and H&M.

PAKISTAN The textile and apparel industry brings in the most amount of income for the nation. Knitwear is a major sector within the nation, with up to date technologies in many factories. Textile production accounts for 55% of Pakistan’s exports. However, out of the countries that source with the nation, only around 7.5% of their imports come from Pakistan. It is evident that despite the countries efforts to rely on the textile industry, the international marketplace is weary to partner with the country.

PERU Peru received an 8 for the textile industry because it generates a lot of money for the Peruvian economy. Textile imports from the U.S. are currently a high 24.6% of all imports, while exports from the U.S. are currently 19.9%.

JORDAN Jordan’s textile industry provides the majority of jobs for its citizens and has seen continued improvement efforts in the past decade. With the J Gate association in place and suppliers that have worked with high-caliber, well-known industry names, the textile industry of Jordan presents a lot of incentives. The limited number of suppliers within the country are what land it a rating of 7 on the 1 to 10 scale.

CHINA Even without government attention, industries remain strong and growing. Production at Chinese textile companies increased 13.3% to $448 billion in the first six months of 2013. Since China’s economy is greatly recuperating, apparel sales are predicted to increase a retail value of 8% in 2014. There shouldn’t be any significant changes to the competitive landscape of the sportswear department (Nike and Adidas will lead in the luxury sportswear sector, per usual.) A major plus is that some emerging sports activities are expected to become popular among urban consumers, such as yoga and outdoor activities, which will directly propel the sales of relevant sportswear. With premium brand images, advanced product technology, and infiltration into lower tier markets, international players will continue to be highly competitive with domestic players.

COUNTRY ANALYSIS 111

TRADE AGREEMENTS

TURKEY Turkey has been in talks for sometime about building a stronger relationship with the United States. However, there are no existing or pending trade agreements at this time.

PAKISTAN There are no free trade agreements between Pakistan and the United States. This means our products do not receive any preferential treatment. However, the two nations have put forth guidelines for how the relationship will be handled in future agreements.

PERU Peru received a perfect 10 for trade agreements due to the fact Peru and the U.S. have a successful trade agreement in place, the U.S. Trade Promotion Agreement. It is an important export market for U.S. yarn and fabric manufacturers, and the agreement gives increased opportunities in the marketplace for U.S. yarn, fabric, apparel, and footwear manufacturers.

JORDAN Thanks to the Free Trade Agreement between the United States and Jordan, that has been mutually beneficial for both countries, and the Qualified Industrial Zones, Jordan’s trade agreement ranking is a 9.

CHINA China and the United States of America do not have any trade agreements with one another.

COUNTRY ANALYSIS 113

TRAINED WORK FORCE

TURKEY Turkey has the 4th largest trained workforce in European Union, along with world class engineering education programs.

PAKISTAN There are many young, able-bodied citizens looking for work within the country. In Pakistan, the median age is 22, this means that there are plenty of people looking to learn a trade. Many young individuals from the rural regions will move to the major cities looking for work in the textile industry. Citizens are eager to become skilled and have a consistent job within the factories in order to take care of their families.

PERU Peru received an 8 for trained work-force because overall, workers have the informal skills necessary to work at most jobs, especially in the textile industry. There is a vey strong informal job market in Peru - more than 12 million Peruvians work in the informal job market, representing nearly 80% of the actively employed.

Many of the suppliers researched for the country also had some type of in-house training program employees could participate in.

JORDAN The job industry of Jordan has seen some ethical issues and businesses are not completely transparent in their operations but initiatives are currently in place to improve these problems. The apparel industry makes up a large percentage of the Jordanian workforce and this number is expected to grow in the future, justifying the ranking of the Jordanian labor force at a 7.

CHINA Chinese employees are very involved in gaining education and training employees prior to joining the workforce full-time. In the cases of migrant workers who are desperate to earn quick money, they more willing to work without proper training and experience which leads to a greater possibility of injury, enforcement, child labor, and lack of proper compensation and benefits.

COUNTRY ANALYSIS 115

SOCI0-ECO-POLITICAL

TURKEY Turkey was ranked at 5 for the socio-economic and political state. The Turkish/Kurdish dispute is ongoing, and inflation rates are at an all time high. GDP growth forecasts are extremely low, with the possibility of stifling credit growth and investor relations. Turkey did, however, have a strong comeback from the recent global economic crisis.

PAKISTAN Overall, the country has seen a consistent downfall throughout the years. Despite many efforts, the social turmoil, unpredictable government, and shaky economy will continue to infect the countries strategic outlook of the nation.

PERU Peru received a 9 for socio-economic-political climate because overall it is a viable choice for Fit & Flourish to manufacture their products from.

There is a stable government, economy, and social climate. Compared to China and Jordan, Peru has a much higher growth and development rate.

JORDAN With its internally stable political standing and gradual economic development Jordan appears to be a strong option yet the potential dangers and ongoing war in the areas surrounding the country, Jordan falls at a 6 in relation to the socio-economic-political category.

CHINA China will remain under strict communist ruling, but the government is extremely slow in implementing policies and regulations, especially in the private sector. China is expected to increase its transparency in the bureaucracy, which is a plus for doing business and for the people living within Chinese borders. The economy is steadily growing, and remaining one of the most dominant players in international and domestic business, production, and trade.

COUNTRY ANALYSIS 117

S U P P L IE R A N A LY S I S

119

SUPPLIER SELECTION PROCESS We initially chose our suppliers for each country we researched based on how good their quality was, how their sourcing guidelines aligned with our own, and how cost efficient it would be to produce our products with them. Obviously, quality was our biggest concern being that it is what we hope will set our small start-up company apart from other competitors.

We narrowed down our selections immensely to the top three suppliers we felt best exemplified the factors we believe are important. After narrowing down the suppliers for each country, we then compared the overall quality of each based on their current customers, as well as the type of products they specialized in. The most cost efficient and high quality suppliers are the ones we ultimately chose to source our products from.

121

CHINA SUPPLIER HIGHLIGHTS

SHENZHOU INTERNATIONAL GROUP HOL DI NG S LT D. Shenzhou International Group Holdings Limited (“Shenzhou International”) and its subsidiaries represent the largest vertically integrated knitwear manufacturer in China. The Group is principally engaged in the manufacture of high-end knitwear on an OEM basis. The Group was also the largest exporter of knitwear and the largest PRC textile supplier to Japan according to the 2004 report on the development of China’s textile industry and the 2004 annual report on China’s international trade in textiles and clothing. Shenzhou customers include Nike, Adidas, Puma, Champion, Mizuno, Fila, and Spalding, who are all well-known, credible companies. Shenzhou prides itself on quality and innovation.

X I A M E N J V I N D U S T R I A L CO. , LT D. OU T E RW E A R DE P T. Xiamen JV Industrial is a Disney-owned company. Located in Jinjiang, Fujian province, China, Xiamen JV Industrial specializes in manufacturing swimwear and beach wear for women, men, children and babies, from classic, fashion to sports series. They also provide active wear including cycling wear, running wear, yoga wear and dancewear, which are all large sales. The company’s main markets are Western Europe, North America, and Australia. The company contains a wide-range of fabrics available for choice, such as nylon/spandex, polyamid/alasthan, long-lasting lycra, PBT, polyester/spandex, cotton/spandex, and microfiber polyester. The company is also very willing to co-design with customers and provide new collection, prints, and patterns, which is ideal for our products since we have two sets of color schemes. Their customer list includes The Children’s Place, Target, Otto, Go Sport, US Polo, KappAhl. These long-time customers assure us that the company is making high-quality products.

SUZHOU CHINT ENTERPRISE DE V E L OPM E N T CO. LT D. Founded in 1993, Chint Company is a comprehensive supplier that is engaged in multi-industry management. It mainly utilizes the managing and supervision concepts of supply chain to carry out three core business of professional textile ready-made clothes making and export, brand agency and dealing, retail etc. The company devotes itself to the textile ready-made garments production and export. It is located in Zhengze town of Suzhou city which has been reputed as the Hometown of Silk with charming scenery. It is 90km away from the international metropolis of Shanghai with exceptionally good geographical position. The company is all along engaged in providing our customers with the most superior knitwear production, development and further processing service since its establishment. It produces various kinds of knitwear by using a great number of the famous brands both at home and abroad. Their customers include Callaway, Cubavera, Calvin Klein, Kenneth Cole, Jones New York, PGA Tour, Perry Ellis, Missoni, Ashworth, New York & Company, Laundry by Shelli Segal, Zara, Saks, Macy’s, Target, and J.C. Penny, all who have long-term partnerships with Chint. The company also exports to over twenty countries and is continually growing their numbers.

SUPPLIER ANALYSIS 123

PERU SUPPLIER HIGHLIGHTS

TOPITOP Topitop is a family owned company and one of the top-ranking Peruvian textile manufacturer exporters in Peru that has been in business for twenty nine years. They currently export 70% of their production, with the USA and Germany standing as their two main destinations. They boast a modern industrial complex that includes five textile plants equipped with the latest machinery and a highly trained staff, allowing them to ensure for timely delivery or their competitively priced, high quality products.

HIALPESA Hialpesa has been in business since 1979, climbing to great success ever since. After thirty years of dedicated service to their clients, the industry has come to associate the name of Hialpesa with quality, service, and innovation. They are one of the largest vertically integrated mills in Peru.

They specialize in manufacturing yarns as well as knit fabrics and garments.

They are one of the few fully vertical exporters in Peru which enables them to offer competitive prices. Their vertical operation also enables them to have total control over quality, the advantage of coordinating product development starting from yarn and most importantly, the ability to offer customers short lead-times and transparency down the supply chain.

TEXTIMAX Textimax is one of the most important vertically integrated companies in Latin America. Founded in 1991, it is relatively new, however, their main focus has been to offer the highest level of commitment and efficiency to customers. Their high quality standards, production volume, variety, and versatility, as well as their rapid response, competitive prices, continuous personnel training, and ever strengthening, social and environmental development, has enabled them to meet successfully the international market demands and the ever changing requirements of the fashion industry. They have received WRAP and BASC certifications for their social responsibility and integrated security management system. They offer a varietyof manufacturing services such as spinning, knitting, dyeing, sewing, embroidery, printing, heat transfers, laundry, and final control and dispatch.

125

JORDAN SUPPLIER HIGHLIGHTS

CL ASSIC FASHION APPAREL INDUSTRY CORPORATION Established customers of Classic Fashion Apparel Industry Co. include Champion, CG, Danskin, Lands End, Walmart, Kohl’s, and Under Armour.

The top products manufactured by Classic Fashion Apparel Industry Co. are sports and active wear, denim and casual bottoms, formal pants, and outerwear. This supplier is located at Al Hassan Industrial Estate, P.O Box 54, Ramtha, Irbid, Jordan and can be contacted via telephone at +96 2273 91369, by fax at +962273 91368, or by e-mail at info@classicfashionapparel.com.

CENTURY MIRACLE LIMITED Century Miracle Limited has sent a total of 752 shipments with a volume totaling 5,421,761 kg and an average shipment size of 7,209 kg. Established customers of Century Miracle Limited include Phillips Van Heusen Corporation, Lauren by Ralph Lauren, and Chaps Ready to Wear, a division of Polo Ralph Lauren. The top products manufactured by Century Miracle Ltd. are knitted apparel, ladies apparel, cotton textiles, and CMJ. This supplier is located at Al Hassan Industrial Estate Ramtha, Jordan, 21467 and can be contacted via telephone at +962 739 5575 or by fax at 27395582.

THIRD DIMENSION APPARELS LLC Third Dimension Apparels has sent a total of 280 shipments. Established customers of Third Dimension Apparels include Jones Jeanswear Group Inc and Sue & Sam. The top products manufactured by Third Dimension Apparels are woven bottoms, denim bottoms, knitted apparel, and hats.

This supplier is located at PO Box 155 Ad Dulayl 13136 Ad - Dulayl, Qiz Jordan and can be contacted via telephone at +962 5 3825066 or by e-mail at mjain@malwagroup.com.

SUPPLIER ANALYSIS 127

S U P P L IE R R A N K I N G S

9

9

8 9

7

SERVICES OFFERED

TOTAL

AVERAGE

67 5.58

71 5.92

77 6.42

6

7

9

9

69 5.75

7

7

8

9

10 8

7

89 7.42

9

8

10

9 10

10 8

8

9 8

MEMTEKS

87 7.25

10

8

10

9 8

10 9

8

10 5

YESIM SATIS

87 7.25

8

9

10

7 9

10 9

6

9 10

TOPITOP

PERU

87 7.25

9

7

9

10 7 6 8 9

7

9 6

HIALPESA

63 5.25

8

9

9

10 7

6

8 6

TEXTIMAX

Scale of 1 to 10 with 1 being the worst and 10 the best

SUPPLIER RANKING

88 7.33

9

9

10 9 9 9 9

9

9 6

XIAMEN JV

CHINA

69 5.75

10

7

8

5 10

10 5

6

8

SUZHOU CHINT

69 5.75

10

8

5 9

10 6

7

7 7

SHENZHOU

6 72 6

90 7.5

10

8

10

9 8

9 10

7

8 7

10 6

9

6

6 5

8 10 10

THIRD DIMENSION APPARELS LLC

JORDAN CLASSIC FASHION APPAREL INSUDTRY LTD. CO.

***B LANK S LOT S SHO W N AR E A R ESU LT O F THE LACK O F R ESPONSE WE RECEIVED FROM CONTACT ED SU PPLI ERS

7

6

7

8 7 10

10 8

10 9

CUSTOMERS FLEXIBILITY LEAD TIME MANAGEMENT QUALITY

STRATEGIC OUTLOOK SOURCING GUIDELINES

10

7

CUSTOMER SERVICE

7 6

9 8

8 7

ABILITIES CAPACITY

7 4

FINTEKS

STYLE TEXTILE

BUKSH INDUSTRIES

TREND SPORTSWEAR

TURKEY

PAKISTAN

129

53 4.416666667

7

8

9

10 7

6

6

CENTURY MIRACLE APPAREL MFG. CO., LIMITED

S UPP L I E R R AT I N G S JU S T I FI C AT I O N

131

CHINA X I A M E N J V I N D U S T R I A L C O M P A N Y LT D . O U T E R W E A R D E P T. ABILITIES The abilities of Xiamen JV were the most expansive and the company had the most product range. They are able to produce swimwear, beachwear, and activewear specifically including cycling wear, running wear, yoga wear, and dancewear. The company owners also assured us that they are able to co-design with customers and provide new collection, prints, and patterns, which is ideal for our products since we have two sets of color schemes.

CAPACITY Since we are doing two orders that are over 250,000 for our first year, this supplier is very close to the same idea that we are looking for in regards to production amounts.

The manager stated that they are able to product 50,000 units/mo. or 2.6 million units annually, but are willing to negotiate product amounts. Also, on their website it states that they are able to turn around 5 million units annually, which is not the actual case.

COST Xiamen JV received a 0 because nothing about costing was stated on their website, and when sending out our tech packs they did not respond with a quote.

CUSTOMER SERVICE AND MANAGEMENT The customer service that was provided from Xiamen JV was the best of all companies researched. The managers were quick to respond to e-mails the following business day. The head manager was out of town in Las Vegas at the Magic Show but was sure to forward all of our inquiries back to her office in China for her assistants to respond to immediately, in which they did CUSTOMERS Xiamen JV works with major companies that also source active similar knit products as do. Their customer list includes The Place, Target, Otto, Go Sport, US Polo, KappAhl. These customers assure us that the company is making high-quality

wear and Children’s long-time products.

FLEXIBILITY Xiamen JVoffers a large range of fabrics.As stated before, Xiamen JVemployees are able to co-design with customers and provide new collection, prints, and patterns, which is ideal for our products since we have two sets of color schemes. The company also has rich experience in handling EOM orders for retailers, wholesalers, department stores, and private labels, which we fall under. This also promises us that they will be willing to work with us as we grow our company and expand our product placement.

LEAD TIME Though the lead-times were not listed on the company’s e-mail, the manager informed me that the average product order lead-time would be between 79 and 90 days for initial order. Following the first order, depending on quantity and style, the lead-times may decrease as the relationship builds.

QUALITY Based on their company profile, the product images listed on the website, and customers, it is clear that their quality is high. The management team also verified that they only use the best quality fabrics and provide professional quality inspections for every step of production. Lastly, it should be known that this company is a Disney owned company, which leads us to believe that quality is only the best.

SERVICES OFFERED The company’s website includes a short list of services and support offered. The company insures sample availability, guarantees, warranties, export/import processing, after-sale service. After-sale service is a great service to take into consideration because this is our first time doing business with this company. They also include logistical support regarding shipping products to a specific location, which may lower our final costs.

STRATEGIC OUTLOOK Xiamen JV did not provide any information in regards to strategic outlook.

SOURCING GUIDELINES The company’s sourcing guidelines and values were not listed on the website for the public eye. The manager was very informative regarding their sourcing guidelines and was sure to emphasize their focus on equal employment, no forced labor, no child labor, proper working hours, anti-harassment, equal compensation, health safety, environment, and ethical business practices. All of these guidelines are in line with the Fit & Flourish values and guidelines, too.

SUPPLIER ANALYSIS 133

PERU TOPITOP ABILITIES Topitop received a 9 forabilities because it focuses on similarproduct categories as Fit & Flourish such as a variety of knitwear, casual leggings, and sleepwear. Their production process encompasses the full processing cycle, from spinning, knitting, dyeing and the most rigorous qualitycontrol, thus guaranteeing an excellent product forourcompany.

CAPACITY Topitop received a 10 for capacity because it can produce over 2,200,000 garments per month. It boasts a modern industrial complex with five textile plants equipped with the latest in machinery and a highly trained staff.

COST Topitop received a 0 because nothing about costing was stated on their website, and when sending out our tech packs they did not respond with a quote.

CUSTOMER SERVICE Topitop received a 6 for customer service because they pride themselves on “dedication, perseverance, and ingenuity,” however the company did not respond to our inquiry regarding quotes for our products. They are endorsed by high quality brands brands though, which gives them credibility in the industry.

CUSTOMERS Topitop received a 10 for customers because of their high quality clients. Each company has worked with the manufacturer for at least 5 years, showing that they are happy with their products and services. Some of their well-known customers include GAP, Life is Good, Dillard’s, Ralph Lauren, Abercrombie and Fitch, Under Armour, Calvin Klein, Express, The North Face, J. Jill, and Michael Stars.

FLEXIBILITY Topitop received a 9 for flexibility because of the endless opportunities within their complexes. In-house product developers are willing and ready to assist with any questions or innovations Fit & Flourish might have now or in the future.

LEAD TIME Topitop received a 0 for lead-times because of the lack of a response when Fit & Flourish inquired about this topic. Topitop did not respond to any follow-up emails, or phone calls that were made to find out about this very important subject.

MANAGEMENT Topitop received a 7 for management because the manufacturer is a familyrun company. Managerial positions are members of the family, and seem to work well together because of that. There is a family atmosphere in place that aligns with values Fit & Flourish seeks in their business relationships.

QUALITY Topitop received a 9 for quality because of their customers. All of the customers they work with have been with them for at least 5 years, not to mention are all well-known for having good quality products. If these customers are still with the corporation, we feel that they have had a good experience with the production process, and quality of their products. Topitop is credible for this reason.

SERVICES OFFERED Topitop received a 10 for services offered because they offer every type of service our company would ever need now, or in the future. This includes but is not limited to spinning, knitting, dyeing, rigorous quality control, and pattern and embellishment.

STRATEGIC OUTLOOK Topitop received a 9 for strategic outlooks because they focus their processes on “full package” logic. By making efficient gains in many areas and adding value to the brand it manages, they see themselves at the forefront of the continuously growing global industry. They welcome business of all cultures.

SOURCING GUIDELINES Topitop received an 8 for sourcing guidelines because of its transparent corporate social responsibility. Their sourcing guidelines are clearly stated transparently on their website, most emphasizing a safe environment, ethical treatment of everyone in the corporation, and being socially responsible. The manufacturer is heavily involved in the community, something Fit & Flourish clearly states they admire in our sourcing guidelines. Overall, their guidelines and values align closely with Fit & Flourish’s.

SUPPLIER ANALYSIS 135

JORDAN C L A S S I C FA S H I O N A P PA R E L I N D U S T RY C O R P O R AT I O N ABILITIES Classic FashionApparel Industry Corporation ranked at an 8 for its abilities because the supplier focuses on the product Fit & Flourish is looking to source such as sportswear knit bottoms and tops, allowing Fit & Flourish to potentially grow with this supplier.

Classic Fashion Apparel Industry also specializes in denim, casual bottoms, formal pants, work wear, and outerwear, in addition to their knit sportswear. The run a preproduction pilot run and send samples to customers prior to executing their final orders in order to be sure the product meets all specifications and quality standards.

CAPACITY Producing over 2.5 million garments a month, and therefore totaling over 30 million garments annually, Classic Fashion Apparel Industry Corporation receives a 10 for capacity. Their production rates are also higher than those of any supplier researched throughout our strategy development.

COST Classic Fashion Apparel Industry Corporation received a 0 because nothing about costing was stated on their website, and when sending out our tech packs they did not respond with a quote.

CUSTOMER SERVICE The customer service of Classic Fashion Apparel Industry Corporation received a 10 for customer service due to their commitment to excellence in garment manufacturing, the constant efforts to exceed the expectations of customers, and their strict punctuality in product delivery. Their lengthy list of well-known, high-caliber labels lends credence to these statements.

CUSTOMERS Classic Fashion Apparel Industry Corporation received a 10 for customers because they have done business, and continue to do business, with high-brow, quality brands such as Lands End, Danskin, Champion, Champion Gear, and even Under Armour. The fact that several of these labels produce quality sportswear specifically indicates that it is a good manufacturer for the Fit & Flourish product.

FLEXIBILITY Classic Fashion Apparel Industry Corporation received a 6 for flexibility because they don not develop textiles in-house.

LEAD TIME Classic Fashion Apparel Industry Corporation received a 0 for lead-times because of the lack of a response when Fit & Flourish inquired about lead times.

Classic Fashion Apparel Industry Corporation did not respond to any follow-up emails or phone calls that were made to find out about this imperative subject.

MANAGEMENT Classic Fashion Apparel Industry Corporation received a 9 for management because the promoters of Classic Fashion Apparel Industry are “three dynamic professionals from India having years of experience in running garment industry in the Middle East countries. The Chairman & Managing Director has been in leading roles in the industry since 1991 and was instrumental in setting up factories in United Arab Emirates, Sultanate of Oman, Egypt, Qatar & Jordan. The President has been a major player in the industry since 1993 and the Vice President was a team member in all endeavors with the other two promoters in setting up the biggest garment facility, CLASSIC FASHION Apparel Industry, in Jordan in 2003,” as directly said on their website.

QUALITY Classic Fashion Apparel Industry Corporation received a 10 for quality because of their consistent business relationships successful, industry-leading labels that are known for high quality product. Seeing as though these customers are still with the corporation, we feel that they have had a good experience with the production process, and quality of their products. They are consistent with their quality standards and practice cent per cent conformity with each client’s specifications.

SERVICES OFFERED Classic Fashion Apparel Industry Corporation received an 8 for services offered because they offer every type of service our company would currently need.. This includes sourcing of high-quality, emerging textiles, manufacturing of the actual product, and sewing.

SUPPLIER ANALYSIS 137

STRATEGIC OUTLOOK With Classic Fashion Apparel Industry Corporation’s commitment to mankind and the environment, action in taking initiatives to conserve natural resources, energy-saving efforts, recycling policies, waste management practices, and the fact that they are looking to grow and build more long-lasting business relationships, their strategic outlook ranks at a 9.

SOURCING GUIDELINES Classic Fashion Apparel Industry Corporation received a 10 for sourcing guidelines because of their detailed description of their sourcing guidelines that cover all of the following; environmental responsibility, compensation and benefits, fair and legal hours of work, nor forced or involuntary labor, child labor laws, freedom from harassment and abuse, no discrimination, health and safety compliance, freedom of association and collective bargaining, compliance with customs laws and security regulations. Their sourcing guidelines are closely aligned with those of Fit & Flourish.

139

COSTING

141

P RE LI MI N A RY BIKER SHORT

CAPRI PANT

LONG LEGGING

YOGA PANT

BOOT CUT

PRELIM MARGIN COSTS/ PERCENTS COST MARGIN %

COUNTRY

WHOLESALE

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$16.80

$6.80

83%

$33.20

488.24

$40.00

CHINA

$16.53

$6.53

84%

$33.47

512.56

$40.00

JORDAN

$17.26

$7.26

82%

$32.74

450.96

$40.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$21.40

$11.40

82%

$53.60

470.18

$65.00

CHINA

$21.25

$11.25

83%

$53.75

477.88

$65.00

JORDAN

$22.34

$12.34

81%

$52.66

426.74

$65.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$22.63

$12.63

81%

$52.37

414.65

$65.00

CHINA

$22.57

$12.57

81%

$52.43

417.10

$65.00

JORDAN

$23.93

$13.93

79%

$51.07

366.62

$65.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$26.11

$16.11

79%

$58.89

365.55

$75.00

CHINA

$26.21

$16.21

78%

$58.79

362.68

$75.00

JORDAN

$28.03

$18.03

76%

$56.97

315.97

$75.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$24.96

$14.96

80%

$60.04

401.34

$75.00

CHINA

$24.98

$14.98

80%

$60.02

400.67

$75.00

JORDAN

$26.62

$16.62

78%

$58.38

351.26

$75.00

AVERAGE PRELIM COSTS/ MARGINS BY COUNTRY COUNTRY

PERU

CHINA

JORDAN

AVERAGE COST

$12.38

$12.31

$13.64

AVERAGE MARGIN %

80.9%

81.1%

79.0%

NEG OT I AT ED BIKER SHORT

CAPRI PANT

LONG LEGGING

YOGA PANT

BOOT CUT

NEGOTIATED MARGIN COSTS/ PERCENTS COST MARGIN %

COUNTRY

WHOLESALE

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$17.96

$7.96

80%

$32.04

402.51

$40.00

CHINA

$17.87

$7.87

80%

$32.13

408.26

$40.00

JORDAN

$18.50

$8.50

79%

$31.50

370.59

$40.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$22.34

$12.34

81%

$52.66

426.74

$65.00

CHINA

$22.25

$12.25

81%

$52.75

430.61

$65.00

JORDAN

$23.36

$13.36

79%

$51.64

386.53

$65.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$23.67

$13.67

79%

$51.33

375.49

$65.00

CHINA

$23.57

$13.57

79%

$51.43

379.00

$65.00

JORDAN

$25.08

$15.08

77%

$49.92

331.03

$65.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$26.73

$16.73

78%

$58.27

348.30

$75.00

CHINA

$26.21

$16.21

78%

$58.79

362.68

$75.00

JORDAN

$26.73

$16.73

78%

$58.27

348.30

$75.00

COUNTRY

WHOLESALE

COST

MARGIN %

$ MARKUP

% MARKUP

PRICE TO SELL

PERU

$25.92

$15.92

79%

$59.08

371.11

$75.00

CHINA

$24.98

$14.98

80%

$60.02

400.67

$75.00

JORDAN

$25.92

$15.92

79%

$59.08

371.11

$75.00

AVERAGE NEGOTIATED COSTS/ MARGINS BY COUNTRY COUNTRY

PERU

CHINA

JORDAN

AVERAGE COST

$13.32

$12.98

$13.92

AVERAGE MARGIN %

79.3%

79.8%

78.3%

COSTING 143

STR AT E G Y D E V E L O P M ENT

145

EVA L UAT ED P R O D U C T S, V OL UME S, AND RE QUI RE MENTS

We evaluated our products based on popularity throughout the year.

Our products will be sold year-round because they are not specific to a certain season or location. Our flared yoga pant is the best seller all year round and will have the most evenly amount distributed and throughout the months. This product is the most common for all women to wear, whether they necessarily work out or not. Our biker short will be sold the most in the summer time, mainly due to hotter weather conditions specifically in the United States. All product volumes will rise a month or two prior to the holidays since that is typically when consumers begin their holiday shopping. Since people aren’t trying to spend as much money after the holiday splurges, sales in January usually slow. Our sales will actually maintain a good number of products that will sell and be higher than December. This is because people want to begin the new year with a resolution, and that is typically to get healthy and work out.

FIT & FLOURISH LINE PLAN SP/SU STYLE #

NAME

Biker Short Capri Pant Style #3 Long Legging Style #4 Flared Yoga Pant Style #5 Boot Cut Yoga Pant TOTAL Style #1

Style #2

SUMMER

Fall/ Winter

HOLIDAY

JAN

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

DEC

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

Quantities

10,525 11,000 17,500 15,000 15,000 54025

5,250 7,000 13,500 10,500 10,500 36250

5,500 9,000 12,750 11,700 11,000 38950

8,500 8,000 11,150 12,000 11,000 39650

10,000 10,500 12,100 11,500 11,500 44100

12,000 10,000 12,500 11,500 11,000 46000

11,750 9,500 12,000 11,000 10,500 44250

13,400 9,000 11,500 12,000 11,500 45900

7,025 10,500 12,500 13,000 12,500 43025

6,500 9,000 11,500 13,000 12,500 40000

4,550 8,500 13,000 11,000 13,000 37050

5,000 8,000 15,000 12,800 13,000 40800

Per Unit

$ $ $ $ $ $

17.12 54.20 24.80 26.14 25.52 30.57

COST

WHOLESALE

WHOLEALE

Total

$ $ $ $ $ $

1,712,000.00 5,962,000.00 3,844,000.00 3,790,300.00 3,572,800.00 3,827,075.00 AVERAGE

COST

Per Unit

$ $ $ $ $ $

7.12 44.20 14.80 1,614.00 15.52 420.03

TOTAL 100,000 110,000 155,000 145,000 140,000 650,000

MARGIN

Total

$ $ $ $ $ $

712,000.00 4,862,000.00 2,294,000.00 234,030,000.00 2,172,800.00 60,474,500.00 AVERAGE

$ 10.00 $ 10.00 $ 10.00 $ 10.00 $ 10.00 $ (389.47) AVERAGE

STRATEGY DEVELOPMENT 147

EVA LU AT E D COUNT RI E S CHINA There are obvious benefits and risks to sourcing and doing business in China. Unarguably, during all economic history, China has been a key player in the textile industry, as well as top of their game in economic growth. In the last decades, after the economic reform, China recovered its leading position and it became the most competitive country in the textile industry. As a result, textile production in China expanded drastically for both domestic consumption, but mostly for international exports. Plus, China’s activewear industry and textile industry, as a whole, is continuously growing, with thanks to a consistently growing economy. The determinants of the Chinese incontestable competitiveness are mainly: low labor costs; massive inflows of foreign investment, which is rapidly expanding, and technological expertise, leaving China as a leader in the manufacturing industry as a whole.

China is also one of the cheapest locations to manufacture products, specifically clothing. With this being said, labor prices are on the rise due to the growth of migrant workers and expanding middle class.

Ultimately, it is key to note that China still remains under a one-rule government party known as the CPC. This ruling not only affects the way society lives and their freedom, but also affects laws and governing regarding business and international affairs.Alongsidewith China’svarious government and economic regulations, doing business in China is much different than in Western countries, including business etiquette, table and dining manners, time, business meetings, language, social traits, etc.

Though there are no exact free trade agreements between China and the United States, there are still many official agreements between the two. If China chooses to agree to a free trade agreement with the US, this will ultimately lower tariff rates and diminish outstanding barriers, along with having mandatory compliance with the law and official monitoring. Along with a lack of trade agreement, China has labor laws, but often times finds trouble and mishaps. Though there are laws in place, Fit & Flourish must take into strong consideration where and with whom they will manufacture and must be sure to clearly identify their sourcing guidelines in agreement with their chosen business partners. One must keep in mind where these manufacturers, ports, and airports are located due to extreme climate and unpredictable natural hazards, such as heavy rain, tsunamis, and earthquakes.

Overall, China has its risks but, too, has grand opportunity and value.

149

EVA LU AT E D COUNT RI E S

PERU The average cost of sourcing our knit bottoms in Peru is $12.38, which is more than the price of producing our products in China, but significantly less than producing our products in Jordan. The trade agreement between the Peru and the U.S. eliminates all duty costs and any extra fees Fit & Flourish would have to pay, which is an attractive quality when considering placing our product in Peru.

Peru has an abundance of positive characteristics that make it a successful and viable choice for the production of our company’s knit bottoms.

The current political climate is, and has been stable for years and the government system they have in place is well organized and continually becoming a better one. Having just recently resolved one of their only major transnational disputes, Peru is currently a very accepting and promising country to develop a foreign relationship with. The economy is not perfect, however due to a plan recently implemented by the current government it is showing a rapid increase in growth with high hopes for the future. The abundance of natural resources available in Peru make it an appealing place to produce our products, especially due to the ongoing growth of the textile and apparel industry there. The industry is definitely one that is just recently started to develop, which could be a great reason for a start-up company like Fit & Flourish to produce our products there. Due to extensive research, our company feels that Peru would be a great country to manufacture our products in.

151

EVA LU AT E D COUNT RI E S

JORDAN The average cost of sourcing our knit bottoms in Jordan is $13.64.

Although it is the highest among the top three countries we have chosen for our sourcing strategy, other factors such as political climate, proximity to the East coast, and a growing textiles industry are what qualified Jordan as a substantial option for sourcing. The free trade agreement in place between the United States and Jordan eliminates duty costs and any additional fees Fit & Flourish may have had to take on otherwise.

There are many reasons as to why Jordan is a practical and positive option for the production of Fit & Flourish’s knit bottoms. While the surrounding Middle Eastern countries may be experiencing political turmoil, Jordan’s political climate has been stable for quite some time, and the country’s government has built and maintained successful relationships with many other countries, namely the United States.

The business climate of Jordan has been steadily growing and is projected to continue in this pattern. Despite issues such as lack of energy sources and the global economic crisis, Jordan has been able to maintain a level economy. The textile and apparel industry of the country is a huge draw, seeing as though that particular business sector has seen growth even with financial crisis. Thanks to initiatives in place looking to further cultivate the apparel industry of Jordan, placing product there would be highly advantageous with its predicted growth expectations. Based on the country’s interest in long-term business relationships, growing textile industry, FTA, easy east coast access, and development projections, we at Fit & Flourish feel Jordan would be a beneficial and successful partner for manufacturing our product.

153

E VA LU AT E D S UP P L I E RS

C H I N A E VA LUAT E D S U P P L I E R We chose Xiamen JV Industrial Co., Ltd. to supply our products because of their enthusiasm, professionalism, and quality of product. We know that Xiamen is a reliable partner to do business with and they are a Disney owned company, which leads us to believe that they are well established.

They were the most expansive regarding product ranges. This supplier also had the best customer service and management of all suppliers researched in China and overall. The management team was extremely quick to respond to e-mails the following business day. The head manager was out of town in Las Vegas at the Magic Show but was sure to forward all of our inquiries back to her office in China for her assistants to respond to immediately, in which they did. Xiamen works with major companies including The Children’s place, Target, Otto, Go Sport, and Kapp Ahl. Lead times would be an average of 70-90 days for the initial order and can definitely decrease once an established relationship is set and we continue to work with the company. To conclude, the sourcing guidelines and values of Xiamen were a big positive for our choice to work with this company. A majority of the guidelines that Xiamen adheres to are in line with our company as well. To conclude, Xiamen was an overall winner and the best choice for our company and future.

E VA LU AT E D S UP P L I E RS

P E RU E VA LUAT E D S U P P L I E R We chose Topitop as our manufacturer and supplier because they are one of the top-ranking textile manufacturers in Peru. They have a completely vertical operation process ranging from manufacturing, quality control, finishing, packing, and shipping. The operations are divided into the following categories: cutting, sewing, embroidery, washing, printing, and finishing. We know that their capacity is high, up to 2,200,000 garments a month. This is good for Fit & Flourish because we have a large product volume that we are trying to place in Peru. Quality is also very important to our company, and we know Topitop feels the same because of their past and present clients. Very respectable companies such as GAP, Life is Good, Dillard’s, Abercrombie & Fitch, Massimo Dutti, Ralph Lauren, Express, J.Jill, and Under Armour are all current clients of Topitop. We know that they can produce the type of activewear products we want due to their work with Under Armour, a company we feel is not a competitor, but has similar products and quality expectations.

STRATEGY DEVELOPMENT 155

E VA LU AT E D S UP P L I E RS

J O R DA N E VA LUAT E D S U P P L I E R We chose Classic Fashion Industry Apparel Corporation as our manufacturer and supplier because they are one of the top-ranking textile manufacturers in Jordan. They offer all of the services Fit & Flourish currently requires and source the most quality textiles based on the labels specifications. We know that their capacity is high because they produce over 2.5 million garments a month. This is imperative for Fit & Flourish because we have a large product volume that we plan on manufacturing.

Quality is of utmost importance at Fit & Flourish and Classic Fashion Industry Apparel Corporation is committed to superior quality. Very respectable companies such as Danskin, Champion, Champion Gear, and Under Armour are all current clients of Classic Fashion. Because of the excellent quality of these labels sportswear, we are confident the activewear products we are looking to produce will be impeccable.

157

EVA L U AT E D P R EL I M I NARY COS T S V S I NI T I AL QU OTES & P R ODUCT QUAL I T I E S

Our preliminary costs were just slightly lower than the negotiated cost.

This happened because some of our duty costs needed to be adjusted.

However, china still produced the lowest costs for all garment styles. For this reason, we see the highest margins in China. Regardless of the low costs, we want to place product throughout the three because of various factors, not just costing. The leggings were negotiated to be a dollar more than our preliminary costing. This was because of the additional pieces and threads necessary for their design. Despite this, the long legging and Capri legging will still receive a high margin, at an average of 80%. The biker short only had to be adjusted a few cents, compared to our preliminary costs. Our original margins for the short were very high at about, 83%, however after negotiations that margin is about 80%, which is still very good. The yoga pants also had to be adjusted around a dollar, however they will still have an 80% margin. Despite having some corrections, the negotiated prices still offered us enough room for a high margin.

EVA LU AT ED FUT URE RE QUI RE ME NT S

After carefully researching each of our suppliers, we began to weigh the positive and negative factors each country has to offer. Weighing these benefits and risks really allowed us to develop the plans we have for our country in the future. Because we are a new start-up company, we are aiming to build long lasting relationships with all of our suppliers. All of the suppliers we chose have experience with start-ups, which is a very appealing factor to take into account. They nurture and support startups, and even have someone on their staff to assist with any questions we might have about the future of our company. In the future, we hope to expand our company in regards to our product line. As of right now we are only offering basic leggings, shorts, and yoga pants, however we would love to develop a line of activewear accessories and tops to wear with our current knit bottoms. We would also take under consideration a variety of color palettes for our items, rather than just offering two colorways as we do now. We could even see some of our items in a feminine print. As we build our relationship with suppliers, we hope to continue to produce and sell higher quantities of all of our products, since we know that the suppliers we chose all have large capacities that can fulfill this request. We chose suppliers based on quality and capacities and we know that they are all able to deliver our products based on our future growing needs and demands. We also know that our suppliers offer a range of services, which is great for Fit & Flourish’s future. We know that any type of goal we have for our company from aesthetic to demand can be met in all three of our countries, not just one. All three countries have benefits associated with their suppliers in terms of what we see for our company in the future. China, Peru, and Jordan all ranked fairly high in terms of strategic outlook which is a hopeful position when looking towards the future for Fit & Flourish.

STRATEGY DEVELOPMENT 159

E VA LU AT ED VAL UE ADDE D S E RV I CE S X I A M E N J V I N D U S T R I A L CO. , LT D. O U T E RW E A R DE P T. - Sample availability - Guarantees - Warranties - Export/import processing - After-sale service - Co-design - New collection - Print development - Pattern making - Cutting - Sewing TOPITOP - Cutting - Sewing - Embroidery - Washing - Printing - Finishing - Spinning - Knitting - Yarn Dyeing - Fabric Dyeing - Fabric Finishes - Quality Control - Quality Assurance CL ASSIC FASHION APPAREL INDUSTRY CORPORATION - Sample availability - Quality guarantees - Textile sourcing - Cutting - Sewing - Manufacturing

161

EVA LU AT ED MAX I MI Z E D MARGI NS

After researching the three industries, we have decided to place a signal style number in each country instead of dispersing the product throughout the countries. We believe that by doing this we can maximize our margins and minimize risks. Placing a signal style with each supplier will assure that they perfect the style, thus producing the best quality possible.

China: In order to meet the best margins possible, we have decided to place both yoga pant styles in China. The flared and boot cut yoga pants cost the most to make and have the most amount of labor time. China has by the far the cheapest cost out of the three countries. The average purchase cost for the pants is 15.60 with a 78% Margin. To maximize our margins it is essential to place the pants in China, because of the low costs and large work force.

Peru: Through our understanding of the Peruvian textile industry, we have decided to place both the long and capri legging with the Topitop company. This factory boasts clients like Under Armour, who demand the highest quality fabrics and technology. The legging requires an expert understanding of spandex materials and the high performance lifestyle.

Additionally, Peru is closest to the United States, so placing our highest volume product, the long legging, will ensure on time deliveries. The average cost to make either style legging is $13.01 and a 80% average margin. Placing our leggings in Peru will both maximize our opportunities in the athletic wear sector and minimize our risks as a start up company.

Jordan: Because Jordan has the highest costs; we have decided to place the Biker Short in the country. After developing knowledge of the industry, we are most comfortable placing our lowest volume product in Jordan. Because of its location and higher costs, placing our cheapest style there makes the most sense. The cost to make the biker short in Jordan is $8.50 with a 79% margin. Classic Fashion will be able to perfect and thus produce a high number of styles at an acceptable lead time.

CHINA PRODUCTS

XIAMEN JV FLARED YOGA PANT BOOT CUT YOGA PANT

TOTAL UNITS

145,000

140,000

WHOLESALE PURCHASE MARGIN

$26.21 $16.21 78%

$24.98 $14.98 80%

TOTAL WHOLESALE

$3,800,450.00 $2,350,450.00

$3,497,200.00 $2,097,200.00

TOTAL PURCHASE

AVG WHOLESALE AVG PURCHASE AVG MARGIN

$25.60 $15.60 79%

PERU PRODUCTS

CAPRI LEGGING

LONG LEGGING

TOTAL UNITS

110,000

155,000

WHOLESALE PURCHASE MARGIN

$22.34 $12.34 81%

$23.67 $13.67 79%

TOTAL WHOLESALE

$2,457,400.00 $1,357,400.00

$3,668,850.00 $2,118,850.00

TOTAL PURCHASE

TOPTIOP

AVG WHOLESALE AVG PURCHASE AVG MARGIN

$23.01 $13.01 80%

JORDAN PRODUCTS

CLASSIC FASHION BIKER SHORT

TOTAL UNITS

100,000

WHOLESALE PURCHASE MARGIN

$18.50 $8.50 79%

TOTAL WHOLESALE

TOTAL PURCHASE

AVG WHOLESALE AVG PURCHASE AVG MARGIN

$1,850,000.00 $850,000.00 $18.50 $8.50 79% STRATEGY DEVELOPMENT 163

C O N C LU S I O N

165

While developing this strategy, we have heavily researched and learned all about China, Peru and Jordan. From business etiquette for each country chosen, to the average costs of manufacturing for each supplier, we have really developed a clear understanding regarding how to do business within each culture. We have chosen to place our products in all three of our countries due to the strengths and benefits each supplier offers Fit & Flourish. We will minimize risk as much as possible by heavily researching any and all information about the reputations, resources, export percentages, business climate, communication services, sourcing guidelines, standards, and abilities each country offers us. We have evaluated each of our suppliers’s production capabilities, workforce, quality control, and any certifications they may have. We know the importance of maintaining and building a strong relationship with our suppliers. We will minimize risk regarding importation to Savannah, GA by picking a successful freight route and company that has a good record of delivering on time and a product liability insurance agreement in place.

Because we decided to place our products in all three countries with specific reasoning for what products go where, we are benefiting by having high margins, low costs, and low risks. Due to our extensive research, we have implemented a plan to create successful business relationships in the chosen countries. We believe our choices reap short-term and long-term benefits for our company. Each of our chosen suppliers align with our values at Fit & Flourish, as well as our non-negotiable sourcing guidelines. Obviously our most important value is our aesthetic and quality, and we believe that each of our suppliers have experience in both fields that we are comfortable with. Our manufacturers are transparent throughout the quality control process, as well as our monitoring concerns and compliance. They have agreed to allow us the right to conduct unannounced and announced inspections of all manufacturing facilities, as well as asking for our approval before doing any sub-contracting. It is important that anyone we do business with are constantly following our specified guidelines to ensure we get the best quality for each of our products. We have chosen suppliers with the highest of quality standards, and we realize that sometimes this costs a little bit more. However our margins are relatively high with room to create higher costs. Our average margin was 68% and we exceeded it by roughly 10% in each country. Our goal is to keep costs low and prices high due to how long we expect our products to last (due to our payment for high quality). All three of our chosen manufacturers offer our company maximum flexibility regarding any future changes or additions to our products. Each offers extensive services regarding different processes we will need to utilize such as dyeing, sewing, pattern making, and washing services which is extremely beneficial.

This strategy offers Fit & Flourish plenty of room to grow in the future, and will make it painless for us when expanding our product line, or changing any current products. This is a major advantage when thinking about the future because we will have already built a strong relationship with our supplier, and they will be ready to help with any future designs we decide to roll out.

Fit & Flourish is happy to tell future customers and competitors that we are sourcing from China, Peru and Jordan because we have researched what we believe to be the best three manufacturers for our products line. Their quality is impeccable, and we cannot wait to begin this promising endeavor. We are confident in doing business with each manufacturer, and ready to share with the world what we have created. This carefully thought out strategy makes all of this possible, and the future of Fit & Flourish looks bright.

CONCLUSION 167

APPENDIX

169

C H IN A C O S T S H E E T S F L A RE YOGA PANT B O OT CUT YOGA PANT

171

YIELD** $6.11

$ TOTAL

FIT & FLOURISH

$/YARD* 1.111 $6.11

COST SHEET JANUARY 26, 2014

FABRICS $5.50 1.111

SEASON: SS'14 WASH: N/A WASH DESCRIPTION: N/A

FABRIC #1 $5.50

STYLE #: 093092-001/002 STYLE NAME: Boot Cut Yoga DESCRIPTION: Sport Knit Bottom

FABRIC #2 FABRIC #3

$/UNIT* 212.10

QUANTITY

$0.285

$0.3394

$ TOTAL

$12.22

COMPONENTS $0.0016 0.8383

$0.0055045

** TO INCLUDE WASTE

THREAD $0.34 1.01

TOTAL FABRIC COST

ELASTIC WAISTBAND $0.01

* TO INCLUDE FREIGHT

HEAT TRANSFER LABEL

MARKING

GRADING

PATTERNMAKING

LABOR

10%

1%

1%

1%

MINUTES

$0.1620

$0.01620

$0.01620

$0.01620

$0.090

$2.33

$0.50

$1.620

$ TOTAL

CUTTING

18

COST MIN.

SEWING ADMINISTRATION TOTAL LABOR COSTS

$ TOTAL

* INCLUDES PRESSING AND PACKING UNLESS OTHERWISE NOTED

$/UNIT

$2,971.31

OTHER

$0.15000

$379.113139

120,636

$0.003143

$59.42

FREIGHT

BROKER

$0.000493

$4,247.75256

$837.90942

INSURANCE

$0.195935

$0.04230

$ TOTAL

TOTAL OTHER

$4,263.97170

28.20%

QUANTITY

$0.4242

$16.4150761

DUTY

$/UNIT*

1.01

GRAND TOTAL

$0.63

PACKAGING $0.42

$0.3535

TOTAL COMPONENTS COST

HANGTAGS

1.01

$ TOTAL

$0.35

DOLLAR

PRICE TICKET

PERCENT

$16.41508

$0.09

356.90%

$16.41508

1.01

MARKUP

78%

$58.58492

$0.09122

$ TOTAL

MARGIN

$58.58492

POLYBAGS

QUANTITY

$0.04722

COST $/UNIT*

18

$0.8698322

PACKING

$0.85

TOTAL PACKAGING COSTS

CARTONS

$26.41508

TOTAL WHOLESALE

$48.58492

$0.0606

TOTAL PROFIT

$75.00000

3.03

$0.06

PRICE TO SELL

$0.02

$0.17

TAPE LABELS TOTAL PACKING COSTS

173

YIELD**

$/YARD* $5.50 $5.50

FABRICS

FABRIC #1

FABRIC #2

** TO INCLUDE WASTE QUANTITY

$/UNIT* $0.0016 $0.34 $0.01

* TO INCLUDE FREIGHT

COMPONENTS

THREAD

ELASTIC WAISTBAND

HEAT TRANSFER LABEL

QUANTITY

$/UNIT* $0.42 $0.35 $0.09122

PACKAGING

HANGTAGS

PRICE TICKET

POLYBAGS

$0.85 $0.02

CARTONS

TAPE

TOTAL PACKING COSTS

LABELS

QUANTITY

$/UNIT*

PACKING

$0.17

3.03

18

$0.8698322

TOTAL PACKAGING COSTS

1.01

1.01

1.01

$0.63

TOTAL COMPONENTS COST

1.01

0.8383

215.10

$13.33

1.212

TOTAL FABRIC COST

FABRIC #3

SEASON: SS'14 WASH: N/A WASH DESCRIPTION: N/A

STYLE #: 0607-001/0607-002 STYLE NAME: Flared Yoga Pant DESCRIPTION: Sport Knit Bottom 1.212

COST SHEET JANUARY 26, 2014

FIT & FLOURISH

$0.06

$0.0606

$0.04722

$ TOTAL

$0.09

$0.3535

$0.4242

$ TOTAL

$0.0055045

$0.285

$0.3442

$ TOTAL

$6.67

$6.67

$ TOTAL 20

$2.65

$0.095

COST MIN.

28.20%

DUTY

$17.8472761

GRAND TOTAL

PRICE TO SELL

TOTAL PROFIT

TOTAL WHOLESALE

MARGIN

MARKUP

76%

320.23%

$0.195935

TOTAL OTHER

COST

$0.000493

INSURANCE

$75.00000

$47.15272

$27.84728

$57.15272

$17.84728

DOLLAR

$0.003143

BROKER

PERCENT

$0.15000

120,636

FREIGHT

$0.04230

$/UNIT

OTHER

* INCLUDES PRESSING AND PACKING UNLESS OTHERWISE NOTED

TOTAL LABOR COSTS

ADMINISTRATION

SEWING

10%

1%

MARKING CUTTING

1%

1%

PATTERNMAKING GRADING

MINUTES

LABOR

$57.15272

$17.84728

$ TOTAL

$4,265.40390

$4,247.75256

$59.42

$379.113139

$837.90942

$2,971.31

$ TOTAL

$0.50

$1.900

$0.1900

$0.01900

$0.01900

$0.01900

$ TOTAL

PE R U C O S T S H EE T S C A P RI L E GGI NG LONG L E GGI NG

175

FIT & FLOURISH

COST SHEET JANUARY 26, 2014 SEASON: Spring/Summer 2015

$/YARD* 0.808

YIELD** $4.44

$ TOTAL

Colorway: Pewter/Dahlia Mauve

FABRICS $5.50 $4.44

STYLE #: 0222-001/002 STYLE NAME: Capri Pant DESCRIPTION: Sport Knit Bottom

FABRIC #1 0.808 $8.89

$5.50

TOTAL FABRIC COST ** TO INCLUDE WASTE

FABRIC #2

* TO INCLUDE FREIGHT

PATTERNMAKING

1%

1%

$0.00029

$0.00029

$0.00029

$ TOTAL

GRADING

1%

$0.0029

COST MIN.

MARKING

10%

LABOR

CUTTING

$0.50

$0.60

12

$0.0496

SEWING ADMINISTRATION

$1.10

$ TOTAL

* INCLUDES PRESSING AND PACKING UNLESS OTHERWISE NOTED

TOTAL LABOR COSTS

$/Unit

$ TOTAL

OTHER

QUANTITY

$1,342.96

$/UNIT*

$0.0987

COMPONENTS

FREIGHT

$376.30

$0.3070

$0.0056

$379.07

191.9

$0.0057

$26.86

$0.0016

$0.0004

$2,125.19

THREAD

$0.1104

$2,136.84

PRICE TICKET

HANGTAGS

PACKAGING

$0.35

$0.42

$/UNIT*

1.01

1.01

QUANTITY

$0.3535

$0.4242

$ TOTAL

%

28.02%

$11.7665

$ TOTAL

$0.0883

$26.14

1.01

$38.86

COST

TOTAL PROFIT

$65.00

$0.0874

$0.87

$0.06

TARGET RETAIL PRICE

POLYBAGS TOTAL PACKAGING COSTS

$0.21

DUTY BROKER

$

$11.7665

$0.2850

INSURANCE

$11.7665

$58.86

0.8383

TOTAL OTHER

$53.23

$21.41

$0.34

GRAND TOTAL

452.42%

$21.41

ELASTIC WAISTBAND

MARKUP

81.90%

$0.0055

$ TOTAL

MARGIN

1.01

QUANTITY

$0.085

TOTAL WHOLESALE

$0.0055

$/UNIT*

10

$0.0606

HEAT TRANSFER LABEL

PACKING

$0.85

3.03

$0.60

CARTONS

$0.02

TOTAL COMPONENTS COST

TAPE LABELS TOTAL PACKING COSTS

177

QUANTITY

$/UNIT* $0.0016 $0.34 $0.0055

COMPONENTS

THREAD

ELASTIC WAISTBAND

HEAT TRANSFER LABEL

QUANTITY

$/UNIT* $0.42 $0.35 $0.0874

PACKAGING

HANGTAGS

PRICE TICKET

POLYBAGS

$0.85 $0.02

CARTONS

TAPE

TOTAL PACKING COSTS

LABELS

QUANTITY

$/UNIT*

PACKING

$0.21

3.03

10

$0.87

TOTAL PACKAGING COSTS

1.01

1.01

1.01

$0.61

TOTAL COMPONENTS COST

1.01

0.8383

202

** TO INCLUDE WASTE

1.01

* TO INCLUDE FREIGHT

$5.50

FABRIC #2

1.01

$11.11

$5.50

FABRIC #1

YIELD**

Colorway: Pewter/Dahlia Mauve

SEASON: Spring/Summer 2015

COST SHEET JANUARY 26, 2014

TOTAL FABRIC COST

$/YARD*

FABRICS

STYLE #: 030491-001/002 STYLE NAME: Long Legging DESCRIPTION: Sport Knit Bottom

FIT & FLOURISH

$0.06

$0.0606

$0.085

$ TOTAL

$0.0883

$0.3535

$0.4242

$ TOTAL

$0.0055

$0.2850

$0.3232

$ TOTAL

$5.56

$5.56

$ TOTAL

1% 1% 10% 15

GRADING MARKING CUTTING SEWING

$1.25

$0.0496

COST MIN.

TARGET RETAIL PRICE

TOTAL PROFIT

TOTAL WHOLESALE

MARGIN

MARKUP

COST

GRAND TOTAL

78.23%

359.25%

%

$65.00

$38.86

$26.14

$20.45

$50.85

$14.15

$

$14.1534

$0.1104

$0.0004

INSURANCE TOTAL OTHER

$0.0057

$0.0056

DUTY BROKER

$0.0987

FREIGHT 28.02%

$/Unit

OTHER

* INCLUDES PRESSING AND PACKING UNLESS OTHERWISE NOTED

TOTAL LABOR COSTS

ADMINISTRATION

1%

PATTERNMAKING

LABOR

$20.45

$58.86

$14.15

$ TOTAL

$2,139.23

$2,125.19

$26.86

$379.07

$376.30

$1,342.96

$ TOTAL

$0.50

$0.74

$0.0029

$0.00029

$0.00029

$0.00029

$ TOTAL

JO R DA N C O S T S H E E T S B IKE R S HORT

179

YIELD**

$/YARD* $5.50 $5.50

FABRICS

FABRIC #1

FABRIC #2

** TO INCLUDE WASTE QUANTITY

$/UNIT* $0.0016 $0.34 $0.00545

* TO INCLUDE FREIGHT

COMPONENTS

THREAD

ELASTIC WAISTBAND

HEAT TRANSFER LABEL

QUANTITY

$/UNIT* $0.42 $0.35 $0.08744

PACKAGING

HANGTAGS

PRICE TICKET

POLYBAGS

$0.85 $0.02

CARTONS

TAPE

TOTAL PACKING COSTS

LABELS

QUANTITY

$/UNIT*

PACKING

$0.20560

3.03

10

$0.86601

TOTAL PACKAGING COSTS

1.01

1.01

1.01

$0.57213

TOTAL COMPONENTS COST

1.01

0.8383

176

$6.67

TOTAL FABRIC COST

0.404

$0.2850

$0.2816

$ TOTAL

$2.22

$4.44

$ TOTAL

0.06

$0.0606

$0.08500

$ TOTAL

$0.08831

$0.3535

$0.4242

$ TOTAL

$0.0055045

SEASON: S/S 2015 DESCRIPTION: SPORT KNIT BOTTOM

STYLE #: 122091-01, 122091-02 STYLE NAME:BIKER SHORT

0.404

COST SHEET JANUARY 26, 2014

FIT & FLOURISH

TOTAL OTHER

1% 10% 15

MARKING CUTTING SEWING

$3.0425

$0.15

COST MIN.

PRICE TO SELL

TOTAL PROFIT

TOTAL WHOLESALE

MARGIN

MARKUP

COST

GRAND TOTAL

140%

250.0905509

PERCENT

$0.0011

INSURANCE

$40.0000

$18.5744

$21.4256

$28.57

$11.4256

DOLLAR

$11.43

$0.0734

$0.0047

0.0148614

BROKER

28.2%

$0.0527

FREIGHT DUTY

per unit

OTHER 80424

* INCLUDES PRESSING AND PACKING UNLESS OTHERWISE NOTED

TOTAL LABOR COSTS

ADMINISTRATION

1%

1%

PATTERNMAKING GRADING

MINUTES

LABOR

$28.57

$11.43

$ TOTAL

$5,913.44

$5,902.09

$84.84

$379.06

$1,196.23

$4,241.96

$ TOTAL

$0.50

$2.25

$0.23

$0.0225

$0.0225

$0.0225

$ TOTAL

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

COMPANY NAME: FIT & FLOURISH FLARED YOGA PANT TECH PACK FRONT/BACK

COLORWAYS

NOTE: COLORS ARE SHOWN FOR REFERENCE ONLY. SEE PANTONE TCX FOR EXACT MATCH. SIZE INSEAM LEG OPENING

HIP WAIST

XS 32" 55" 34.5-35.5" 25-26"

S 32" 55" 36.5-37.5" 27-28"

M 32" 55" 38.5-39.5" 29-30"

FABRIC INFORMATION

PEWTER/DAHLIA MAUVE

Textile TCX

18-5203/17-2617

L 32" 55" 40.5-41.5" 31-32"

XL 32" 55" 42.5-43.5" 33-34"

CARE INSTRUCTIONS

DETERGENTS LABELED "FREE" OR "CLEAR" WON'T HAVE ADDITIVES THAT BREAK DOWN THE FABRIC'S TECHINICAL ATTRIBUTES. FOLLOW CARE JET BLACK/BRIGHT CHARTREUSE INSTRUCTIONS FOR PRODUCT; DO NOT USE FABRIC SOFTENERS, WHICH CLOG FABRICS AND PREVENT THEM FROM PERFORMING. AIR DRY; 19-0303/14-0445 HEAT BREAKS DOWN LYCRA OVER TIME.

DESIGN SHEET (PAGE 1 0F 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0607-001 & 0607-002 SKETCH:

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 E-MAIL: FITANDFLOURISH@GMAIL.COM

GARMENT INFORMATION GROUP NAME: ACTIVEWEAR KNIT CLASSIFICATION: SPORT KNIT BOTTOM SEASON: SPRING/SUMMER 2015 GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) FABRIC CONTENT: LYCRA SPORT (SUPPLEX LYCRA/NYLON) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTEUSE

DESCRIPTION: FLARED YOGA PANT WITH COLORED SIDE STRIPE DETAIL

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

ILLUSTRATION SHEET (PAGE 2 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0607-001 & 0607-002 SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING)

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE SKETCH

FABRIC INFO

STYLE WIDTH #0287912 60" LIGHTWEIGHT

LYCRA SPORT (SUPPLEX NYLON/LYCRA) GRIFFIN MANUFACTURING, MA #0287912

DATE CREATED: JANUARY 14, 2014

SIZE RANGES

DELIVERY COMMENTS

XS-XL SAMPLE SIZE: M

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

FABRIC SHEET (PAGE 3 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0607-001 & 0607-002

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

GROUP NAME: ACTIVEWEAR KNIT

PHONE NUMBER: (516) 589-1506

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

EMAIL: FITANDFLOURISH@GMAIL.COM SKETCH

SWATCH

FABRIC INFORMATION

STYLE # WIDTH

SIZE RANGES

DELIVERY DATE

LYCRA SPORT, GRIFFIN MANUFACTURING, MA #0287912

#0287912 60" WIDE LIGHTWEIGHT

XS-XL SAMPLE SIZE: M

TBD

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 181

COMPONENT SHEET (PAGE 4 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0607-001 & 0607-002 GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

FABRIC CONTENT: LYCRA SPORT

PHONE: (516) 589-1506

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE COLOR/ LOCATION FINISH

EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODE-ORIGIN

CONTENT

SIZE-QUANTITY-UNIT OF MEASURE

ELASTIC WAISTBANDCTSUSA-ELASTIC04K3WBOX-USA

KNITTED ELASTIC

3"-500 YARDS-10 ROLLS OF 50 YARDS

WAIST

BLACK

ELASTIC THREAD-A&EUSATHREAD-USA

TEXTURED POLYESTER

240 GRAMS-2M-1000 YARDS

USE THROUGH-OUT

BLACK

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

LABEL/ PACKAGING SHEET (PAGE 5 OF 7) STYLE #: 0607-001 & 0607-002 GROUP NAME: ACTIVEWEAR KNIT

COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

PHONE: (516) 589-1506

FABRIC CONTENT: LYCRA SPORT

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

ITEM-VENDOR-CODEORIGIN

CONTENT

SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

POLYBAGUNIVERSALPLASTICS15F1420-CA

POLYPLASTIC

12"X22"-1000 UNITS

N/A

N/A

SHIP PRODUCT IN POLYBAGS; 1 PER BAG

1.25"X2"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

1.5"X1.5"-1000 UNITS

LEFT SEAM WAISTBAND

WHITE

22"X10"X6" -6702 UNITS

N/A

N/A

2"X55 YARDS-288 UNITS

N/A

CLEAR

CARE AND CONTENT LABELPOLY YARN BCI-USA HANGTAG-BCI-USA

RAW NATURAL COTTON CANVAS

BOX-ULINE-(S-13319)CARDBOARD USA TAPE-UNLINE-(T-67122)SOLVENT ADHESIVE USA

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

DETAIL SHEET (PAGE 6 OF 7) COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODEORIGIN TAGLESS THERMAL TRANSFER-BCI-USA

SEASON: SPRING/SUMMER 2015

GROUP NAME: ACTIVEWEAR KNIT

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

2.5"X2.5"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

WILL INCLUDE BRAND NAME AND SIZE

CONTENT N/A

STYLE #: 0607-001 & 0607-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

PEWTER/DAHLIA MAUVE

LYCRA SPORT

3"-AT SIDE SEAMS

JET BLACK/BRIGHT CHARTREUSE

LYCRA SPORT

3"-AT SIDE SEAMS

DETAIL

DATE CREATED: JANUARY 14, 2014

DAHLIA LOWER WAISTBAND TO LEG AT SIDE SEAMS MAUVE OPENING BRIGHT LOWER WAISTBAND TO LEG AT SIDE SEAMS CHARTREUSE OPENING SWATCH

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

LABEL PLACEMENT SHEET (PAGE 7 OF 7) COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

DATE CREATED: JANUARY 14, 2014

STYLE #: 0607-001 & 0607-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE GROUP NAME: ACTIVEWEAR KNIT

SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 183

COMPANY NAME: FIT & FLOURISH

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

LONG LEGGING PANT TECH PACK FRONT/BACK

COLORWAYS

NOTE: COLORS ARE SHOWN FOR REFERENCE ONLY. SEE PANTONE TCX FOR EXACT MATCH. SIZE INSEAM LEG OPENING

HIP WAIST

XS 25.5" 9" 34.5-35.5 25-26

S 25.5" 9" 36.5-37.5 27-28

M 25.5" 9" 38.5-39.5 29-30

FABRIC INFORMATION

PEWTER/DAHLIA MAUVE

Textile TCX

18-5203/17-2617

L 25.5" 9" 40.5-41.5 31-32

XL 25.5" 9" 42.5-43.5 33-34

CARE INSTRUCTIONS

DETERGENTS LABELED "FREE" OR "CLEAR" WON'T HAVE ADDITIVES THAT BREAK DOWN THE FABRIC'S TECHINICAL ATTRIBUTES. FOLLOW CARE JET BLACK/BRIGHT CHARTREUSE INSTRUCTIONS FOR PRODUCT; DO NOT USE FABRIC SOFTENERS, WHICH CLOG FABRICS AND PREVENT THEM FROM PERFORMING. AIR DRY; 19-0303/14-0445 HEAT BREAKS DOWN LYCRA OVER TIME.

DESIGN SHEET (PAGE 1 0F 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0304-001 & 0304-002 SKETCH:

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 E-MAIL: FITANDFLOURISH@GMAIL.COM

GARMENT INFORMATION GROUP NAME: ACTIVEWEAR KNIT CLASSIFICATION: SPORT KNIT BOTTOM SEASON: SPRING/SUMMER 2015 GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) FABRIC CONTENT: LYCRA SPORT (SUPPLEX LYCRA/NYLON) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTEUSE

DESCRIPTION: LONG ANKLE-LENGTH LEGGING WITH COLORED SIDE STRIPE DETAIL

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

ILLUSTRATION SHEET (PAGE 2 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0304-001 & 0304-002 SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING)

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE SKETCH

FABRIC INFO

STYLE WIDTH #0287912 60" LIGHTWEIGHT

LYCRA SPORT (SUPPLEX NYLON/LYCRA) GRIFFIN MANUFACTURING, MA #0287912

DATE CREATED: JANUARY 14, 2014

SIZE RANGES

DELIVERY COMMENTS

XS-XL SAMPLE SIZE: M

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

FABRIC SHEET (PAGE 3 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0304-001 & 0304-002

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

GROUP NAME: ACTIVEWEAR KNIT

PHONE NUMBER: (516) 589-1506

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

EMAIL: FITANDFLOURISH@GMAIL.COM SKETCH

SWATCH

FABRIC INFORMATION

STYLE # WIDTH

SIZE RANGES

DELIVERY DATE

LYCRA SPORT, GRIFFIN MANUFACTURING, MA #0287912

#0287912 60" WIDE LIGHTWEIGHT

XS-XL SAMPLE SIZE: M

TBD

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 185

COMPONENT SHEET (PAGE 4 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0304-001 & 0304-002 GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

PHONE: (516) 589-1506

SEASON: SPRING/SUMMER 2015

FABRIC CONTENT: LYCRA SPORT COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE COLOR/ LOCATION FINISH

EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODE-ORIGIN

CONTENT

SIZE-QUANTITY-UNIT OF MEASURE

ELASTIC WAISTBANDCTSUSA-ELASTIC04K3WBOX-USA

KNITTED ELASTIC

3"-500 YARDS-10 ROLLS OF 50 YARDS

WAIST

BLACK

ELASTIC THREAD-A&EUSATHREAD-USA

TEXTURED POLYESTER

240 GRAMS-2M-1000 YARDS

USE THROUGH-OUT

BLACK

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

LABEL/ PACKAGING SHEET (PAGE 5 OF 7) STYLE #: 0304-001 & 0304-002 GROUP NAME: ACTIVEWEAR KNIT

COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

PHONE: (516) 589-1506

FABRIC CONTENT: LYCRA SPORT

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

ITEM-VENDOR-CODEORIGIN

CONTENT

SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

POLYBAGUNIVERSALPLASTICS15F1420-CA

POLYPLASTIC

12"X22"-1000 UNITS

N/A

N/A

SHIP PRODUCT IN POLYBAGS; 1 PER BAG

1.25"X2"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

1.5"X1.5"-1000 UNITS

LEFT SEAM WAISTBAND

WHITE

22"X10"X6" -6702 UNITS

N/A

N/A

2"X55 YARDS-288 UNITS

N/A

CLEAR

CARE AND CONTENT LABELPOLY YARN BCI-USA HANGTAG-BCI-USA

RAW NATURAL COTTON CANVAS

BOX-ULINE-(S-13319)CARDBOARD USA TAPE-UNLINE-(T-67122)SOLVENT ADHESIVE USA

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

DETAIL SHEET (PAGE 6 OF 7) COMPANY NAME: FIT & FLOURISH STYLE #: 0304-001 & 0304-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE ADDRESS: 37 WHITAKER STREET SEASON: SPRING/SUMMER 2015 GROUP NAME: ACTIVEWEAR KNIT SAVANNAH, GA 31401 PHONE: (516) 589-1506 CLASSIFICATION: SPORT KNIT BOTTOM EMAIL: FITANDFLOURISH@GMAIL.COM FABRIC CONTENT: LYCRA SPORT ITEM-VENDOR-CODESIZE-QUANTITYCONTENT LOCATION COLOR COMMENTS ORIGIN MEASUREMENT TAGLESS THERMAL BACK CENTER WILL INCLUDE BRAND NAME AND SIZE N/A 2.5"X2.5"-1000 UNITS WHITE TRANSFER-BCI-USA WAISTBAND DAHLIA LOWER WAISTBAND TO LEG PEWTER/DAHLIA MAUVE LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS MAUVE OPENING JET BLACK/BRIGHT BRIGHT LOWER WAISTBAND TO LEG LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS CHARTREUSE CHARTREUSE OPENING DETAIL SWATCH

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

LABEL PLACEMENT SHEET (PAGE 7 OF 7) COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

DATE CREATED: JANUARY 14, 2014

STYLE #: 0304-001 & 0304-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE GROUP NAME: ACTIVEWEAR KNIT

SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 187

COMPANY NAME: FIT & FLOURISH

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

CAPRI LEGGING PANT TECH PACK FRONT/BACK

COLORWAYS

NOTE: COLORS ARE SHOWN FOR REFERENCE ONLY. SEE PANTONE TCX FOR EXACT MATCH. SIZE INSEAM LEG OPENING

HIP WAIST

XS 21" 13" 34.5-35.5"

25-26"

S 21" 13" 36.5-37.5" 27-28"

M 21" 13" 38.5-39.5" 29-30"

FABRIC INFORMATION

PEWTER/DAHLIA MAUVE

Textile TCX

18-5203/17-2617

L 22" 13" 40.5-41.5" 33-34"

XL 22" 13" 42.5-43.5" 33-34"

CARE INSTRUCTIONS

DETERGENTS LABELED "FREE" OR "CLEAR" WON'T HAVE ADDITIVES THAT BREAK DOWN THE FABRIC'S TECHINICAL ATTRIBUTES. FOLLOW CARE JET BLACK/BRIGHT CHARTREUSE INSTRUCTIONS FOR PRODUCT; DO NOT USE FABRIC SOFTENERS, WHICH CLOG FABRICS AND PREVENT THEM FROM PERFORMING. AIR DRY; 19-0303/14-0445 HEAT BREAKS DOWN LYCRA OVER TIME.

DESIGN SHEET (PAGE 1 0F 7)

DESIGN SHEET (PAGE 1 0F 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0222-001 & 0222-002 SKETCH:

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 E-MAIL: FITANDFLOURISH@GMAIL.COM

GARMENT INFORMATION GROUP NAME: ACTIVEWEAR KNIT CLASSIFICATION: SPORT KNIT BOTTOM SEASON: SPRING/SUMMER 2015 GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) FABRIC CONTENT: LYCRA SPORT (SUPPLEX LYCRA/NYLON) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTEUSE

DESCRIPTION: CAPRI LENGTH LEGGING WITH COLORED SIDE STRIPE DETAIL

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

ILLUSTRATION SHEET (PAGE 2 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0222-001, 0222-002 SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING)

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE SKETCH

FABRIC INFO

STYLE WIDTH #0287912 60" LIGHTWEIGHT

LYCRA SPORT (SUPPLEX NYLON/LYCRA) GRIFFIN MANUFACTURING, MA #0287912

DATE CREATED: JANUARY 14, 2014

SIZE RANGES

DELIVERY COMMENTS

XS-XL SAMPLE SIZE: M

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

FABRIC SHEET (PAGE 3 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0222-001, 0222-002

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

GROUP NAME: ACTIVEWEAR KNIT

PHONE NUMBER: (516) 589-1506

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

EMAIL: FITANDFLOURISH@GMAIL.COM SKETCH

SWATCH

FABRIC INFORMATION

STYLE # WIDTH

SIZE RANGES

DELIVERY DATE

LYCRA SPORT, GRIFFIN MANUFACTURING, MA #0287912

#0287912 60" WIDE LIGHTWEIGHT

XS-XL SAMPLE SIZE: M

TBD

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 189

COMPONENT SHEET (PAGE 4 OF 7) STYLE #: 0222-001, 0222-002

COMPANY NAME: FIT & FLOURISH

GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

PHONE: (516) 589-1506

SEASON: SPRING/SUMMER 2015

FABRIC CONTENT: LYCRA SPORT COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE COLOR/ LOCATION FINISH

EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODE-ORIGIN

CONTENT

SIZE-QUANTITY-UNIT OF MEASURE

ELASTIC WAISTBANDCTSUSA-ELASTIC04K3WBOX-USA

KNITTED ELASTIC

3"-500 YARDS-10 ROLLS OF 50 YARDS

WAIST

BLACK

ELASTIC THREAD-A&EUSATHREAD-USA

TEXTURED POLYESTER

240 GRAMS-2M-1000 YARDS

USE THROUGH-OUT

BLACK

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

LABEL/ PACKAGING SHEET (PAGE 5 OF 7) STYLE #: 0222-001, 0222-002 GROUP NAME: ACTIVEWEAR KNIT

COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

PHONE: (516) 589-1506

FABRIC CONTENT: LYCRA SPORT

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

ITEM-VENDOR-CODEORIGIN

CONTENT

SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

POLYBAGUNIVERSALPLASTICS15F1416-CA

POLYPLASTIC

12"X22"-1000 UNITS

N/A

N/A

SHIP PRODUCT IN POLYBAGS; 1 PER BAG

1.25"X2"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

1.5"X1.5"-1000 UNITS

LEFT SEAM WAISTBAND

WHITE

22"X10"X6" -6702 UNITS

N/A

N/A

2"X55 YARDS-288 UNITS

N/A

CLEAR

CARE AND CONTENT LABELPOLY YARN BCI-USA HANGTAG-BCI-USA

RAW NATURAL COTTON CANVAS

BOX-ULINE-(S-13319)CARDBOARD USA TAPE-UNLINE-(T-67122)SOLVENT ADHESIVE USA

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

DETAIL SHEET (PAGE 6 OF 7) COMPANY NAME: FIT & FLOURISH STYLE #: 0222-001, 0222-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE ADDRESS: 37 WHITAKER STREET SEASON: SPRING/SUMMER 2015 GROUP NAME: ACTIVEWEAR KNIT SAVANNAH, GA 31401 PHONE: (516) 589-1506 CLASSIFICATION: SPORT KNIT BOTTOM EMAIL: FITANDFLOURISH@GMAIL.COM FABRIC CONTENT: LYCRA SPORT ITEM-VENDOR-CODESIZE-QUANTITYCONTENT LOCATION COLOR COMMENTS ORIGIN MEASUREMENT TAGLESS THERMAL BACK CENTER WILL INCLUDE BRAND NAME AND SIZE N/A 2.5"X2.5"-1000 UNITS WHITE TRANSFER-BCI-USA WAISTBAND DAHLIA LOWER WAISTBAND TO LEG PEWTER/DAHLIA MAUVE LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS MAUVE OPENING JET BLACK/BRIGHT BRIGHT LOWER WAISTBAND TO LEG LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS CHARTREUSE CHARTREUSE OPENING DETAIL SWATCH

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

LABEL PLACEMENT SHEET (PAGE 7 OF 7) COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

DATE CREATED: JANUARY 14, 2014

STYLE #: 0222-001, 0222-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE GROUP NAME: ACTIVEWEAR KNIT

SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 191

COMPANY NAME: FIT & FLOURISH

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

BIKER SHORT TECH PACK FRONT/BACK

COLORWAYS

NOTE: COLORS ARE SHOWN FOR REFERENCE ONLY. SEE PANTONE TCX FOR EXACT MATCH. SIZE INSEAM LEG OPENING

HIP WAIST

XS 8.5" 16.5" 34.5-35.5 25-26

S 8.5" 17" 36.5-37.5 27-28

M 8.5" 17.5" 38.5-39.5 29-30

FABRIC INFORMATION

PEWTER/DAHLIA MAUVE

Textile TCX

18-5203/17-2617

L 8.5" 18" 40.5-41.5 31-32

XL 8.5" 18.5" 42.5-43.5 33-34

CARE INSTRUCTIONS

DETERGENTS LABELED "FREE" OR "CLEAR" WON'T HAVE ADDITIVES THAT BREAK DOWN THE FABRIC'S TECHINICAL ATTRIBUTES. FOLLOW CARE JET BLACK/BRIGHT CHARTREUSE INSTRUCTIONS FOR PRODUCT; DO NOT USE FABRIC SOFTENERS, WHICH CLOG FABRICS AND PREVENT THEM FROM PERFORMING. AIR DRY; 19-0303/14-0445 HEAT BREAKS DOWN LYCRA OVER TIME.

DESIGN SHEET (PAGE 1 0F 7)

DESIGN SHEET (PAGE 1 0F 7) COMPANY NAME: FIT & FLOURISH

STYLE #:1220-001 & 1220-002 SKETCH:

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 E-MAIL: FITANDFLOURISH@GMAIL.COM

GARMENT INFORMATION GROUP NAME: ACTIVEWEAR KNIT CLASSIFICATION: SPORT KNIT BOTTOM SEASON: SPRING/SUMMER 2015 GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) FABRIC CONTENT: LYCRA SPORT (SUPPLEX LYCRA/NYLON) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTEUSE

DESCRIPTION: BIKER SHORT, MID-THIGH LENGTH WITH COLORED SIDE STRIPE DETAIL

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

ILLUSTRATION SHEET (PAGE 2 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 1220-001 & 1220-002 SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING)

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE SKETCH

FABRIC INFO

STYLE WIDTH #0287912 60" LIGHTWEIGHT

LYCRA SPORT (SUPPLEX NYLON/LYCRA) GRIFFIN MANUFACTURING, MA #0287912

DATE CREATED: JANUARY 14, 2014

SIZE RANGES

DELIVERY COMMENTS

XS-XL SAMPLE SIZE: M

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

FABRIC SHEET (PAGE 3 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 1220-001 & 1220-002

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

GROUP NAME: ACTIVEWEAR KNIT

PHONE NUMBER: (516) 589-1506

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

EMAIL: FITANDFLOURISH@GMAIL.COM SKETCH

SWATCH

FABRIC INFORMATION

STYLE # WIDTH

SIZE RANGES

DELIVERY DATE

LYCRA SPORT, GRIFFIN MANUFACTURING, MA #0287912

#0287912 60" WIDE LIGHTWEIGHT

XS-XL SAMPLE SIZE: M

TBD

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 193

COMPONENT SHEET (PAGE 4 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 1220-001 & 1220-002 GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

PHONE: (516) 589-1506

SEASON: SPRING/SUMMER 2015

FABRIC CONTENT: LYCRA SPORT COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE COLOR/ LOCATION FINISH

EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODE-ORIGIN

CONTENT

SIZE-QUANTITY-UNIT OF MEASURE

ELASTIC WAISTBANDCTSUSA-ELASTIC04K3WBOX-USA

KNITTED ELASTIC

3"-500 YARDS-10 ROLLS OF 50 YARDS

WAIST

BLACK

ELASTIC THREAD-A&EUSATHREAD-USA

TEXTURED POLYESTER

240 GRAMS-2M-1000 YARDS

USE THROUGH-OUT

BLACK

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

LABEL/ PACKAGING SHEET (PAGE 5 OF 7) STYLE #: 1220-001 & 1220-002 GROUP NAME: ACTIVEWEAR KNIT

COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

PHONE: (516) 589-1506

FABRIC CONTENT: LYCRA SPORT

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

ITEM-VENDOR-CODEORIGIN

CONTENT

SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

POLYBAGUNIVERSALPLASTICS15F1416-CA

POLYPLASTIC

12"X22"-1000 UNITS

N/A

N/A

SHIP PRODUCT IN POLYBAGS; 1 PER BAG

1.25"X2"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

1.5"X1.5"-1000 UNITS

LEFT SEAM WAISTBAND

WHITE

22"X10"X6" -6702 UNITS

N/A

N/A

2"X55 YARDS-288 UNITS

N/A

CLEAR

CARE AND CONTENT LABELPOLY YARN BCI-USA HANGTAG-BCI-USA

RAW NATURAL COTTON CANVAS

BOX-ULINE-(S-13319)CARDBOARD USA TAPE-UNLINE-(T-67122)SOLVENT ADHESIVE USA

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

DETAIL SHEET (PAGE 6 OF 7) COMPANY NAME: FIT & FLOURISH STYLE #: 1220-001 & 1220-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE ADDRESS: 37 WHITAKER STREET SEASON: SPRING/SUMMER 2015 GROUP NAME: ACTIVEWEAR KNIT SAVANNAH, GA 31401 PHONE: (516) 589-1506 CLASSIFICATION: SPORT KNIT BOTTOM EMAIL: FITANDFLOURISH@GMAIL.COM FABRIC CONTENT: LYCRA SPORT ITEM-VENDOR-CODESIZE-QUANTITYCONTENT LOCATION COLOR COMMENTS ORIGIN MEASUREMENT TAGLESS THERMAL BACK CENTER WILL INCLUDE BRAND NAME AND SIZE N/A 2.5"X2.5"-1000 UNITS WHITE TRANSFER-BCI-USA WAISTBAND DAHLIA LOWER WAISTBAND TO LEG PEWTER/DAHLIA MAUVE LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS MAUVE OPENING JET BLACK/BRIGHT BRIGHT LOWER WAISTBAND TO LEG LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS CHARTREUSE CHARTREUSE OPENING DETAIL SWATCH

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

LABEL PLACEMENT SHEET (PAGE 7 OF 7) COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

DATE CREATED: JANUARY 14, 2014

STYLE #: 1220-001 & 1220-002 COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE GROUP NAME: ACTIVEWEAR KNIT

SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 195

COMPANY NAME: FIT & FLOURISH

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

BOOT CUT YOGA PANT TECH PACK FRONT/BACK

COLORWAYS

NOTE: COLORS ARE SHOWN FOR REFERENCE ONLY. SEE PANTONE TCX FOR EXACT MATCH. SIZE INSEAM LEG OPENING

HIP WAIST

XS 32" 35" 34.5-35.5 25-26

S 32" 35" 36.5-37.5 27-28

M 32" 35" 38.5-39.5 29-30

FABRIC INFORMATION

PEWTER/DAHLIA MAUVE

Textile TCX

18-5203/17-2617

L 32" 35" 40.5-41.5 31-32

XL 32" 35" 42.5-43.5 33-34

CARE INSTRUCTIONS

DETERGENTS LABELED "FREE" OR "CLEAR" WON'T HAVE ADDITIVES THAT BREAK DOWN THE FABRIC'S TECHINICAL ATTRIBUTES. FOLLOW CARE JET BLACK/BRIGHT CHARTREUSE INSTRUCTIONS FOR PRODUCT; DO NOT USE FABRIC SOFTENERS, WHICH CLOG FABRICS AND 19-0303/14-0445 PREVENT THEM FROM PERFORMING. AIR DRY; HEAT BREAKS DOWN LYCRA OVER TIME.

DESIGN SHEET (PAGE 1 0F 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0930-001 & 0930-002 SKETCH:

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 E-MAIL: FITANDFLOURISH@GMAIL.COM

GARMENT INFORMATION GROUP NAME: ACTIVEWEAR KNIT CLASSIFICATION: SPORT KNIT BOTTOM SEASON: SPRING/SUMMER 2015 GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) FABRIC CONTENT: LYCRA SPORT (SUPPLEX LYCRA/NYLON) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTEUSE

DESCRIPTION: BOOTCUT SLIM YOGA PANTFLARED YOGA PANT WITH COLORED SIDE STRIPE DETAIL

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

ILLUSTRATION SHEET (PAGE 2 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0930-001 & 0930-002 SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING)

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE SKETCH

FABRIC INFO

STYLE WIDTH #0287912 60" LIGHTWEIGHT

LYCRA SPORT (SUPPLEX NYLON/LYCRA) GRIFFIN MANUFACTURING, MA #0287912

DATE CREATED: JANUARY 14, 2014

SIZE RANGES

DELIVERY COMMENTS

XS-XL SAMPLE SIZE: M

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

FABRIC SHEET (PAGE 3 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0930-001 & 0930-002

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

GROUP NAME: ACTIVEWEAR KNIT

PHONE NUMBER: (516) 589-1506

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

GARMENT LABEL: HEAT TRANSFER (SEE LABEL/PACKAGING) COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

EMAIL: FITANDFLOURISH@GMAIL.COM SKETCH

SWATCH

FABRIC INFORMATION

STYLE # WIDTH

SIZE RANGES

DELIVERY DATE

LYCRA SPORT, GRIFFIN MANUFACTURING, MA #0287912

#0287912 60" WIDE LIGHTWEIGHT

XS-XL SAMPLE SIZE: M

TBD

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 197

COMPONENT SHEET (PAGE 4 OF 7) COMPANY NAME: FIT & FLOURISH

STYLE #: 0930-001 & 0930-002 GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

PHONE: (516) 589-1506

SEASON: SPRING/SUMMER 2015

FABRIC CONTENT: LYCRA SPORT COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE COLOR/ LOCATION FINISH

EMAIL: FITANDFLOURISH@GMAIL.COM ITEM-VENDOR-CODE-ORIGIN

CONTENT

SIZE-QUANTITY-UNIT OF MEASURE

ELASTIC WAISTBANDCTSUSA-ELASTIC04K3WBOX-USA

KNITTED ELASTIC

3"-500 YARDS-10 ROLLS OF 50 YARDS

WAIST

BLACK

ELASTIC THREAD-A&EUSATHREAD-USA

TEXTURED POLYESTER

240 GRAMS-2M-1000 YARDS

USE THROUGH-OUT

BLACK

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

COMMENTS

DATE RELEASED: FEBRUARY 19, 2014

LABEL/ PACKAGING SHEET (PAGE 5 OF 7)

STYLE #: 0930-001 & 0930-002

COMPANY NAME: FIT & FLOURISH

GROUP NAME: ACTIVEWEAR KNIT

ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401

CLASSIFICATION: SPORT KNIT BOTTOM

SEASON: SPRING/SUMMER 2015

PHONE: (516) 589-1506

FABRIC CONTENT: LYCRA SPORT

EMAIL: FITANDFLOURISH@GMAIL.COM

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE

ITEM-VENDOR-CODEORIGIN

CONTENT

SIZE-QUANTITYMEASUREMENT

LOCATION

COLOR

COMMENTS

POLYBAGUNIVERSALPLASTICS15F1420-CA

POLYPLASTIC

12"X22"-1000 UNITS

N/A

N/A

SHIP PRODUCT IN POLYBAGS; 1 PER BAG

1.25"X2"-1000 UNITS

BACK CENTER WAISTBAND

WHITE

1.5"X1.5"-1000 UNITS

LEFT SEAM WAISTBAND

WHITE

22"X10"X6" -6702 UNITS

N/A

N/A

2"X55 YARDS-288 UNITS

N/A

CLEAR

CARE AND CONTENT LABELPOLY YARN BCI-USA HANGTAG-BCI-USA

RAW NATURAL COTTON CANVAS

BOX-ULINE-(S-13319)CARDBOARD USA TAPE-UNLINE-(T-67122)SOLVENT ADHESIVE USA

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

DETAIL SHEET (PAGE 6 OF 7)

STYLE #: 0930-001 & 0930-002 COMPANY NAME: FIT & FLOURISH COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE ADDRESS: 37 WHITAKER STREET SEASON: SPRING/SUMMER 2015 GROUP NAME: ACTIVEWEAR KNIT SAVANNAH, GA 31401 PHONE: (516) 589-1506 CLASSIFICATION: SPORT KNIT BOTTOM EMAIL: FITANDFLOURISH@GMAIL.COM FABRIC CONTENT: LYCRA SPORT ITEM-VENDOR-CODESIZE-QUANTITYCONTENT LOCATION COLOR COMMENTS ORIGIN MEASUREMENT TAGLESS THERMAL BACK CENTER WILL INCLUDE BRAND NAME AND SIZE N/A 2.5"X2.5"-1000 UNITS WHITE TRANSFER-BCI-USA WAISTBAND DAHLIA LOWER WAISTBAND TO LEG PEWTER/DAHLIA MAUVE LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS MAUVE OPENING JET BLACK/BRIGHT BRIGHT LOWER WAISTBAND TO LEG LYCRA SPORT 3"-AT SIDE SEAMS AT SIDE SEAMS CHARTREUSE CHARTREUSE OPENING DETAIL SWATCH

DATE CREATED: JANUARY 14, 2014

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

LABEL PLACEMENT SHEET (PAGE 7 OF 7)

STYLE #: 0930-001 & 0930-002

COMPANY NAME: FIT & FLOURISH ADDRESS: 37 WHITAKER STREET SAVANNAH, GA 31401 PHONE: (516) 589-1506 EMAIL: FITANDFLOURISH@GMAIL.COM

DATE CREATED: JANUARY 14, 2014

COLORWAY: PEWTER/DAHLIA MAUVE & JET BLACK/BRIGHT CHARTREUSE GROUP NAME: ACTIVEWEAR KNIT

SEASON: SPRING/SUMMER 2015

CLASSIFICATION: SPORT KNIT BOTTOM FABRIC CONTENT: LYCRA SPORT

DATE MODIFIED: JANUARY 19, 2014

DATE RELEASED: FEBRUARY 19, 2014

APPENDIX 199

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N.p., 2013. Web. 10 Feb. 2014. <http://dataweb.usitc.gov/scripts/tariff_current.asp>.

“About Georgia Ports Authority.” Georgia Ports Authority Port of Savannah. N.p., 2009-2013.

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Bonnefoy, Pascal. “Court Grants Peru Ocean Terrirory Claimed by Chile.” New York Times.

N.p., 27 Jan. 2014. Web. 24 Jan. 2014. <http://www.nytimes.com/2014/01/28/world/americas/ court-grants-peru-ocean-territory-claimed-by-chile.html?_r=1>.

“Business Culture in Peru.” University of Birmingham Intranet. University of Birmingham, 2013. Web. 29 Jan. 2014. <https://intranet.birmingham.ac.uk/as/employability/careers/international/country-profiles/peru/business.aspx>.

“Care and Content Labels.” Clothing Labels - Labels On Demand. N.p., 2005. Web. 2 Feb. 2014. <http://www.bcilabels.com/clothing-labels/clothing-labels-care/index.cfm>.

China - Disaster Statistics.” Disaster Statistics. N.p., n.d. Web. 09 Feb. 2014.

“China: Economy.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d. Web. 09 Feb. 2014.

“China Economy Showing Clear Signs of Stabilization: Statistics Bureau.” Reuters. Thomson Reuters, 26 Aug. 2013. Web. 09 Feb. 2014. <http://www.reuters.com/article/2013/08/26/us-china-economy-idUSBRE97P00R20130826>.

“China FTA Network.” China FTA Network. N.p., n.d. Web. 09 Feb. 2014. <http://fta.mofcom. gov.cn/english/index.shtml>.

“China: Government.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d.

Web. 06 Feb. 2014.

“China: Government.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d.

Web. 09 Feb. 2014. <http://globaledge.msu.edu/countries/china/government>.

“China Industries.” China Travel. N.p., n.d. Web. 09 Feb. 2014.

“China: Risk Assessment.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d.

Web. 09 Feb. 2014.

“China: Risk Assessment.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d.

Web. 09 Feb. 2014. <http://globaledge.msu.edu/countries/china/risk>. “’China’s Political Situation Has Never Been So Dangerous’” RFA. N.p., n.d. Web. 09 Feb. 2014. <http://www.rfa.org/english/commentaries/dream-07182013131904.html>.

“China’s Textile Industry Going Global.” - China.org.cn. N.p., n.d. Web. 09 Feb. 2014. <http:// www.china.org.cn/business/2013-07/01/content_29283682.htm>.

“Country Guides to Culture, Etiquette, Customs & More!” Country Guides to Culture, Etiquette, Customs & More! N.p., n.d. Web. 26 Jan. 2014. <http://www.culturecrossing.net/index.php>.

“Court Grants Peru Ocean Terrirory Claimed by Chile.” New York Times. N.p., 27 Jan. 2014.

Web. 24 Jan. 2014. <http://www.nytimes.com/2014/01/28/world/americas/court-grants-peru-ocean-territory-claimed-by-chile.html?_r=1>.

“Export Impact For Good.” ITC. N.p., n.d. Web. 2 Feb. 2014. <http://www.intracen.org/>.

“Find and Evaluate Manufacturers around the World.” Panjiva. N.p., 2014. Web. 19 Jan. 2014. <http://panjiva.com/>.

Flannery, Russell. “Where’s China’s Growth? Textile Industry Is Weaving Expansion.” Forbes.

Forbes Magazine, 28 Aug. 2013. Web. 09 Feb. 2014. <http://www.forbes.com/sites/russellflannery/2013/08/28/wheres-chinas-growth-check-out-textiles-texhong-and-hong-tianzhu/>.

Gruber, James. “China Prepares Big Bang Financial Reforms.” Forbes. Forbes Magazine, 26 Sept.

2013. Web. 09 Feb. 2014. <http://www.forbes.com/sites/jamesgruber/2013/09/26/china-financial-reforms/>.

“Import Solutions | Global Trade and Receivables Finance | HSBC International Banking.”

HSBC. N.p., 2014. Web. 2 Feb. 2014. <http://www.us.hsbc.com/1/2/home/business/international-banking/trade-supply/import?code=PPG0025406&WT.mc_id=HBUS_PPG0025406>.

“Jordan - Culture, Customs & Etiquette.” Jordan - Culture, Customs & Etiquette. N.p., n.d. Web. 1 Feb. 2014.

“Jordan: Culture.” GlobalEDGE: Your Source for Global Business Knowledge. N.p., n.d. Web. 1 Feb. 2014.

“Jordan Economy Profile 2013.” Jordan Economy Profile 2013. N.p., n.d. Web. 1 Feb. 2014.

“Jordan’s System of Government.” EMBASSY OF THE HASHEMITE KINGDOM OF JORDAN CANBERRA. N.p., n.d. Web. 1 Feb. 2014.

“The National Labor Committee.” Chinese Guest Workers Flee Living Hell in Jordan Institute for Global Labour and Human Rights. N.p., n.d. Web. 1 Feb. 2014.

“The National Labor Committee.” Human Trafficking and Abusive Conditions at the Mediterranean Garments Factory in the Ad Dulayl Industrial Zone in Jordan Institute for Global Labour and Human Rights. N.p., n.d. Web. 1 Feb. 2014.

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“The National Labor Committee.” Ten Years into the U.S.-Jordan Free Trade Agreement Brutal Sweatshop Conditions Endure Institute for Global Labour and Human Rights. N.p., n.d. Web. 1 Feb. 2014.

“The National Labor Committee.” U.S.-Jordan Free Trade Agreement Stumbles Institute for Global Labour and Human Rights. N.p., n.d. Web. 1 Feb. 2014.

“National Labour Law Profile: Jordan.” National Labour Law Profile: Jordan. N.p., n.d. Web. 1 Feb. 2014.

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Web. 20 Jan. 2014. <https://www.cia.gov/library/publications/the-world-factbook/>.

OTEXA. “Free Trade Agreements.” Free Trade Agreements (OTEXA). OTEXA, n.d. Web. 21 Jan. 2014. <http://web.ita.doc.gov/tacgi/fta.nsf/FTA/Peru?opendocument&country=Peru>.

Perkowski, Jack. “China Leads In Foreign Direct Investment.” Forbes. Forbes Magazine, 05 Nov. 2012. Web. 09 Feb. 2014. <http://www.forbes.com/sites/jackperkowski/2012/11/05/chinaleads-in-foreigndirect-investment/>.

“Peru Apparel Fashion Textiles and Clothing Industry Directory.” Peru Apparel Fashion Textiles and Clothing Industry Directory. N.p., n.d. Web. 2 Feb. 2014. <http://www.apparelsearch.com/ World_Clothing_Industry/Peru/peru.htm>.

Peru Export and Tourism Promotion Board. “About Peru.” Peru Travel. Peru Export and Tourism Promotion Board, n.d. Web. 20 Jan. 2014. <http://www.peru.travel/about-peru.aspx>.

“Peru’s Ollanta Humala Meets with US Trade Representative -.” Peru This Week. N.p., 5 Feb. 2014. Web. 7 Feb. 2014. <http://www.peruthisweek.com/news-perus-ollanta-humala-meets-with-us-trade-representative-102168>.

“Politics & Political History of Peru Colonial Times until Today.” Lima Easy. N.p., 2013. Web. 21 Jan. 2014. <http://www.limaeasy.com/peru-info/peruvian-politics-political-history#political-parties>.

“Political Stability in China Comes with Little Transparency | Business Insurance.” Business Insurance. N.p., n.d. Web. 09 Feb. 2014. <http://www.businessinsurance.com/article/99999999/ NEWS040103/120309887?tags=%7C59%7C332%7C338%7C76%7C73%7C313%7C80%7C342>.

“Political Stability in China Comes with Little Transparency | Business Insurance.” Political Stability in China Comes with Little Transparency | Business Insurance. N.p., n.d. Web. 09 Feb. 2014.

“Port of Callao (Peru).” Sea Rates. N.p., 2014. Web. 5 Feb. 2014. <http://www.searates.com/port/

callao_pe.htm>.

“Premier Villanueva Points to Cacao to Curb Cocaine Output.” Peruvian Times News from Peru.

N.p., 4 Feb. 2014. Web. 2 Feb. 2014. <http://www.peruviantimes.com/04/premier-villanuevapoints-to-cacao-to-curb-cocaine-output/21487/>.

Staff. “Peruvian Textile Sector Generates $US 2.18 Billion in Added Value.” Textiles Update. N.p., 29 Oct. 2013. Web. 30 Jan. 2014. <http://textilesupdate.com/peruvian-textile-sector-generates-us-2-18-billion-in-added-value>.W “Suppliers Matching Leggings — Panjiva.” Suppliers Matching Leggings — Panjiva. N.p., n.d.

Web. 1 Feb. 2014 “Transit Time / Distance Calculator.” Transit Time, Distance Calculator & Port to Port Distances.

N.p., n.d. Web. 31 Jan. 2014. <http://www.searates.com/reference/portdistance/>.

The World Bank Group. “Doing Business in Peru.” Doing Business in Peru. International Finance Corporation, 2014. Web. 24 Jan. 2014. <http://www.doingbusiness.org/data/exploreeconomies/peru>.

BIBLIOGRAPHY 203

K A L E I G H R Y A N S H E L B Y K A T D E V O N B U C O R B I N R A A L E X I S C A

Z R T C H O R S T I L L O