Kathi -report 3 by katharinagerken

BUSINESS & REVENUE REPORT M2Di | Group 2 Katharina Gerken Canan Jacobs Annika Langhammer Emilija Lauraityte Sanne Lejeune

EXECUTIVE SUMMARY

UNCAGED

is a made-to-measure woman’s clothing brand founded in Amsterdam in 2017. We design and manufacture our collections with the use of 3D body scanning techniques to create bespoke clothing that celebrates the feminine igure of women who are aged 50 years and older. UNCAGED brings heritage techniques and quality craftsmanship of traditional ateliers to the fast-paced fashion industry in a modern as well as circular way. Our customer’s satisfaction is our highest priority. UNCAGED was originally created to address the needs of the female ‘Power Boomers’ – open-minded and adventurous women over 50 with a ravenous appetite for experiences and a positive approach to aging. The so called ‘Power Boomer’ feels misunderstood by society and is constantly disregarded by marketers. The fashion that is offered to her age group makes her feel and look older and doesn’t it her mind-set. She sees fashion as means of creative self-expression and is seeking for clothing that can offer her this value in an age appropriate way. One of the main issues our customer is facing regarding clothing is a sizing problem, since her body has changed while aging. That’s where UNCAGED steps in. With our A/W 2018/19 collection Redeined Icons, we want to ‘uncage’ women over 50 of the misconceptions about their age group by giving our customer the opportunity to express herself in a way she feels comfortable with. We celebrate the individuality of each and every woman and make sure that women of all shapes and sizes can wear UNCAGED, while keeping our environmental impact in mind. Our marketing goal is to place our customer at the forefront by building up a personal relationship. Next to our online shop and our showroom based in Amsterdam, we are offering our customer support via the platform Facebook and our own online community page, where likeminded women can connect with each other. UNCAGED is making use of a customized newsletter as well as the so-called Customer Relation Management. Therefore, we can ensure to always be up-todate with the UNCAGED community. Due a similar business concept and design of collection, and the reference to a comparable customer, we decided on Chico’s, Fame and Partners and MaxMara as our main competitors. UNCAGED is a brand which differs from its competitors by its unique designs with a high quality, the best possible it combined with an affordable price. UNCAGED shows its proitability as well as feasibility based on a net income of €10.021 within the irst year. For year two as well as three, UNCAGED will have growth rates of respectively 17% and 15%. This growth rate of income proves that our business strategy adds up. Our ultimate goal for the future is to establish UNCAGED as a brand, that integrates women aged 50 years and older into society. As a start-up company, the successful establishment of a community is our highest priority to complete our customer’s integration, while of course being inancially feasible and keeping the environmental impact at a minimum.

EXECUTIVE SUMMARY

TEN

BLE

ON C F

1. INTRODUCTION

7 7 7

2. CUSTOMER PROFILE 2.1 Customer Speciication 2.2 The Customerâ&#x20AC;&#x2122;s Needs

3. CONCEPT

4. VALUE PROPOSITION

5. CUSTOMER RELATIONSHIPS

10 10 14 16 18

6. COLLECTION 6.1 Description of collection 6.2 Range Plan 6.3 Benchmarking 6.4 Price Segment

19 19 19 20 20 21 21 22 24 25

7. CORPORATE RESPONSIBILITY 7.1 Sustainable Materials 7.2 Circularity 7.2.1 Packaging 7.2.2 The Take Back System 7.2.3 Closing the Loop 7.3 Responsible Manufacturing 7.3.1 Product Lifecycle Assessment 7.3.2 Risk Assessment 7.3.3 Production Justiication

25 25 25

8. MARKETING 8.1 Channels 8.2 Marketing Strategies

26 26 27 28 29 32 34

9. FINANCIAL VIABILITY 9.1 Key Partners 9.2 Demand 9.3 Stock Explanation 9.4 Revenue Streams 9.5 Cost Structure 9.6 Key Resources

10. CONCLUSION

2 31

APPENDIX SOURCE LIST

2. CUSTOMER PROFILE 2.1 CUSTOMER SPECIFICATION

BEAUTY COMES WITH AGE-– JOIN THE MOVEMENT AND FEEL UNCAGED.

1. INTRODUCTION “Boomers are set to change the consumer landscape through their purchasing power, ravenous appetite for experiences and positive approach to ageing.” (Hallissey, 2017) While the general view in society regarding the Baby Boomer generation remains unchanged, radical shifts are taking place within the generation. Baby Boomers with contrasting lifestyles have been labelled as Power Boomers. They currently seem to be disregarded by marketers, which is why their needs oftentimes remain unaddressed. As a start-up company, UNCAGED therefore felt compelled to come up with a concept that would truly it female Power Boomers. Our goal for this report is to map out the journey towards our irst collection, including intensive research about our customer, but also research about corporate responsibility and circularity. Additionally, we aimed to test the inancial viability of UNCAGED by analysing future sales and creating an opening balance sheet as well as a proit & loss account.

The target group that is at the core of our company, the so-called Power Boomers, are part of the Baby Boomer generation, meaning they are aged 50 years and older. It is a generation that has become a victim of ageism (Online Athens, 2002) – having a negative approach towards the process of aging and older people in general – and seems to have been written off by younger generations. However, the image of this generation that prevails in society today could not be further from the truth. This generation approaches aging different than previous generations, as they consider growing old as something beautiful. For them it is all about experiencing, adventuring, and most of all, about enjoying life. They are far from traditional and conservative, as they shop online, live very active lifestyles (ING, 2016) and sometimes even start businesses (Gallup, 2015). Throughout the world, the Baby Boomer generation has become the fastest growing age group (Brady, 2012). In the Netherlands, this growth is validated by the fact that in 2019, 50% of the population will be over 50 years old (CBS, 2014), which means that the generation we are focussing on will be responsible for half of all consumer expenses. Aside from the perceived growth of the generation, it currently already has the biggest purchasing power within the Netherlands (Mahler, 2014) due to several reasons. In the irst place, compared to other generations, the Baby Boomers have more savings as well as more capital, due to the fact that the majority of the generation owns their own house. Also, most of them have party or completely paid off the inevitable costs that go hand in hand with the purchase of a house (NU.nl, 2017). We therefore have concluded that, as a result of their capital and savings, as well as a decrease of inancial expenses, our target group will feel inancially secure and therefore be more likely to spend money on fashion. Considering the

aforementioned statements, we envision this niche market as a great opportunity for our business, and have therefore put our focus on addressing the needs of this generation. 2.2 CUSTOMER’S NEEDS As solving our customer’s problems is at the core of our business, it was essential for us to ind out what our customer’s needs are. Consequently, we set up an interview that we conducted with women around the world, which helped us identify the following needs: Recognition in society As mentioned before, Power Boomers oftentimes become a victim of prejudice directed towards their generation. As a consequence, they feel like the people around them do not understand nor accept them. A frequently mentioned example was the daily exposure to advertisements that are not relevant to most of the generation, which proves that present day society disregards the changes happening in this generation. Representation on Fashion Market The customer feels like there are few companies that cater to older women, and if they do, the clothing they offer makes them look and feel older than they would like to. She simply does not feel like most women in her age group: she has a younger mind-set and a contrasting lifestyle, which results in deviating preferences regarding fashion. Correct Sizing One of the most common problems within our customer group is the general sizing system for garments. 90% of the women that we interviewed pointed out that they regularly experience problems with inding the right size while shopping, as the process of aging often results in a change of body shape.

3. CONCEPT Created in 2017, UNCAGED is the modern woman’s personal atelier. We design and manufacture our collections with the use of 3D body scanning techniques to create bespoke clothing celebrates the feminine igure of women who are aged 50 years and older and suits their personal style. We bring heritage techniques and quality craftsmanship of traditional ateliers to the fast-paced fashion industry in a modern as well as sustainable way. Within our concept, there is a performance of three main activities in order to make our business model (see appendix page 5) work. First of all, we designed a concept that solves our customer’s problem of sizing by making garments made-to-measure. The designs in our collection it the customer’s age and lifestyle and will therefore make them feel represented by a fashion brand. Lastly, we have created a community to connect and help them feel more recognized within society.

4. VALUE PROPOSITION Customization It is an undeniable fact: the dilemma of not inding unique garments that it individual body types is a frustration of older women that has been passed on from generation to generation, without having been resolved. UNCAGED has incorporated this urgent need as one of the company’s values by providing made-to-measure garments in form of a pre-designed collection that will be tailored to the exact body measurements of the customer. By offering several colour options and hem lengths, the customer has the ability to adapt the designs to their personal needs and tastes. Status Deciding to wear a certain brand can often be a sign of group afiliation within society (Auty and Elliot, 1998). Based on this insight, UNCAGED is striving to empower the wearer and create a statement towards the viewer by subtly incorporating slogans like ‘Beauty comes with age’ on our garment hangtags. Additionally, by creating a community we strongly spread our message and work on changing the prejudices within society. Convenience/Usability Convenience and Usability are two factors UNCAGED has implemented throughout the customer’s service experience. Our 3-D scanners are easy to use and fast, yet very precise. After being scanned, the customer will get a code with her measurements which can be used to order online. Therefore, the 3D scanner provides us with a possibility to seamlessly connect the ofline and online experience. Furthermore, considering the fact that Power Boomers are often agitated by websites which seem too complicated (Bulygo, 2014), UNCAGED has created an online presence which is user-friendly as well as visually appealing. It includes special aids like zoom options on the product pages, outit recommendations and clear material and product descriptions. Lastly, our fabrics offer convenience as they require low maintenance.

5. CUSTOMER RELATIONSHIPS Research has shown that women over the age of 50 have a strong desire to be assisted by qualiied employees during store visits (McPherson, 2016). Based on this, we decided to hire dedicated professional stylists for our showroom. They will assist our customer throughout their visit, developing a close and direct relationship with her. We developed this concept as UNCAGED is striving to establish an atmosphere of being understood and respected while shopping. UNCAGED does not only sell a product – it also sells a lifestyle. For this reason, we intend to develop a relationship between the UNCAGED customers in order to strengthen the feeling of being understood and accepted within society. As a result, our website features interviews with inspiring and likeminded people, book and event recommendations as well as other websites with a similar mission.

(FIGURE 1)

6. COLLECTION

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6.1 COLLECTION DESCRIPTION UNCAGED was set up to disregard all existing prejudices towards women over 50. Our A/W 2018/19 collection Redeined Icons indulges in a journey where we return to authentic, timeless garments. We merge reined simplicity with balanced contrasts in the form of colourful details. Our purpose is to â&#x20AC;&#x2DC;uncageâ&#x20AC;&#x2122; women over 50 of the misconceptions about their age group by giving our customer the opportunity to express herself in a way she feels comfortable with. In accordance to our survey, women over 50 face huge dificulties in inding perfectly itted dresses as well as trousers. This and other indings from our survey lead us to a collection including ifteen unique pieces. We chose to place seven out of ifteen styles within the basic segment, since we believe in the quick adaption of our basic styles into the market. We chose to only have three styles within our top segment, since these styles are really unique in design and therefore not easy to establish in the market. Consequently, UNCAGED is having a ratio of 7:5:3 within the style segments (see igure 1).

We offer two relatively small collections every year because we are following the slow fashion model to focus on quality instead of quantity. Besides, the slow fashion model is perfect for a start-up company in order to keep track on the business development and to be able to work on time without delays.

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6.2 RANGE PLAN (FIGURE 2) STYLE

Color Color Color Color Detail Detail Detail Detail Fabric 1 2 3 4 1 2 3 4 (100% only)

Cost Price

Gross Proit %

Retail Price

Turnover Category

STATEMENT TOPS Tencel

88.51€

75%

359.00 €

Tencel Velvet

150.00€

54%

329.00 €

Tencel

125.00€

57%

289.00 €

Audrey Dress

Sea Wool

141.75€

56%

319.00 €

Michelle Blazer

Sea Wool

111.89€

60%

279.00 €

Tencel

30.79€

78%

139.00 €

Sea Wool

95.25€

44%

169.00 €

Sea Wool

53.33€

73%

199.00 €

Viscose

54.98€

71%

189.00 €

RANGE

Iris Dress

Organic Wool

82.98€

62%

219.00 €

Yoko Sweater

Organic Wool

98.94€

38%

159.00 €

Chimananda Sweater Sarah Sweater

Organic Wool

85.21€

50%

169.00 €

TOP Blazer Blouse Sweater Dress

279€ 119€ 99€ 189€

329€ 169€ 169€ 359€

Tencel

26.53€

73%

99.00 €

Teresa Blouse

Viscose

42.82€

61%

109.00 €

BOTTOM Pants

129€

289€

Diana Dress Maxima Blazer BOTTOMS Eleanor Trouser

FASHION TOPS

Madonna Sweater Oprah Blouse BOTTOMS Rosie Trouser

BASIC TOPS Jackie Dress

BOTTOMS Coco Pant

Tencel

47.56€

63%

129.00 €

BASIC

STATEMENT

Average Cost price= 82.21€ Average Gross Proit % = 61% Average Retail Price = 210.33 €

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6.3 BENCHMARKING The team behind UNCAGED carried out extensive benchmarking to gain a deep level of insight of the market, which allowed us to evolve our collection, prices and unique selling points. We discovered our three strongest competitors in the brands Chico’s, Fame and Partners as well as MaxMara based either on the same customer group, a comparable business concept or similarities in quality and style. The American brand Chico’s designs relaxed-it casual clothing for women over the age of 35. They provide a blog with inspiring posts about style, travel, culture, food and personalities. The brand is a competitor for us due to its exceptional service and deep appreciation for matured women (Chicos, 2017). Even though Fame and Partners do not serve the same target group, they are crucial to consider due to their business concept. The brand offers made-to-measure garments celebrating the individuality of each woman, while minimising environmental impact (FameandPartners, 2017). We recognize our third competitor in the 1951 founded brand MaxMara due to their minimalistic and elegant style, as well as their high quality manufactured women’s clothing. (MaxMara, 2017).

Based on our competitors’ garment ratio, we assume a strong sale potential in dresses, which we then combined with our own customer survey in order to come up with a commercial collection. The same approach is valid for our collection price setup.

(FIGURE 4) Graphic by

The overall result of our competitor research is summarised in our positioning matrix, based on pricing and expertise. We placed UNCAGED in between MaxMara and Fame and Partners due to our price range and level of expertise, relected in our affordable prices and quality craftsmanship. We differ from our competitors with our unique designs with a high quality, the perfect it and an affordable price, while integrating an innovative technology.

(FIGURE 5) (FIGURE 3)

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7. COPORATE RESPONSIBILITY 7.1 SUSTAINABLE MATERIALS 6.4 PRICE SEGMENT The combination of our customer survey and the aforementioned competitor research has lead us to create a timeless collection which we believe to be commercial. Redeined Icons is placed in the mid-price segment, justiied through its high quality and attention to sustainability. The collection’s fusion of simplicity and unconventionality convinces us that we have created an easily accessible, and therefore commercially successful collection. The collection balances low with high prices due to the fact that our lowest priced garments have a high expected demand. However, we also have items where we set a relatively high price, for example our dresses. We justify our higher prices by our indings, which prove that retailers attribute nearly 50% of their sales to Power Boomers (Synchrony Financial, 2014). We believe that this fact, in combination with our customers’ pressing needs and their inancially stable situation, allows us to place our prices in a higher price range.

Sustainability for us is neither a choice nor a trend – it is the base of our concept. UNCAGED is highly attentive to make use of unique and sustainable fabrics that offer the highest quality possible to our customer, while keeping the environmental impact in mind. Sea Wool

Tencel

- Waste f o the o ea a d the food i dust - De easi g 5 % a o dio ide e issio s - 9% less e e g o su ptio tha t aditio al pol este Mou tai desig s,

Lenzing Viscose

- Made of e e a le pla t ate ials - No use of pesti ides a d i se ti ides - Closed loop p o ess: 99% of o -to i sol e t e led 7

Le zi g,

- Re ui es half of the e e g that otto eeds - Made of t ees sustai a l a aged fo ests - Che i als a d aste f o p odu tio a e e led Le zi g,

Recycled wool - Made of sh edded oolle ga e ts - Redu es la d use e ui e e ts - Redu es to i e issio s f o i i e ato s

Glo al P a a,

(FIGURE 8) Graphic by

As visible in our range plan, the proit margins of Redeined Icons are in a quite high range (38% to 78%). We can support this decision given the fact that we are a start-up company with an expensive business concept. Our investments, such as our body scanner, combined with the eco- and insurance costs, need to be successfully covered.

(FIGURE 6)

(FIGURE 7)

7.2 CIRCULARITY UNCAGED is a truly circular brand. The entire production process – from sourcing our sustainable fabrics to the end product we are offering to our customer – is circular. We produce to sustainable standards based on the Global Organic Textile Standards (GOTS), the worldwide most advanced and widespread certiicate of sustainability within the textile industry (Phil & Lui, 2017).

(FIGURE 9) Survey by

Survey by

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7.2.1 PACKAGING Packaging for clothing is often thrown away by the consumer, which we strive to avoid. The product will therefore be delivered to the customer in reusable packaging. Therefore, all our garments will be delivered in a RePack packaging. The packaging is made out of recycled materials and can be reused at least twenty times. Additionally, the RePack service reduces CO2 emission by 80% (RePack, 2017).

7.2.2 THE TAKE BACK SYSTEM The customer can also request a RePack bag at UNCAGED for returning a garment at the end of its lifecycle, if she is not happy with her garment anymore. We also offer the opportunity for the garment to be adjusted in our atelier. We are aware that 63% of Baby Boomers take are more likely to make a purchase if they have a discount offer (Synchrony Financial, 2015). Therefore, our customer will get a 20% discount off her next purchase when returning a garment, as well as a so-called Lavender Bag, made out of materials of previously returned garments. Our goal is a garment take-back of at least 30%.

7.2.3 CLOSING THE LOOP To close the loop within our supply chain, the collected garments from our customers are being sorted by fabric and colour, the trimmings are removed and the garment is unwound or shredded into ibres. The colour will be blended and a new yarn is made. Out of this yarn, we create a new garment for our next lucky customer.

7.3. RESPONSIBLE MANUFACTURING Throughout our supply chain, we incorporate better practices to make exclusive collections at a fraction of the environmental impact of conventional fashion brands. Firstly, we reject the mass production that is common in todayâ&#x20AC;&#x2122;s fashion industry as our in-house seamstresses create every piece made-to-order. Since the inished garments are delivered straight to our customer, we only need a minimal amount of storage space for producing our collection. By minimizing the storage, we save energy and avoid excess stock. Consequently, there are no surplus items at the end of each season which would normally being discounted or thrown away. As our garments are made to it our customersâ&#x20AC;&#x2122; preferences, we are attempting to reduce the amount of returns to a minimum, in consideration of the CO2 emission released during transport of the garment to and from the customer.

SEA WOOL

= Steps which are happening constantly

Packaging + Transportation

Production of yarn

PRODUCT LIFE CYCLE

Collecting ocean plastic and oyster shells

Production of Sea Wool

Packaging + Transportation to warehouse + dyeing factory Piece dyeing the fabric

7.3.1 PRODUCT LIFECYCLE

To identify and understand the environmental impact of every production phase, we conducted a periodic Life Cycle Assessment for one garment, according to ISO assessment procedures as standardised in the ISO 14040:2006 (ISO, 2006). Additional information regarding the Product Lifecycle can be found on pages 6 to 8 of our appendix. During our companyâ&#x20AC;&#x2122;s Life Cycle Assessment of the Oprah Blouse, we divided the production into 5 phases: pre-production, production, distribution, utilisation and disposal (Lyngaas, 2015). The 5 aspects in our lifecycle that cause the most harm to the environment: transport emissions regarding fuel use, energy use, water use and pollution, material waste as well as paper and plastic use. To learn more about the full Life Cycle Assessment and our measures against environmental impact, see pages 9 to 11 of our appendix.

Measuring the customer

Individual customization by customer

Packaging + Transportation to store

Online or in store purchase

Labelling prototypes

Packaging + Transportation to atelier

Setting buttons

Manufacturing of customized blouse

Setting buttons

Manufacturing prototypes (34, 36, 38, 40, 42)

Labelling blouse

STORE

Packaging + Transportation

Process of shredding + creation of new fabrics

Packaging + Transportation to factory

Customer brings garment back to store

Packaging + Transportation (either to home address of customer or to store)

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(FIGURE 10) GENERAL PRODUCT LIFE CYCLE

VISCOSE/ORGANIC WOOL/TENCEL

(garments not made of sea wool)

- all production processes according to GOTS standards -

Production of yarn

Production of fabric

Packaging + Transportation to warehouse + dyeing factory Piece dyeing the fabric

Measuring the customer

Individual customization by customer

Packaging + Transportation to store

Online or in store purchase

Labelling prototypes

Manufacturing of customized blouse

Packaging + Transportation to atelier

Setting buttons

Manufacturing prototypes (34, 36, 38, 40, 42)

Labelling blouse

STORE

Packaging + Transportation

Process of shred-Packaging + Transportation ding or to factory unwinding + creation of new fabrics

Customer brings garment back to store

Packaging + Transportation (either to home address of customer or to store)

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(FIGURE 11)

7.3.2 RISK ASSESSMENT As corporate responsibility is of highest importance to UNCAGED, it is crucial for our brand to guarantee the safety of the products we offer to the consumer. Therefore, we have set up a risk protocol containing safety standards to that all our employees and suppliers have to conform to. We have included safety standards for the workplace in our risk protocol, as well as the legislated working standards of the European Commission (De Raad van Europese Gemeenschappen, 1989) to make sure our employees get the working conditions they deserve. We do not only face risks in our own workplaces â&#x20AC;&#x201C; transporting the goods from one place to another poses a lot of potential risks, too. Thus, incoterms are included in our protocol to state clearly what the responsibilities of UNCAGED and its suppliers are. For the detailed Risk and Workplace Risk Assessment as well as our Monitoring Protocol, please see pages 12 to 16 of the appendix.

7.3.3 JUSTIFICATION PRODUCTION FACILITIES The team behind UNCAGED had a speciic focus while determining its production locations: maintaining a local and environmental friendly essence. The result is a fashion brand that has centred its full production process within Europe. We achieved our goal to produce all of our fabrics at one single fabric mill: Ecological Textiles in Roermond, the Netherlands. The intention behind this goal was based on the reduction of CO2 emissions by minimising transport routes. Ecological Textiles is only 146 kilometres away from the UNCAGED atelier, as well as our dyeing factory (Distance Between Cities Places On Map Distance Calculator, 2017). The fabric supplier fulils all the requirements we expect from an ideal supplier for our concept, as they offer high quality fabrics that are produced sustainably. We decided to dye our fabrics at GrenzlandfĂ¤rberei in Bocholt, Germany, given the fact that the factory is based in-between the fabric supplier and the atelier. To guarantee the quality of our clothing and a personal way of manufacturing, we produce in our own atelier located in Diemen. Our atelier has direct access to our warehouse., which helps us avoid CO2 emissions that would arise if we had to transport to and from our warehouse. We import our sustainable buttons and labels from Italy and England respectively. We ind it really important to incorporate sustainable trims to the collection as we keep the disassembly of our garments at the end of the lifecycle in mind. We accept the longer transportation routes to those countries as it is a one-way transportation. Due to the scarcity of upcycling companies, we are required to outsource the process of creating new fabrics out of the used garments to the Recover in Spain. Their mission is in line with our values: changing the environmental impact of the fashion industry in the most innovative way possible (Recover, 2017). In order to avoid a constant CO2 emission low UNCAGED collects the brought back garments over a period of four months before transporting the amount to Spain.

8. MARKETING Marketing recuperates a high priority within our business plan since our customer group is often disregarded by marketers. Our marketing goal is therefore to place our customer at the forefront, while building up a personal relationship. Secondly, we wish to emphasize our value based business strategy.

(FIGURE 12) Graphic by

8.1 CHANNELS Power Boomers highly value the possibility of feeling fabrics with their own hands and trying on garments before buying. They thrive on relationships and like the personal connection that physical stores offer (McPherson, 2016). Quite clearly, Power Boomers have a preference for shopping in physical stores, which is why it is very important for us to establish a showroom where our customers have the opportunity to experience our collection in real life.

Both plastic and shells will be collected by UNCAGED and sent to Ecological Textiles, our third key partner, where they will be transformed into SeaWool (Ecological Textiles, 2017). Additionally, we consider our dyeing factory in Bocholt as one of the key partners as they enable us to colour the fabrics according to our demand (Grenzlandfärberei, 2017). Bocholt is situated only 150km from Diemen, which makes it really easy to communicate and work together.

However, e-commerce trends for 2017 have shown that 41% of Baby Boomers are purchasing online. They spend an average of four hours per week on shopping online and buy 42% at webstores or independent boutiques and to 39% at category-speciic online stores (Wallace, 2017). These trends have strengthened our strategy to build up an online presence for UNCAGED, in order to react to developments within our target group. Based on the insight that older women get distracted by websites that seem too complicated (Bulygo, 2014). The UNCAGED website was created to become the epitome of simplicity, structure, navigation, transparency and direct addressing. The UNCAGED website visitor should feel guided, understood and satisied. Visit our website on: https://uncagedthebrand.squarespace.com/

As a start-up, inancial partners are extremely important to us. Further information on how our inancial partners support us can be found in 11.6 Financial Resources.

Besides, we are using Facebook, since 82.3% of Power Boomers are members of this online platform (Lockard, 2017). By focussing on Facebook, we can use our customers’ daily routines as a tool to create awareness for our brand. Also, we can offer a place for the customer to review our products so that we can relect on the feedback of the consumers. 8.2 MARKETING STRATEGIES

9.2 DEMAND When deining our demand, we followed the route shown in igure 14. Through all of these indicators we were able to derive a demand of 3 garments per day. To see the full calculation, please go to page 17 of the appendix.

NETHERLANDS: 47-55 years old: 1.148.000 women

Total amount of women: 1.148.000 + 691.000 = 1.839.00

56-61 years old: 691.000 women

Uncaged style its the style group: Verzorgd - represented by % o’ all women

8.2 MARKETING STRATEGIES

0,15 x 1.839.000 = 275.850 women

(FIGURE 13)

9. FINANCIAL VIABILITY

Shopping behaviour: the passionate shopper - represented by % o’ over 50 years old women

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0,10 x 275.850 = 27.585 women

9.1 KEY PARTNERS In order to set up our company, we collaborated with people from different industries, as we rely on their expert knowledge and opinions. Fundamentally, we work with Sizestream, the company that provides us with the 3D body scanner and will help us incorporate this new technology into our business. Secondly, to collect our raw materials, we need to collaborate with restaurants as well as oyster farms across the country. As the oyster shells need to be mixed with PET to create a fabric, we chose the organisation The Ocean Cleanup, which collects plastic that has ended up in the ocean (The Ocean Cleanup, 2017). In this collaboration we will reuse the organisation’s collected plastic to prevent it from ending up in the ocean again, and provide awareness for their innovative initiative.

Verzorgd style group = - feminity - pre’ers high quality - spends a lot o’ ime, efort in her appearance

Passionate Shopper = - loves shopping - pracices shopping on a regular + spontaneous basis - shopping = hobby

General willingness to buy: % 0,04 x 27.585 = 1.103 garments

AVERAGE DAILY DEMAND: .

garmnts / 6 days =

garments per day

(FIGURE 14) Graphic by

9.4 REVENUE STREAM S

9.3 STOCK EXPLANATION

All our sales will be generated through our online store, as showroom purchases will be done digitally with the help of our stylists. Therefore, our biggest revenue stream will be our asset sales through our online shop. Another source of revenue will be advertisements, which we will put in our newsletter as well as on our website, to promote other companies that focus on Power Boomers.

As UNCAGED is a start-up company that provides customised made-to-order garments, we are not able to meet the minimum quantity regulations of already dyed fabrics without facing the big risk of having too much seasonal stock at the end of the autumn/winter period. Thus, our stock will consist out of undyed fabrics in different qualities. This strategy provides us with the possibility to react to the favourite colours and fabric choices of our customers. Also, it prevents the risk of overproduction of seasonally coloured fabrics.

We started the sales forecast by categorizing our collection according to the expected turnover speed. As we aimed to create a collection with a twist, we have relatively few A-styles and our B&C category is almost identical in amount of pieces sold. The A category will undeniably generate the most effort as the styles are simple and easy to combine. Additionally, group B&C both generate 15% of our whole proit because the division within the collection is equally spread, referring to the revenue stream.

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(FIGURE 16)

(FIGURE 15) Graphic by

Besides a cycle stock of 56 roles of fabric, we will have a safety stock of 10 rolls pre-dyed in order to have a backup for unexpected demand or restrictions in supply. As visible in the igure 15 we work with the continuous order cycle management. As a result of our calculations, we concluded an economic order quantity of 531 pieces. As our demand for half a year is 546 pieces, we see this number as a guiding value as it is less than our qualitative demand. Theoretically seen, when we reach the reorder level of 13 fabric rolls we are supposed to order fabric for another 546 garments, which is equal to 56 rolls of fabric. For the exact calculations of safety Stock and EOQ please take a look in the appendix on page 18 to 21.

With this information we generated our annual revenue for the irst year per product group. The three items that will be most important for our revenue are dresses and pants as they require a perfect it, which is hard to ind on the market as sizing is still following the prevalent sizing system, developed in the 19th Century (Burrows, 2017). The third product group are our sweaters as they are easy to combine and lattering to the igure. Our sales forecast as described below shows a consistent growth of an average of 16% during the irst three years. Our company is categorised as a medium class business with an annual revenue of â&#x201A;Ź50.000 to â&#x201A;Ź250.000 (VentureBeat, 2017). For the medium category in the retail segment, it states 17% of growth within the second year and 15% in the third year.

As we do not have any own data we rely on monthly sales averages from INretail (Seizoenspatroon modebranche, 2017). We kept the monthly distribution the same for all products except the sweater, as it is an item which mainly sells in winter due to comfort and cold weather. This is has resulted in a higher forecast for the winter season. More speciic information on our sales forecast can be found on pages 22 and 23 in our appendix.

(FIGURE 19)

(INretail.nl, 2017)

(FIGURE 17) Graphic by

(FIGURE 18) Graphic by

(FIGURE 20)

(FIGURE 21)

Graphic by

9.5 COST STRUCTURE We approach our product costs by the use of the bottom-up- calculation. At the same time, we aim for a value driven cost structure based on our customer that is made to compete. The most important aspects for our cost set-up are sustainability, high quality, consistency and our competitors. We have divided the cost of the item into three parts. Firstly, we calculated the raw material costs through researching the production countries as well as fabric and trim prices. The second part consists out of the CMT price, which we calculated according to Dutch productivity levels and prices, as we will produce our collection in our own atelier close to Amsterdam (Gerven-Veth, C., 2016). The third part includes our transport costs of an average of 1.05€ (Detransporters, 2017). This amount was then added to the cost price. The last and most valuable aspect were the eco-costs. Not only do we cover our impact on the environment with our emission cost, but also by including resources, global warming as well as human health. To including all those aspects, we calculated our eco-cost with 0,135€ /kg CO² equivalent. We derived a inal eco-cost of 0.17€ per garment. Calculations of the eco-cost can be found in our appendix on page 24. To ind out whether our business will be proitable and to measure our expected progress for the next three years, we created a Proit & Loss Account. The Proit & Loss Account depicted in igure 22 demonstrates our turnover as well as all the cost that we are facing as a start-up company. One thing that immediately catches the eye is that our salary costs comprise 29% of our total turnover, which is, generally seen, quite a high percentage. However, we consider our employees to be one of the most important assets to make our business work, as their personal approach and excellent sewing skills will help enhance the quality of the end product. In consideration of poor accounting being among the top reasons start-ups fail (Rutkowski, 2017), it was key for us to include administration costs in our proit & loss account. Also, since we aim to create a community for our customer and raise awareness for their problems, we will need a considerable marketing budget to reach our customer eficiently. Upon research we found out that in start-up companies around 3% of the total turnover is spent on marketing (Hudson, 2017). Another aspect worth mentioning are our depreciation costs, as we are facing a big technological investment due to the use of a 3D body scanner with a lifespan of only 4 years. However, looking at the scanner’s solid Compound Annual Growth Rate of 9.6% per year (Allied Market Research, 2016) we are convinced that it is the right step to invest in such a technology. Our high quality sewing machines generate a much lower depreciation cost, as they have longer lifespans. To ind the full build-up and calculations of the costs mentioned on the Proit & Loss account in igure 22, please go to pages 26 to 28 of the appendix.

PROFIT & LOSS ACCOUNT UNCAGED 2018-2020

Turnover Cost of sales Gross margin Salaries Rent Electricity and Water Administration Marketing Startup costs Insurance Depreciation Loan Payment Interest Net Profit Before Tax

2018 Share of turnover €216.922 100,0% €82.878 38,2% €134.044 61,8%

€253.799 €96.967 €156.832

2019 Share of turnover 100,0% 38,2% 61,8%

€291.869 €111.512 €180.356

2020 Share of turnover 100,0% 38,2% 61,8%

€63.936 €30.000 €5.500 €1.500

29,5% 13,8% 2,5% 0,7%

€74.592 €30.000 €5.500 €1.500

29,4% 11,8% 2,2% 0,6%

€85.248 €30.000 €5.500 €1.500

29,2% 10,3% 1,9% 0,5%

€6.500 €1.000 €796 €5.611 €5.000 €1.675

3,0% 0,5% 0,4% 2,6% 2,3% 0,8%

€7.600 €€796 €5.611 €5.000 €1.428

3,0% 0,0% 0,3% 2,2% 2,0% 0,6%

€8.750 €€796 €5.611 €5.000 €1.180

3,0% 0,0% 0,3% 1,9% 1,7% 0,4%

€12.526

5,8%

€24.805

9,8%

€37.567

12,9%

Net Profit Calculation Net Profit Before Tax Corporation Tax Net Profit

2018 €12.526 €2.505 €10.021

100% 20% 80%

2019 €24.805 €4.961 €19.844

100% 20% 80%

2020 €37.567 €7.513 €30.054

100% 20% 80%

(FIGURE 22) Graphic by

9.6 KEY RESOURCES It is self-evident that without some crucial resources, not a single garment would end up in our showroom. First of all, we require intellectual resources as we offer a very innovative product for which continuous research and updating is necessary. Therefore, one of the founders will be the technician in our team that knows the ins and outs of the 3D scanning technology, and can solve any kind of error or update. Secondly, we need human resources which consist out of our experienced and qualiied seamstresses, but also stylists in our showroom who can guide the customer.

Opening Balance Sheet UNCAGED 2018

(FIGURE 23) Graphic by

Own Capital Owner’s Equity

€25.000

€31.090 €2.500

Long Term Liabiliies ING Bank Loan Microkrediet Business Angel

€20.000 €10.000 €26.895

€81.895

Total

€81.895

Fixed Assets Machines Inventory

€32.305 €16.000

Current Assets Stock Cash

Total

The physical resources that we need can be found on the debit side of our opening balance sheet, shown in igure 23. As you can see, our building is not represented on the balance sheet as we rent it. Undoubtedly, the most important physical resource that we need is the 3D body scanner, as without it, we will not be able to offer a solution for the customer’s need. The 3D body scanner falls under the post ‘Machines’, and so do our high quality machines for the production of our garments. We have also included the inventory needed for our ofice and showroom, as well as all the stock that is necessary to satisfy our semi-annual demand. To ind the calculation of these assets, please check page 29 of the appendix. Our inancial resources can be found on the credit side. First and foremost, under own capital, we have included an owner’s equity of €25.000, which will be invested by the 5 founders as a sign of their trust in the company. However, this amount is not enough to fully inance our assets, which is why we have divided our loan capital into three parts. We will make use of a business loan at ING bank (ING, 2017) that is suitable for starters and offers a quite low interest rate of 4%. Additionally, we are using ‘Microkrediet’ (Qredits, 2017): a subsidy that is intended for starting entrepreneurs, includes coaching and has a quite long timespan. To complete our inancing plan, we would like to ask a business angel to invest in our company, for which we will offer 15% (Suster, 2010) of our net proit in return.

10.CONCLUSION The team behind UNCAGED is challenging the leading image of women over the age of 50 whilst embracing their needs in a personal and direct way. Our irst collection, Redeined Icons, is the proof that a circular and sustainable business model is compatible with fashion. The combination of creativity and commerciality recognizable in Redeined Icons is in line with the expectations of our customer group. We have proven that our brand is inancially viable for its irst three years. Our start-up company is based on a truly circular business concept that minimises the environmental impact in every part of the supply chain. UNCAGED achieves to step away from the harmful fast fashion system by using a historical practice combined with an innovative twist.

APPENDIX

5 6-8 9-11 12 13 14-16 17 18-19 20-21 22-23 22 23 24-25 26-28 29-30

Business Model Canvas Additional Information Product Lifecycle Life cycle assessment Product risk assessment Workplace risk assessment Risk management & monitoring protocol Demand Calculations Safety Stock Calculation EOQ Stock & Stock Strategy Calculation Sales Forecast Annual Sales Forecast Annual Sales Forecast per product Group True Cost Calculations Proit & Loss Account Key Resources (Balance Sheet)

> SizeStream - helping to integrate the new technology in our business

Most important costs: the 3D Bodyscan, the sustainability aspect + the material Most expensive: the investment in a bodyscanning device and technology + the set up of store

Own/Direct >Online Shop >Showroom to build relation & fabric feel 1)Awareness: Fitting Advertisemets (Models, Slogans) 2)Evaluation: Online & Showroom Feedback to rank items 3) Purchase-online + in store 4) Delivery: collect in store or delivered home 5) After sales: sustainable magazine

people

|Communities >we sell a lifestyle by creating a community where the custoemr can connect with like-minded

|Dedicated Personal Assistance >stylists in store >live chat on webside

>age appropriate clothing which is fashionable & sustainable

>women over the age 50+ with an active lifestyle and a positive mindset towards ageing

NICHE MARKET >speciic consumer (Power Boomers: woman 50+ with speciic needs)

How are they currently paying? -> Online as well as in store.(Credit Card + Paypal)

Customers willing to pay for customisation (solves their problem), the convenience of our service, the sustainable twist and the added advantage of being part of our community

Advertising: receiving money for putting advertisements on our website or in our magazine, (advertisements from companies with the same target group like Ageist)

Asset sale: sale of products --> biggest revenue stream

1) Values: sustainability, trends, uniquenes, quality, innovation 2) Customer Problems: no unique clothing, no similar thinking friends/ acceptance (community), lack of itting advertisements 3) Fit/ Sizing

|Convenience/Usability >characteristics of fabric >accessibility of website >body scanning (quick & easy)

|Status >Brand identity = Age is just a number - ighting against prejudices in society = slogans in hidden places on the garments to empower women (â&#x20AC;&#x153;Age is my superpowerâ&#x20AC;?)

|Customization >made-to measure clothing, tailored to the individual body >providing possibility to change details of the designs to customers wishes (length of dress & sleeves, type of neck etc.)

>VALUE driven -> our values are extremly important to our customer, they are more likely to accept certain prices as we offer solutions for their urgent needs -> they have a stable income.

>Physical: bodyscanner machine, ofice/atelier/showroom (fully with inventory), material/fabric >Intellectual: researcher who keeps the bodyscan up to date/has knowledge about the technology in case of error >Human: hiring seamstresses, pattern maker, stylists, people for marketing/website/logo >Financial: business angels, own investment + government

Platform/network: connecting people, creating a community and a platform for power boomers to communicate >Graphic Designer marketing budget for website/logo

>Production: fabric produced from oyster shells and plastic bottles

>Problem Solving: sizing, integrating into society/acceptance, representation on fasion market, creating fashionable sustainable product, offering clothing that its to the target group

>Investors = business angel + government funding for innovative projects

>Sustainable fabric company (help for production) + Mountain Design >Ocean Clean Up Company

>Restaurants and Oyster Farms

4 5

Additional Information - Product Life Cycle: Sea Wool

= Steps which are happening constantly

The lead time for the production of the customized blouse is one day including the setting of the buttons and the labels.

UNCAGED has a cooperation with The Ocean Clean Up non-proit organization (Delft, Netherlands) as well as the Restaurant Oesterbeurs and Oesters & Bubbles (Yerseke, Netherlands). The partnership is based on the agreement that they collect and store the plastic from the ocean and the used oyster shells for our production of Sea Wool over a period of three months. Thus, the procedure has to start 3 ½ month before the actual fabric production is planned to take place. The packaging process of the ocean plastic and the oyster shells at both locations will take approximately one day. A total transportation time of three hours (Google.de/maps, 2017) needs to be taken into account in order to transfer the packed boxes from Delft to Yerseke and afterwards to the Ecological Textiles supplier in Roermond. The production of the yarn followed by the production of Sea Wool has a lead time of 14-15 weeks (Breuer, 2014, p. 62). We have to consider a time period of two hours (Google.de/maps, 2017) to transport a part of the packed fabric from Roermond to our fabric storage next to the atelier in Diemen. The transfer of the smaller part of the produced Sea Wool to the Grenzlandfärberei in Bocholt takes one and a half hours (Google.de/maps, 2017). Piece-dyeing the produced Sea Wool has a lead time of 5 - 7 days. The process of transporting the dyed fabric to our atelier in Diemen requires one and a half hours (Google.de/maps, 2017). UNCAGED has 4 seamstresses working in the atelier following the traditional concept that each seamstress manufactures one whole garment. We need ive ‘prototypes’ of the blouse in store (34, 36, 38, 40, 42). Thus, we have to calculate one and a half days for producing the prototypes of the blouse including the process of setting the sustainable buttons (buttons from Berbrand, Italy) and labels (from Britannia Garment Packaging) (Buttons: SAM 120, Labeling: SAM 20 (Studiedelen.mijnhva.nl, 2017)).

If our customer prefers to pick up the customized blouse in store the packaging and transportation can happen within one day. In case our customer wants to have the garment delivered to her home address the delivery time is dependant on the location of the home.

STORE

UNCAGED encourages its customers to bring back the garments to store at the point when they do not want to have the items in their closets anymore. The customer can request a RePack package for free in case they do not have the time to return the worn garments to the store personally. We collect the garments over a period of 4 months before transporting them to the Recover factory (Spain) for shredding the garments and producing new fabrics out of it. We want to implement the unique concept of the Recover factory for the process of creating new fabrics out of the used garments. The factory is based in Spain which requires us to transport the collected clothes to Banyeres de Mariola every 4 months with a transport lead time of about 19 hours (Google. de/maps, 2017). The process of shredding one blouse made of a 100% composition is done by industrial machines and will take about 20 minutes. The lead time for the new, strong fabrics made from the old garments takes about 14 weeks (Breuer, 2014, p. 62). A total transportation time of 22 hours (Google.de/maps, 2017) needs to be taken into account in order to transfer a part of the new created fabrics irst to the fabric warehouse in Diemen and afterwards a part to the Grenzlandfärberei in Germany for the ultimate dye.

Due to the short distance between the atelier in Diemen and the store in the centre of Amsterdam, the transfer of the prototypes takes only 16 minutes (Google.de/maps, 2017).

The process of measuring the customer with the help of our 3-D scanner, giving assistance by the individual customization of the blouse as well as the purchase of the garment occur within one day (exact: 3-D scanning 6 seconds (Sizestream, 2017), individual customisation by customer about one hour, online or in store purchase 10 minutes).

Life Cycle Assessment Additional Information - General Product Life Cycle: Explanation of the steps that differ from the production of garments out of Sea Wool The product life cycle for garments made from Tencel, Viscose or Organic Cotton have a reduced transportation rate. The reason behind this is the omission of the transportation route of the collected plastic and oyster shells to the fabric supplier. Thus, the general product life cycle has the following transportation routes and times: 1.Transportation from Ecological Textiles supplier to atelier in Diemen: two hours (Google.de/maps, 2017) 2. Transfer from Ecological Textiles supplier to Grenzlandfärberei: one and a half hours (Google.de/maps, 2017) 3. Transportation from Grenzlandfärberei to fabric warehouse next to the atelier: one and a half hours (Google.de/maps, 2017) 4. Transportation from atelier to store in the centre of Amsterdam: 16 minutes (Google.de/maps, 2017) 5. Transportation time to home address of the customer: differs per location 6. Transfer from store to Recover factory: 19 hours (Google.de/maps, 2017) 7. Transportation time from Recover factory to the fabric warehouse and afterwards to the Grenzandfärberei: in total 22 hours (Google.de/maps, 2017) As we have knitted as well as woven fabrics the process of producing new ibres and fabrics out of the old garments takes place either through unwinding the product (knits) or shredding the garment (wovens) before transforming them into new fabrics. The process of unwinding is carried out by industrial machines and takes about 10 minutes per garment. The process of shredding is also done by industrial machines and needs about 20 minutes per piece. The overall lead time for the new created fabrics out of the old garments is about 14 weeks (Breuer, 2014, p. 62). The whole process takes place at the Recover factory in Spain.

In this document, the life cycle of UNCAGED’s Oprah Blouse is assessed on its environmental impact, step by step. To ensure the validity of data and conclusions collected in this Life Cycle Assessment, UNCAGED uses the assessment procedures as standardized in the ISO 14040:2006 series for environmental management (International Standardizaion Organization, 2006).

Goal and Scope Deinition

Goal

Our goal for this lifecycle assessment is to map out all the steps of the lifecycle of one of our products, the Oprah Blouse, and to make an estimation of the individual impact of these steps on the environment. With this information, we wish to organize our product life cycle in such a way that our business processes are as environmentally friendly as possible.

Scope

To facilitate the life cycle assessment of the Oprah Blouse, we have decided to separate the life cycle of the product into ive phases (Lyngaas, K.). I. Pre-production Phase II. Production Phase III. Distribution Phase IV. Utilisation Phase V. Disposal Phase

Inventory Analysis

I. Pre-Production Phase Acquisition of raw materials

Fuel use, transport emissions causing air pollution

Transportation of raw materials to fabric manufacturer

Fuel use, transport emissions causing air pollution

Transformation of raw materials into yarn

Cleaners for raw materials, energy use, water use, waste materials, use of chemicals, water pollution

Transformation of yarn into fabric

Energy use, water use, waste materials, water pollution

Transportation of fabric to warehouse

Fuel use, transport emissions causing air pollution

Storing the fabric

Energy used for heat and lighting of warehouse

Manufacturing of prototypes

Energy and material use, waste due to incorrect prototypes

Transportation of fabric to dyeing factory

Fuel use, transport emissions causing air pollution

Dyeing of the fabric

Water use, use of chemicals, water pollution

Transportation to atelier

Fuel use, transport emissions causing air pollution

II. Production Phase Assembly and inishing of the Oprah Blouse

Energy use, water use (steam), material waste

III. Distribution Phase

Life Cycle Interpretation

Transport emissions causing air pollution and the use of fuel

Now that we have assessed the impact of every step in our production, it is time for us to make decisions that will help us reduce our environmental impact.

Packaging

Use of paper and/or plastic

Transportation to customer

Fuel use, transport emissions causing air pollution

It is essential for us to have a lot of partners to realize the production of our unique fabric named Sea Wool. However, more partners mean that there will be more transportation necessary to transform the raw material into the garment that will eventually hang in our customerâ&#x20AC;&#x2122;s closet. To reduce the use of fuel and emissions of transporting, we have decided to work with Ecological Textiles located in Roermond, the Netherlands (Ecological Textiles, 2005). As it is not possible to do every single step of production within the Netherlands, any other factory we work with is located in Europe, to at least keep the travelling distance to a minimum. Additionally, we try to deliver all our orders within the Netherlands with PostNLâ&#x20AC;&#x2122;s electrical vehicles (PostNL, 2017) to further reduce our emissions.

Throwing away packaging

Waste of paper and/or plastic

Energy Use

Maintenance: the washing, drying and ironing of the garment

Water use, energy use, bleach and detergent causing water pollution

Water use and pollution

Material Waste

Paper and plastic use

IV. Utilisation Phase

V. Disposal Phase Possibility that the customer will throw the garment away

Garment ends on landill

Transportation of used garment to shredding factory

Fuel use, transport emissions causing air pollution

Process of shredding and/or unwinding

Energy use

Life Cycle Impact Assessment

As a result of an analysis of every step of our production process, we have identiied 5 aspects that cause the most harm to the environment. 1. Transport emissions causing air pollution and the use of fuel 2. Energy use 3. Water use and pollution (use of chemicals or detergent) 4. Material waste 5. Paper and plastic use (packaging)

We are aiming to set up guidelines for our employees to help reduce our energy use as a company. This includes turning off machines when they are not in use and turning off lights or the heating system when it is not necessary. Even though these steps might be small, in a growing company these things can make a huge difference. We have decided to exclusively work with manufacturers that comply to the Global Organic Textile Standard (GOTS). Therefore, we trust that our manufacturers keep full records of the use of chemicals, energy, water consumption and waste water treatment (Global Organic Textile Standard, 2017).

Some phases in our production process generate waste, due to the fact that some raw materials, yarns or fabrics may not be up to our quality standards. We have therefore decided to collect all textile waste in containers and ship them to our fabric shredding factory together with the used garments, so that even our waste can have a second life. Packaging for clothing is often thrown away by the consumer, which we strive to avoid. Therefore, all of our garments will be delivered in a RePack packaging (RePack, 2017). The packaging is made out of recycled materials and can be reused at least twenty times. Additionally, the RePack service reduces CO2 emission by 80%. The customer can also request a RePack bag at UNCAGED for returning a garment at the end of its lifecycle.

Product Risk Assessment

Workplace Risk Assessment

Assessed by: Sanne Lejeune Date of assessment: November 17th, 2017 Signed:

Severity (S) 1. None 2. Minor injury 3. Major injury 4. Major injury/death 5. Multiple deaths

Potetial Risk/Hazard Toxic substances coming into contact with skin

Unsecured Compon ents Loose ties

Small necklines Drawstrings or wide sleeves getting caught

Probability of Occurence (P) 1. Extremely unlikely 2. Very unlikely 3. Unlikely 4. Likely 5. Very likely

Result of Occurrence The customer can absorb toxic chemicals, which will have an impact on her health. Children coming into contact with a garment might s wallow small, loose parts. Loose ties coming into contact with children might cause strangulation. Small necklines might cause choking Drawstrings hanging loose or wide garments might get stuck. Risk of injuries for customer.

Flammability of garment Unfunctionality of garment components Clothing defects

Risk to brand reputation and possibility of recall or inancial liability costs. Risk to brand reputation and possibility of recall or inancial liability costs.

Risk Level (R) Low Medium High

Severity (S) 1. None 2. Minor injury 3. Major injury 4. Major injury/death 5. Multiple deaths

Precaution to control risk

Protocol guideline 2a

Protocol guideline 2c

Protocol guideline 2b

Protocol guideline 2d Protocol guideline 2b

4 4

2 1

Protocol guideline 2e

Risk Level (R) Low Medium High

Result of Occurrence

Precaution to control risk

Protocol guideline 3c, 3e

Chemical explosion

Danger to visitors and employees Danger to visitors and employees

Protocol guideline 3b, 3e

Fire hazard Dangerous machines or tools

Potential hazard of injuries to the bodies of employees

Protocol guideline 3f, 3g, 3h, 3j

Bad hygiene

Emotional distress caused to employees

Protocol guideline 3a

Exposure to toxic agents

Danger to visitors and employees

Protocol guideline 2a, 3e, 3k

Exposure to noise

Potential hazard of injuries to the bodies of employees

Protocol guideline 3i

Crime

Loss of stock or equipment

Protocol guideline 3d and 3e

Natural disasters

Potential hazard of injuries to the bodies of employees

Protocol guideline 3l

Instability of building

Potential hazard of injuries to the bodies of employees

Protocol guideline 3l

Slipping and tripping

Potential hazard of injuries to the bodies of employees

Protocol guideline 3f

Protocol guideline 1a, 1c and 1d

Protocol guideline 1b, 1e and 2e.

Potetial Risk/Hazard

Probability of Occurence (P) 1. Extremely unlikely 2. Very unlikely 3. Unlikely 4. Likely 5. Very likely

Risk Management and Monitoring Protocol This document represents and agreement between [CLIENT] and UNCAGED. The agreement was made on [DATE] and enters into effect immediately. As a company, we feel obliged to guarantee the safety of the products we offer to our consumer, as well as the safety of the locations where we produce those products. UNCAGED has therefore designed a risk management and monitoring protocol to reduce possible risks for our consumer, employees and the environment and to make sure that the adherence to the protocol is monitored. We expect all of our suppliers and employees to maintain the standards we have set and sign this protocol. Any dispute to this agreement will be mediated in accordance with all federal and state laws. UNCAGED is following the International Organization for Standardization’s standards for the clothing industry (International Standardization Organization, 2017) to avoid any potential risk. ISO’s standards include the standardization of test methods, terms and deinitions and guidance on health and environmental issues. The standards we wish our manufacturers to conform to include:

ISO Norms – Product Risks

a. b.

ISO 6940:2004 – burning behaviour of textile fabrics. ISO 8559-1:2017 – principles of measurement and how to create the correct size and shape proiles of all garment types. c. ISO 9240:1992 – design of apparel for reduced ire hazard. d. ISO 10528:1995 and ISO 12138:1996 – the effect of repeated commercial and domestic laundering on lammability of textile fabrics. e. ISO 59.080.30 – methods for assessing and analyzing garments on possible defects such as dimensional change, water resistance, thickness, seam tensile properties, color fastness, etc. As an addition to the ISO norms, UNCAGED has developed a list of additional norms that are crucial to minimize the risk of our products:

Additional Norms – Product risks

a. To avoid the use of toxic substances and move towards a toxic-free future, we have joined Greenpeace’s Detox movement (Greenpeace, 2011) towards a future where dangerous chemicals are no longer produced, used and released into our environment. b. While designing our products, we bear in mind that no parts such as strings are hanging loose, or no sleeves can get caught in handles. c. Quality checks in our atelier should assure that all components of our garments are properly secured, to for example avoid choking in case of contact with children. d. We use a neck stretch minimum template (HCL Asia Ltd, 2003) to avoid strangulation e. To assure the general quality of our product, quality checks take place after every stage of our production phase.

It is very important that the products that we distribute are safe, but it is equally important that the places where we produce them provide safety to our employees. UNCAGED uses the following ISO norms to ensure this:

ISO Norms– Workplace risks

a. ISO 13.100 – requirements and tests for industrial hygiene b. ISO 13.220 – ire protection c. ISO 13.230 – explosion protection d. ISO 13.310 – protection against crime e. ISO 13.320 – requirements and tests for alarm and warning systems for public work areas. f. ISO 13.340 – safety measures, such as protective equipment as well as protection against falling and slipping. g. ISO 59.120 – textile machinery requirements h. ISO 10821:2005 – safety requirements applicable to industrial sewing machines, units and systems used in the clothing industry. i. ISO 11690-3:1997 – recommendations concerning the use of noise prediction as an aid for noise control. j. ISO/IEC guide 25 – requirements for cutting tools, industrial machines, hand-held tools and surface treatments. k. ISO/TC 146/SC2 – requirements and test methods for a good air quality in the workplace. l. ISO 22.301 – helps enhance resiliency and response in the event of operational disruptions, ranging from a large-scale natural catastrophe to an act of terror.

Working Conditions

We feel like norms for the workplace don’t cover all risks an employee faces on a daily basis. We aim to give our employees the working conditions they deserve, which is why we chose to adhere to the legislated standards of the European Comission (De Raad van Europese Gemeenschappen, 1989). These legislated standards help us meet with WELLMADE’s eight most important working conditions: a. No forced labour b. No discrimination and harassment c. No child labour d. The right to organize e. Fair wages f. No excessive overtime g. Health and safety guarantee h. Legal employment

Incoterms

Of course our risks don’t stop at our workplace. During the transport of our fabric and inished goods, our company faces a lot of risks. Therefore, we have chosen to work with the following incoterm (Transport Warehousing Customs, 2010) to make sure the responsibility of all parties involved is clear: FCA – Free Carrier The reason we have decided to work with the FCA conditions, is because we feel like the responsibilities are equally divided between the manufacturer and us. In the case of FCA, the manufacturer will be responsible for the dispatch note, possible export documents and the loading of the ordered products into our trucks. UNCAGED will carry responsibility for the organization of the transport and the 15 insurance of the products.

DEMAND CALCULATIONS

Monitoring Process

Just setting up guidelines and stating norms for avoiding risks won’t do the job. For UNCAGED, it was very important to appoint appropriate employees to keep up the risk management and monitor whether one complies with our protocol. In the table below, you can ind the responsible people for all above mentioned tasks and the timing of their tasks.

De a d Calculaio Amount of women Age Group Amount of Women 47-55 years old 1.148.000 56-61 years old 691.000 Total amount of women: 1.148.000 + 691.000 = 1.839.000 htps:// . s. l/ l- l/ isualisaies/ e olki gspi a ide

Responsible

Task

Timing

Textile Manufacturer

1a, 1c, 1d, 1e, 2a

Before delivery to UNCAGED

Head Patternmaker

1b, 2e

Every order

Style group ‘Verzorgd’: 15% of all women htp:// .ke jekla i de ode. l/pages/

Head Designer

2b, 2d, 2e

During and after design process

0,15 x 1.839.000 = 275.850 women

Head Seamstress

2c, 2e

When garment is inished

Shopping behaviour

Workplace Safety Responsible

3a until 3l

Weekly

Passio ate shoppe s o e : % htps:// .i etail. l/Uploaded_iles/)elf/ i kelged ag-fashio -deel- - e a de i g- i kelged ag.

Employee Health and Safety Responsible

4a until 4h

Monthly

/V ou /Sijlg oepe /Ve zo gd/Sijldei iie.ht l

.pdf

0,10 x 275.850 = 27.585

Willingness to buy

7. Veriication We, the undersigned, do hereby accept this contract as stated above:

Client: Date:

Style Group

Agent: Date:

Possi ilit that the ill u is % koop e eidheid ee ste k a taal htp://statli e. s. l/StatWe /pu li aio /?DM=SLNL&PA= PC‘ 0,04 x 27.585 = 1.103

Average Daily Demand If the

ould all u o e, di ided o e the ea that ould e .

= pe da

The i st step to a ds e a i i g the i a ial ia ilit of ou o pa as the dei i g of ou dail de a d. I stead of si pl looki g at all o e o e , e ha e de eased the ase of ou de a d to t o age g oups e feel a e ost ep ese tai e of ou usto e : ea s old a d ea s old. Ne t, as ot all o e of this age g oup ill e d a to the st les e ofe , e ha e dei ed ou usto e i te s of a st le g oup. I Dut h te i olog , ou st le g oup ould e alled Ve zo gd ke jekla i de ode. l , hi h a e ha a te ized as a o a ho is fe i i e, p efe s good ualit ite s a d puts a lot of i e a d efo t i he appea a e see igu e… % of all o e i the Nethe la ds a e pa t of this st le g oup. Ne t step as to look at the shoppi g eha iou of o e , a d ha e fo used o the p oile of the passionate shopper. The passionate shopper o iousl lo es shoppi g a d ote e e goes shoppi g spo ta eousl – it is ki d of a ho fo he . We feel like the passionate shopper ould e ost likel to get i tou h ith e o epts su h as ou a d, as the al a s see to e o the hu t fo e thi gs. % of o e o e a e lassiied as passio ate shoppe s. I etail, The last thi g fo us to i d out as ho u h of those o e alki g i to ou sto e o o si g ou o li e shop ill a tuall u so ethi g. Fo this, e used o su e t ust staisi s a d fou d out hat the usto e s ge e al illi g ess to u is: %. s. l, The o i aio of these pe e tages ith ou pote ial a ket ought us to a de a d of ga e ts pe da .

SAFETY STOCK CALCULATIONS

SAFETY STOCK

.  Putti g all the i for atio i a graph to ﬁ d R.O.P. a d R.O.L.

.  What is your a erage daily de a d?

Average Daily Demand If they would all buy once, divided over the year that would be 1.103/365 = 3 per day Further information on demand calculations can be found on the demand page in the appendix. .  Ho high is your ser i e le el? 90% = 1.28 service factor .  Where is your production taking place? What kind of effect can this have on lead time + supplier uncertainty? direct information from the suppliers themselves Germany Diemen, Bocholt / Netherlands Roermond Lead Time: 5 days dyeing process + 1 day transport = 6 days +Short distance, low eco cost, high efficiency and quick reaction -issues with dying, transport, not prepared for upcoming demand 2 days .  Cal ulate your safety sto k a + A =Average demand x supplier uncertainty A= 3x2= 6 B= Standard deviation of demand (always 20) x service level factor x root(LT +SU) B= 20x 1.28 x √6 + 2 20x 1.28 x 2.83= 72.45 A+B= 6 + 72.45= 79 pieces Fabric Pieces Meters Percentage Tencel 13 26 43.4% Viscose 5 10 16.7% Organic Wool 5 10 16.7% Sea Wool 7 14 23.3% =30meters =60 meters =100% Transformation into fabric roles (79 piecesx2m= 158m) Fabric meter Tencel 158m x 43.4% = 68.57m Viscose 158m x 16.7% = 26.39m Organic Wool 158m x 16.7% = 26.39m Seal Wool 158m x 23.3% = 36.81m

Reorder Level 8 days á 3 sold items 8x3= 24 items 24x2m= 48m 48m/19.63m= 3 3 roles + 10 roles safety stock = 13 roles reorder level

.  What does this all ea ? – discuss the meaning with your group! we always have to have a safety stock of 79 items at hand. This requires us to keep the matching amount of fabrics in our atelier!

Fabric Roles 68.57m / 19.63= 4 26.39m / 19.63= 2 26.39m / 19.63= 2 36.81m / 19.63= 2 =10 roles per bi-annual order

EOQ STOCK & STOCK STRATEGY CALCULATION

Finding costs and calculating the Economic Order Quantity 1.

EOQ STOCK & STOCK STRATEGY CALCULATION

What are your order cost per order?

Amount of weeks per half year is 52/2=26 21x26= 546 pieces per half year sold

Per km = €1,05 (detransporters.nl, 2017) From us to Bocholt and back 302 km (Google Maps, 2017) 1,05 x 302 = €317,10 = C

546 pieces + 79 pieces safety stock Bi-Annual Material Demand 546 piecesx2m= 1092m 1092m/ 19.63m= 56 roles Fabric meter Tencel 1092m x 43.4% = 473.93m Viscose 1092m x 16.7% = 182.36m Organic Wool 1092m x 16.7% = 182.36m Seal Wool 1092m x 23.3% = 254.44m

We have to order 3 orders per day, which means 21 orders per week. Amount of weeks per half year is 52/2=26 21x26= 546 pieces per half year sold How much fabric do we buy? Average costprice is €82.2 fabric , includes transport 546 pieces x 82.21 = €44 886.66 per half a year

Bi-Annual Material Demand Safety stock 79 piecesx2m= 158m Fabric meter Tencel 158m x 43.4% = 68.57m Viscose 158m x 16.7% = 26.39m Organic Wool 158m x 16.7% = 26.39m Seal Wool 158m x 23.3% = 36.81m

(Handymath, 2017). 2.

What are your holding cost per year? Orders per year: 3x365= 1095 pieces WHOLE BUILDING Rent + service cost: 200m² x 135€ = 26.000€ per year Electric, Gas, Water= 2250€ per month 2250€ x 12= 27.000€ (essent.nl,2017) 26.000€+27.000€= 53000€ PF= 53000€/ 1095 pieces= 48.40€ _________ ONLY FOR THE STORAGE Rent & Service Cost 20sqm 20m²x 135€= 2700€ per year PF= 2700€/1095 pieces= 2.47€ (funda.nl.2017)

How much is your annual demand? 3 pieces x 365 days= 1095 pieces per year

How much is your EOQ

How often will you order per year? Twice We have to order 3 orders per day, which means 21 orders per week.

Fabric Roles 473.93m/ 19.63= 25 182.36m/ 19.63= 10 182.36m/ 19.63= 10 254.44m/ 19.63= 13 =58 roles per bi-annual order

Fabric Roles 68.57m / 19.63= 4 26.39m / 19.63= 2 26.39m / 19.63= 2 36.81m / 19.63= 2 =10 roles per bi-annual order

How will the order size affect your transport cost or holding cost? Transport cost: bigger cost means more trucks needed so bigger transport / eco-cost Holding Cost: bigger order size needs more storage space, however the warehouse is the same and the amount of orders rises then your holding cost is lower

EOQ= √2��/�� EOQ= 2x 317.10 x1095/ 2.47 EOQ= 531 531 pieces x 2m= 1062m 1062m/19.63m= 55 fabric roles

SALES FORECAST

SALES FORECAST REVENUE DISTRIBUTION

ANNUAL FORECAST PRODUCT Pieces in Turnover GROUP collection speed category Blazer 5 2

Pieces

Blouses Sweater Dress Pants

Blazer Blouse Sweater Dress Pants

7 15 13 9 =49

% of collection

Annual orders

ASP

Annual Revenue

8.8%

304€

98x304€=29792€

7 30 39 27 =113

6.2% 26.5% 34.5% 24% =100%

68 292 380 262

139€ 141,50€ 217,50€ 205€

68x139€= 9452€ 292x141,50€=41318€ 380x217,50€=82650€ 262x205€=53710€ =216 922€

acc. turnover speed

1 2 3 3

Safety stock 7 5 21

Cycle Stock 49 34 155

28 19

189 110

Please ind exact calculations of the monthly distribution in the attached Excel ile: M2di_Group2_ FairTalk_SalesForecast

MONTHLY FORECAST per PRODUCT GROUP Monthly revenue excluding VAT Annual revenue excluding VAT Monthly Gross Margin Annual Gross Margin Annual VAT

= 17467.85€ = 209 614.20€ =10561.36€ 60.46% =126736.32€ 60.46% = 55 720.44€

VAT Calculations Product Group Blazer Blouse Sweater Dress Pants Sum

Monthly VAT 21% 617.97€ 211.92€ 898.91€ 1768.57€ 1146€ 4643.37€

Annual VAT 21% 7415.40€ 2543.04€ 10 786.92€ 21222.84€ 13752€ 55 720.44€

TRUE COST CALCULATIONS

TOTAL ECO COST CALCULATION

INSURANCE

SMALL Sprinter takes 15l/100km. 15l 348 g/km CO2

Tota Value= Avg. Cost Price x Pieces ordered Insurance= 60ct per 100€

The total eco-cost= sum of human health, ecosystems resource depletion and global warming are 0,135€/kg CO² equivalent

Cost price = 82.21€ Total Value per order 82.21€ x 546pieces =44 886.66€ Insurance information 60ct per 100€ 0,60€ x 44 886.66€/ 100 = 69. € transport cost 0,17€ x 1178 pieces = 200.26€

PRE-PRODUCTION PLASTIC Delft, Netherlands- 180km 62kg CO²x 0,135€/kg CO²=8,10€

180km x 348g/km CO²=62.640CO²

62kg

Roermond Netherlands- 173km 60kg CO²x 0,135€/kg CO²=8,46€

173km x 348g/km CO²=60.204CO²

DYEING

151km x348 g/km CO²=52.548CO²

FABRIC

Bocholt Germany- 151km

60kg 53kg

53CO² x 0,135€/kg CO²=7,10€ UK, Leicester- 728km 728km x 348 g/km CO² =253,344g CO² 235kg CO² x 0,135€/kg CO²=34,20 € LABELS

BUTTONS

Bergamo, Italy - 1110km 386kg CO²x 0,135€/kg CO²=52,15€

Total value 44 886.66€ + 269.32€ = 45 155.98€ Total insurance on both (cost value and transport) 100€ 0,60€ 1€ 0,006€ 45 155.98€ 45 155.98€ x 0,006€ = 270.94€ ( total cost for insuring my order)

235kg

1110km x 348g/km CO²=386,280CO²

386kg

POST-PRODUCT RECOVER

Banyeres de Mariola,Spain - 2012km 2012km x 348g/km

CO²=700.176CO² 700kg 700kg CO²x 0,135€/kg CO²=94,52€ per load Average Cost| 8.10€ + 8,46€+ 7,10€ +34,20 €+ 52,15€ +94,52€=204,53€ per order

MATERIAL PER TRUCK Fabric Roll = 1963.49cm 1963.49cm/100 19,63m 91 garments x2m = 182.5m (average need of fabric per month) 182.5m/ 19.63m= 10 rolls of fabric to cover the monthly need Truck Length: 3m | Truck Width: 1,3m| Truck Height: 1,9m Volume: 3mx1,3m x 1,9m= 7,41m³ Volume Roll= 1,5m x 0,2m x0,2m= 0,06m³ 7,41m³/ 0,06m³ = 123,5 fabric rolls fit in one sprinter 123,5/ 10= 12.35 12x the coverage of the monthly need 12 x10= 120 one truck load equals 120 fabric roles 120 fabric roles x 19.63m= 2355.6m of fabric 2355.6m/2m avg garment = 1178 garments for one load 204,53€ Total Eco Cost/ 1178 garments = 0,17€ per garment (eco-cost per garment)

PROFIT LOSS ACCOUNT

Profit & Loss Account Salaries According to our daily demand, we sell 3 garments a day in the first year. Due to the full attention and quality checks that are necessary for our garments, we are assuming that we need one seamstress per garment per day. Average gross salary for a seamstress in the Netherlands: €1.776 per month (Loonwijzer, 2017) Salary per year for a seamstress: 12 x €1.776 = €21.312 Year 1 Year 2

Year 3

3 garments per day, so 3 fte of €21.312 per year Total salaries: 3 x €21.312 = €63.936 3,5 garments per day, so 3,5 fte of €21.312 per year Total salaries: 3,5 x €21.312 = €74.592 4 garments per day, so 4 fte of €21.312 per year Total salaries: 4 x €21.312 = €85.248

https://loonwijzer.nl/home/salaris/salarischeck?job-id=7533010000000#/

Rent With the use of Funda (SOURCE TO FUNDA) we found out that the average price per year for a showroom with space for an atelier of 100m2 will be €30.000.

Year 1 Year 2 Year 3

0,03 x €216.922 = €6.500 0,03 x €253.799 = €7.600 0,03 x €291.869 = €8.750

https://www.thebalance.com/how-much-should-we-spend-on-marketing-our-retailbusiness-2890494

Startup Costs As startup costs, we considered costs for registering at the chamber of commerce as well as research costs and possible costs of a solicitor, which bought us to a startup cost of €1.000. https://www.mkbservicedesk.nl/8079/welke-kosten-maak-als-bedrijf-begin.htm

Insurance For insurance, we chose the Business Owner’s Policy Insurance at Insureon (SOURCE), which will protect our business by covering risks such damage to our equipment, furniture and other business property, as well as lawsuits over customer injuries, property damage or certain advertising injuries. For the retail sector, the average annual cost of this insurance is $937,71, which, converted to euros, will be €796,37.

https://www.fundainbusiness.nl

http://www.insureon.com/products/business-owner-policy https://retail.insureon.com/resources/cost/clothing-store-insurance

Electricity and Water

Depreciation

To find out our costs for electricity and water, we spoke to the physicist Patrick Lejeune who currently works at the Dutch energy supplier Essent (SOURCE FOR ESSENT WEBSITE). Taking the size of our atelier and showroom into account, his calculations came to a cost of €5.500 per year.

Machine 3D Scanner

Value €25.000

Useful life 4 years

Residual Value €5.000

Sewing Machine

3 x $999 = $2.997 = €2.547,29 3 x $600 = $1.800 = €1.529,91 $2.499 = €2.124,02 $1.299 = €1,104,08

10 years

3 x €100 = €300

16 years

€0

8 years

€300

16 years

€100

https://www.essent.nl/content/particulier/index.html Sewing Bench

Administration There is a possibility to either get a bookkeeper or an accountant, depending on the tasks you would like to outsource. As most of our founders have an economic background, we decided to get a bookkeeper that will support us when necessary and mainly do our (salary) administration and tax return. This will cost us about €1.500 per year.

Steam Generator Iron 3 Thread Overlock

Depreciation cost per year . − . =€ . .

−

. .

, ,

=€

=€ −

−

=€ =€

https://www.mkbservicedesk.nl/8079/welke-kosten-maak-als-bedrijf-begin.htm https://www.businessnewsdaily.com/7114-startup-failure-reasons.html

Total depreciation cost per year: €5.000 + €224,73 + €95,62 + €228 + €62,76 = €5.611,11

Marketing

3D Scanner: Sizestream Sewing machine https://www.sewingmachinesplus.com/singer-s16.php

In general, a retail store will spend between 3 and 5% of sales on marketing (SOURCE). We 26therefore chose to spend 3% of our turnover on marketing.

PROFIT LOSS ACCOUNT

KEY RESOURCES OPENING BALANCE SHEET

Opening Balance Sheet

Sewing table https://www.sewingmachinesplus.com/janome-universal-table.php Steam Generator Iron https://www.sewingmachinesplus.com/magic-is6.php 3 Thread Overlock https://www.sewingmachinesplus.com/smp-con793-2.php

Machines Machine 3D Bodyscanner Sewing Machines

Cost €25.000 3 x $999 = $2.997 = €2.547,29 3 x $600 = $1.800 = €1.529,91 $1.299 = €1,104,08 $2.499 = €2.124,02

Loan Payment Sewing benches

Type of loan Loan size ING €20.000 Zakelijke Lening Microkrediet €10.000

Interest Rate 4%

Timespan 5 years

Loan Payment per year € . =€ .

3 Thread Overlock Steam Generator Iron

8,75%

€

10 years

=€ .

Total Cost of Machines = €25.000 + €2.547,29 + €1.529,91 + €1,104,08 + €2.124,02 = €32.305,30

As a result, our annual loan payment will be €4.000 + €1.000 = €5.000

Interest Interest costs ING Zakelijke Lening Year 1 , �€

=€

Year 2 , �

− .

Year 3 , �

=€

− .

=€

3D Body Scanner: Sizestream Other machines: Sewing machine https://www.sewingmachinesplus.com/singer-s16.php Sewing table https://www.sewingmachinesplus.com/janome-universal-table.php Steam Generator Iron https://www.sewingmachinesplus.com/magic-is6.php 3 Thread Overlock https://www.sewingmachinesplus.com/smp-con793-2.php

Inventory Interest costs ING Microkrediet Year 1 , �

=€

Year 2 , �

Total annual interest costs Year 1 Year 2 € +€ =€ . €

To of our we consulted Contura Plandesign GmbH, an interior design To find find the outcost the cost ofiventory our inventory, we consulted a …. Agency (SOURCE ANNIKA) company for an offer. (Appendix, page 30)

− .

=€

Year 3 , �

Stock .

− .

=€

Year 3 +€

=€ .

€

+€

= .

ING SOURCE https://www.ing.nl/zakelijk/financieren/lenen-voor-een-investering/zakelijkelening/index.html##kosten

According to our calculations, we will need 58 rolls of fabric in stock to satisfy our demand. Additionally, we need 10 rolls of safety stock. This means that our total stock consists of 68 rolls of fabric. Fabric Prices Tencel Viscose Lining Viscose Blouse/ Dress Recycled Wool Sea Wool Velvet

11,35€/m 8,50€/m 10,00€/m 50,60€/m 43,35€/m 15,95€/m

Microkrediet source https://qredits.nl/krediet/

Corporation Tax We worked with a corporation tax of 20%, as the Dutch government has set this percentage for companies who have a taxable income that is lower than €200.000; https://www.belastingdienst.nl/wps/wcm/connect/bldcontentnl/belastingdienst/zakelijk/w inst/vennootschapsbelasting/tarieven_vennootschapsbelasting

Average fabric price per meter: (€11,35 + €8,50 + €10 + €50,60 + €43,35 + €15,95 ) / 6 = €23,27 Amount of fabric that fits on one roll: 19.65 m The average price per roll of fabric is €23,27 x 19.65 m = €457,20 The value of our stock will therefore be 68 x €457,20 = €31.090

Cash We have decided to put €2.500 cash on our balance sheet as a backup budget, for when any unexpected costs come up that we need to pay on the short term.

KEY RESOURCES OPENING BALANCE SHEET

INVENTORY offer from Contura Plandesign GmbH, Germany

SOURCE LIST HAVARD STYLE

Harvard Style Reference List 1. Introduction Hallissey, V. (2017). Boomers Rising: Ready for Adventure. [online] Stylus: Innovation Research & Advisory. Available at: http://www.stylus.com/yqmwbd [Accessed 5 Sep. 2017]

2. Customer profile Author unknown. (2002). Baby boomers increasingly victims of age discrimination. [online] Online Athens. Available at: http://onlineathens.com/stories/032802/new_0328020004.shtml#.WjYn3COZPj A [Accessed 20 Sep. 2017] Author unknown. (2014). In 2019 helft van volwassenen 50-plusser. [online] CBS. Available at: https://www.cbs.nl/nl-nl/nieuws/2014/38/in-2019-helft-vanvolwassenen-50-plusser [Accessed 9 Dec. 2017] Author unknown. (2016). Leeftijdloos verleiden. 1.st ed. [pdf] Amsterdam: ING. Available at: https://www.ing.nl/media/ING_EBZ_vergrijzing-als-kans_tcm162113597.pdf [Accessed 4 Dec. 2017] Author unknown. (2017). Vermorgen 65-plussers in twintig jaar fors gestegen. [online] Nu.nl. Available at: https://www.nu.nl/geldzaken/4518771/vermogen65-plussers-in-twintig-jaar-fors-gestegen.html [Accessed 20 Oct. 2017] Brady, B. (2012). Introducing Boomers: Marketing’s Most Valuable Generation. 1st ed. [pdf] New York: Nielsen. Available at: http://www.seattlemediamaven.com/wpcontent/uploads/2014/12/Boomers__Marketings_Most_Valuable_Generation.pdf [Accessed 15 Sep. 2017] Gallup, I. (2015). A Very Fast-Growing Group of Entrepreneurs: People Over 50. [online] Gallup.com. Available at: http://news.gallup.com/businessjournal/181352/fast- growing-groupentrepreneurs-people.aspx [Accessed 12 Sep. 2017] Mahler, S. (2014). Generatieverschillen in consumentenreacties op cause-related marketing. [pdf] Amsterdam: Universiteit van Amsterdam. Available at: http://sjorsmahler.com/wp-content/uploads/2014/11/Mahler__Sjors.pdf [Accessed 4 Dec. 2017]

4. Value proposition

Auty, S. and Elliot, R. (1998). Social Identity and the Meaning of Fashion Brands. [online] Acrwebsite.org. Available at: http://acrwebsite.org/volumes/11145/volumes/e03/E-03 [Accessed 1 Oct. 2017] Bulygo, Z. (2014). Infographic: Why Baby Boomers Need to be Included in Your Marketing Strategy. [online] Available at: https://blog.kissmetrics.com/babyboomers-internet-usage/ [Accessed 15 Sep. 2017]

5. Customer relationships McPherson, M. (2016). Millennials vs. Baby Boomers: Retail Buying Behaviors Revealed. [online] Available at: https://blogs.oracle.com/cx/commerce/millennials-vs-baby-boomers-retailbuying-behaviors-revealed [Accessed 15 Dec. 2017]

6. Collection Chico’s. [online] Available at: https://www.chicos.com/store/ [Accessed 13 Sep. 2017]. Fame and Partners. [online] Available at: https://www.fameandpartners.com/ [Accessed 13 Sep. 2017]. Maxmara. [online] Available at: https://nl.maxmara.com [accessed 13 Sep. 2017] Synchrony Financial. (2014). Balancing Multi-Generational Retail Strategies. [online] Available at: https:// www.synchronyfinancial.com/8131_SYN_MultiGenWP.pdf [Accessed 17 Nov. 2017]

7. Corporate Responsibility De Raad van Europese Gemeenschappen, (1989). Veiligheid en gezondheid op het werk – algemene regels. [online] Eur-lex. Available at: http://eurlex.europa.eu/legal-content/NL/TXT/?uri=LEGIS- SUM:c11113 [Accessed 15 Nov. 2017] Distancefromto.net. (2017). Distance Between Cities Places On Map Distance Calculator. [online] Available at: https://www.distancefromto.net/ [Accessed 16.09. 2017]. Global Prana. (2017). Recycled Wool. [online] Available at: http://global.prana.com/about-us/sustainability/recycled-wool.html [Accessed 14 Dec. 2017)]

relationship-management/#2 [Accessed 28 Nov. 2017] International Standardization Organisation, (2017). 61 â&#x20AC;&#x201C; Clothing Industry. [online] Available at: https:// www.iso.org/ics/61/x/ [Accessed 14 Nov. 2017] Lenzing Fibers. (2017). Botanic Fibers: Lenzing Viscose. [online] Available at: http://www.lenzing-fibers.com/lenzing-viscose/ [Accessed 2 Nov. 2017]. Lenzing Fibers. (2017). Botanic Fibers: Tencel. [online]Available at: http://www.lenzing-fibers.com/tencel/ [Accessed 2 Nov. 2017].

McCormick, M. (2016). Advantages & Disadvantages of Email Marketing. [online] Available at: http://smallbusiness.chron.com/advantagesdisadvantages-email-marketing-3475.html [Accessed 28 Nov. 2017] McPherson, M. (2016). Millennials vs. Baby Boomers: Retail Buying Behaviors Revealed. [online] Available at: https://blogs.oracle.com/cx/commerce/millennials-vs-baby-boomers-retailbuying-behaviors-revealed [Accessed 15 Dec. 2017]

Lyngaas, K. (2015). A Product Lifecycle Approach to Sustainable Fashion Design (LCA). [online] Buddha Jeans. Available at: http://buddhajeans.com/2014/05/17/a-product-life-cycle-assessmentapproach-to-sustainable-fashion-design/[Accessed 14 Nov. 2017] Mountain Designs. (2017). SeaWool. [online] Available at: http://www.mountaindesigns.com/product-technologies/seawool [Accessed 2 Nov. 2017]. Phil & Lui (2017). Why we think organic? [online] Available at: http://phil-andui.de/responsiblity/sustainability/ [Accessed 3 Nov. 2017].

9. Financial Viability

Recover. [online] Available at:: http://www.recovertex.com/ [Accessed 14 Nov. 2017].

Author unknown. (2017) 3D Scanning Market By Type â&#x20AC;&#x201C; Global Opportunity Analysis and Industry Forecast 2014-2021. [online] Allied Market Research. Available at: https://www.alliedmarketresearch.com/3D-scanning-market [Accessed 1 Oct. 2017]

RePack. (2017). Available at: https://www.originalrepack.com [Accessed 2 Nov. 2017].

Author unknown. (2017) Welk krediet van Qredits past bij jou? [online] Qredits. Available at: https://qredits.nl/krediet/ [Accessed 13 Dec. 2017]

Synchrony Financial. (2015). How millennials and baby boomers shop? Business Insider. [Online] Available at: http://www.businessinsider.com/sc/how-millennials-and-baby-boomers-shop2015- 4?international=true&r=US&IR=T. [Accessed 16 Sep. 2017].

Author unknown. (2017) Zakelijke Lening. [online] ING. Available at: https://www.ing.nl/zakelijk/financieren/lenen-voor-een-investering/zakelijkelening/index.html#/kosten [Accessed 13 Dec. 2017]

The Ocean Clean Up (2017). [online] Available at: https://www.theoceancleanup.com/ [Accessed 2 Nov. 2017].

Burrows, V. (2017). Why do we need 3d body scanning? [online] Available at: http://3d-a-porter.com/why-do-we-need-3d-body-scanning/ [Accessed 3 Oct. 2017].

8. Marketing Bulygo, Z. (2014), Infographic: Why Baby Boomers Need to be Included in Your Marketing Strategy. [online] Available at: https://blog.kissmetrics.com/babyboomers-internet-usage/ [Accessed 15 Dec. 2017] Info Entrepreneurs. (2017). Customer Relationship Management. [online] Available at: http://www.infoentrepreneurs.org/en/guides/customer-

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