Little Ms & Mr
Table of Contents
Company Mission& Value Statement
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Product Categories
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Our Goal& Commitment
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Code of Conduct
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External Monitor
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Internal Monitor
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Target Market
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Consumer Profile
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Products
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Supplier Analysis
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Strategy Publication
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Strategy Conclusion
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Line Plan& Units Breakdown
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Cost Sheet
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Country Ranking
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Supplier Ranking
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Conclusion
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Mission & Value Our company specializes in and offers one of the most complete lines of quality handpicked children clothing. We want our clothes to make an impact for parents all over the world. We offer premium made and formal childrenswear for children ages 1-6. We want our clothes to be a reflection of your child’s personality, while showcasing an elegant and fashionable side.
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Product Categories Classic Timeless Effortless Elegant Formal
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Girls:
Formal Dress/ Skirt
Boys:
Formal Suits/ Shirt/ Pants
Price Range $35-$200
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Our Commitment The Little Miss and Mister Code of Conduct (the “Code of Conduct�) sets out standards for Little Miss and Mister to uphold in relation to its own employees and for its supply chain partners to uphold in relation to their employees. In terms of the supply chain, Little Miss and Mister requires agreement to the Code of Conduct from all those involved in its extended supply chain, including all Business Associates.
Our Goal The goal of our strategy development overall is to make a profit. We are also concerned about ethics. We are looking to balance profitability with social compliance.
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Code of Conduct
Freedom of Association and Collective Bargaining Employers shall recognize and respect the right of employees to freedom of association and collective bargaining. Health, Safety and Environment Employers shall provide a safe and healthy workplace setting to prevent accidents and injury to health arising out of, linked with, or occurring in the course of work or as a result of the operation of employers’ facilities.
Employment Relationship Employers shall adopt and adhere to rules and conditions of employment that respect workers and, at a minimum, safeguard their rights under national and international labor and social security laws and regulations. Nondiscrimination No person shall be subject to any discrimination in employment, including hiring, compensation, advancement, discipline, termination or retirement, on the basis of gender, race, religion, age, disability, sexual orientation, nationality, political opinion, social group or ethnic origin. No Harassment or Abuse Every employee shall be treated with respect and dignity. No employee shall be subject to any physical, sexual, psychological or verbal harassment or abuse. No Forced Labor There shall be no use of forced labor, including prison labor, indentured labor, bonded labor or other forms of forced labor. No Child Labor No person shall be employed under the age of 15 or under the age for completion of compulsory education, whichever is higher.
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Hours of Work Employers shall not require workers to work more than the regular and overtime hours allowed by the law of the country where the workers are employed. The regular work week shall not exceed 48 hours. Employers shall allow workers at least 24 consecutive hours of rest in every sevenday period. All overtime work shall be consensual. Compensation Every worker has a right to compensation for a regular work week that is sufficient to meet the worker’s basic needs and provide some discretionary income. Employers shall pay at least the minimum wage or the appropriate prevailing wage, whichever is higher, comply with all legal requirements on wages, and provide any fringe benefits required by law or contract. Supply Chain In addition to the supply chain for finished goods, we also aware of the importance of its raw material supply chain and the sustainability of raw material suppliers. Our key raw materials include cotton, leather and cashmere, which are sourced from suppliers globally. Environmental We treated the environmental issue as a human right issue. People cannot live without fresh air and clean water. We will seek for any opportunities to create value for people, communities and our business through environmental efforts.
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External Monitor
Since 1999, FLA has helped improve the lives of millions of workers around the world. As a collaborative effort of socially responsible companies, colleges and universities, and civil society organizations, FLA creates lasting solutions to abusive labor practices by offering tools and resources to companies, delivering training to factory workers and management, conducting due diligence through independent assessments, and advocating for greater accountability and transparency from companies, manufacturers, factories and others involved in global supply chains. The FLA Workplace Code Conduct defines labor standards that aim to achieve decent and humane working conditions. The Code’s standards are based on International Labor Organization standards and internationally accepted good labor practices.
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The safety of children’s textiles and apparel is highly regulated by various agencies worldwide and not only requires rigorous safety testing to ensure compliance to standards, but also comprehensive performance testing to meet consumer expectations. Intertek’s extensive network of more than 1,000 labs and offices in 100 countries offers both local and global support for children’s textile testing and apparel testing needs. Intertek helps consumer ensure their children’s apparel meets standards such as the US Consumer Product Safety Improvement Act (CPSIA) , EU REACH, Canada Consumer Product Safety Act (CCPSA) , China’s GB standards , Washington State Children’s Safe Products Act and California’s Proposition 65 .
Chemicals Flammability Labeling Mechanical hazards Attachment, tear, tensile and seam strength 13
Internal Monitor Unannounced Quarterly Visits Workplace Standards Keeping our partners in line with our values and policies. Identify potential problems. We can work with our business partners to address issues of concern as they arise.
Employment Standards
We will measure how our internal monitors are successful by sending our vendor a list of compliance standards and the repercussions if they don’t comply.
Forced Labour Child Labour Discrimination Wages & Benefits Working Hours Disciplinary Practices Health & Safety Environmental Requirements
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Target Consumer Targeting parents in their early 30’s to early 50’s Family income of above $95,000 Attend a lot of formal events Aren’t afraid to spend money on good quality formal wear for their kids
Target Market Our target market consist of children ages 1-6 that are not afraid to steal the show at any given time with our one of kind jaw dropping premium products.
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The Coleman’s Jamal has his bachelors in entrepreneurship and is a real estate agent Tameka has a degree in education and is an elementary school teacher Live in Atlanta Family income $130K Drive a Audi Q3 Son named Trevor & daughter named Nia Enjoy reading the classic’s to their children Love taking their kids to the park
The Wesson’s Stacy has her degree in psychology and is a stay at home mom John has his Ph.D in dental surgery and is an orthodontist Live in New Jersey Family income of $250K Drive a BMW X3 Son named Samuel & daughter named Elizabeth Enjoy spending their summers at their beach house in the Hamptons Love hosting family BBQ’s
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Products Item Range
BOYS
Formal children’s wear Suit/ Shirt/ Pants/ Dress/ Skirt
Store Location Los Angeles California
Size Range XS/ S/ M/L/XL
Retail Sell Price Range: Suit: $200 Shirt: $80 Trousers: $120 Dress: $160 Skirt: $35
Product Description: Our products will consist of girlswear and boyswear. The products in our girl’s collection will be dresses made of cotton, which can be worn to any special event or occasion. The products in our boy’s collection will consist of a blazer jacket, trouser, button down shirt, and also a bow tie. Both blazer jacket and trouser will be made of wool. The button down shirt is made from cotton. The skirt will be made of cotton. All of these garments are the perfect showstopper for any formal event attended with mom and dad.
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GIRLS
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Country Analysis
China Introduction: China is the biggest developing country in the world. It was known for its cheap and huge numbers of labor. The goods of China is available to the all around the world. According to a textile and apparel market report, “The textile and apparel industry accounted for over 30% of manufacturing jobs in China in 2009. Private Chinese companies dominate in this labour intensive industry, accounting for 75% of total industry revenue in textile and 59% in apparel and footwear.” Non-apparel products make up the largest segment of the textile market in China, accounting for 34.2% of the market’s total value. Location: Located in Southeast Asia along the coastline of the Pacific Ocean, China is the world’s third largest country, after Russia and Canada. With an area of 9.6 million square kilometers and a coastline of 18,000 kilometers, its shape on the map is like a rooster. Sustainability: Sustainability- In March 2016, the Chinese 12th National People’s Congress defined the development concept featuring innovative, coordinated, green, open, and shared development. In the coming years, China will pursue innovative development and improve the quality and efficiency of development. Coordinated development will be promoted to form a balanced structure of development. Labor Laws: Workers need to be at least 18 years old, and in good health. They cannot have any criminal record. The Chinese work week is to be no more than 44 hours long, and employees must have at least one day per week off. All workers have Chinese national holidays off. Minimum wage in China varies from province to province, with Shanghai being the highest at 2020 Yuan per month Technology: The government has placed emphasis on science and technology, resulting the advancement in agriculture, medicine and genetics. China has the world’s fastest train and the world’s largest high-speed rail network; train travel from Beijing to Shanghai (roughly equivalent to New York to Chicago) has been cut from 11 hours to 4 hours, it reduces the shipping time significantly. Trade Agreements: China is in the works with Canada and Mexico about potentially entering into a trade agreement. However, there is no current discussion about the United States and China entering into a free trade agreement.
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India
Mexico
Introduction: India is the world’s largest democracy and according to UN estimates, its population is expected to overtake China’s in 2028 to become the world’s most populous nation. As a rising economic powerhouse and nuclear-armed state, India has emerged as an important regional power. However, it is also tackling huge, social, economic, and environmental problems. Home to some of the world’s most ancient surviving civilizations, the Indian subcontinent - from the mountainous Afghan frontier to the jungles of Burma - it is both vast and diverse in terms of its people, language, and cultural traditions. Location: Southern Asia, bordering the Arabian Sea and the Bay of Bengal, between Burma and Pakistan Sustainability: While 2017 hasn’t started with a big bang there is hope that the landmark event of India ratifying the Paris accord in 2016, will bring in the much needed acceleration to India’s sustainability journey. The trend of investors, consumers, and governments requiring greater transparency from the private sector is nothing new, but today, business are becoming proactive and trying to de-risk themselves from charges of negligence. As a result, social and environmental issues once seen as separate, are coming together inside some companies. Labor Laws: Minimum wage (US$/month): ₹6,000 (US$93) /month Standard work day: 8 hours Minimum rest while at work: 30 minutes per 6-hour Maximum overtime limit: 200 hours per year Technology: India’s manufacturing sector has evolved through several phases - from the initial industrialisation and the license raj to liberalisation and the current phase of global competitiveness. Today, Indian manufacturing companies in several sectors are targeting global markets and are becoming formidable global competitors. Many are already amongst the most competitive in their sectors. India’s manufacturing sector has the potential to touch US$ 1 trillion by 2025.. Trade Agreements: The ASEAN–India Free Trade Area (AIFTA) is a free trade area among the ten member states of the Association of Southeast Asian Nations (ASEAN) and India. The initial framework agreement was signed on 8 October 2003 in Bali, Indonesia and the final agreement was on 13 August 2009. The free trade area came into effect on 1 January 2010. 24
Introduction: Mexico is the first Latin American supplier of apparel products to the United States. The apparel & textile industry accounts for 6% of Mexico’s total GDP annually. Within this industry, over 415,000 workers are employed, making up 20% of all manufacturing employment within Mexico. Location: Mexico is a federal republic in the southern portion of North America. It is bordered by the United States to the north and Guatemala and Belize to the south. It is the third largest country in Latin America and has one of the largest populations with over 100 million citizens. Sustainability: Mexico was once ranked the #1 polluted city in the world and now it is a rising leader in sustainability. Their goal has been to decrease pollution, promote public health and wellness, and the highest concentration of LEED buildings in Mexico. The city invested $150 million in expanding and modernizing sustainable public transport systems.This will improve the mobility, accessibility, and quality of life for millions of people. Labor Laws: There are four main documents that affect Mexico’s Labor Laws. The federal Labor Law of Mexico sets forth a maximum of 48 hours per week as the amount of hours a laborer can work without going overtime. For every 6 days of work ( Monday through Saturday ), employees are entitled to one day of rest with full pay. There are 3 work shifts day shift, night shift, and the mixed shift. The mixed shift is part day shift and part night shift. Those hours that are worked over these periods are considered to be overtime ( paid as such - double the hourly rate ) and can not go over 9 hours per week. Technology: Mexico is emerging as one of the fastest-growing tech hubs in Latin America, with more than $1 billion in investments last year and more than 500,000 IT professionals. As for the fashion industry, textile production processes in Mexico have become more advanced and efficient. They can process and dye articles from 1-3.4 meters wide and apply different finishes due to their top of the line dying/finishing technology. Trade Agreements: Mexico works closely with the USA and this was achieved when they formed a free trade agreement known as the North American Free Trade Agreement (NAFTA). This brought a $61 billion trade deficit with Mexico in 2016. The USA has been working with the Mexican textile and apparel industry in ways that are unique to the countries.
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Supplier Analysis
China Supplier#1
Supplier#2
Summer Genie
Fujian Yebao Children’s Wear Co.,Ltd
Summer Genie is an alliance of certified factories and carefully selected suppliers, manufacturers, and wholesalers in Asia, who distribute worldwide. The company has a dedicated team of native speaking ASQ certified professionals who oversee, supervise, test, and inspect the entire process from production through to final shipping. Summer Genie has offices based in London, China, Thailand, and Vietnam. They are going to manufacture the product who joined their alliance in China, Thailand, and Vietnam. Their past customers included Ralph Lauren. Address: Putthamonthon sai 4 road 73220 Bangkok Thailand Tel: +66863606973 Richmond Rd Kingston Upon Thames Surrey KT2 5EP UK Email: order@summergenie.com
Yebao Group is a professional Children’s Wear manufacturer and exporter in China for over 20 years. Established in 1990, they are a joint venture company engaged in the production of children’s apparel such as shirts, t-shirts, sweaters, jackets, coats, pants, and jeans. Employing over 500 staff members, they have fixed assets worth RMB50,000,000 and are experiencing annual sales worth in excess of USD70,000,000. With their workshops covering an area of about 10,000 square meters, they are one of the largest fashion kids garment producers in Fujian Province.
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Fujian Yebao Children’s Wear Co.,Ltd Address:Yebao Bldg,No2Ind Area, Shishi, Fujian, China (362700) Tel: (86 595) 88586072 Fax: (86 595) 88583772
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India
Mexico
Supplier#3
Supplier#4
Billoomi Fashion™
Alcatextil, S.A.
Billoomi Fashion certified India’s top rated garment manufacturer and exporter of all kinds of woven and knitted garment for men, women, and kids. Being a full service clothing factory of India, they typically start with a concept design and end with door-step delivery. Be it design process, pattern making, grading and marking, sourcing of fabrics and trims, custom label and tag development, sampling, embroidery (computer and hand), printing (discharge, pigment, screen, digital, block printing etc), smocking, sequins and beads work, sublimation, bringing washing effects on denim - They are equipped to welcome any volume, any type of clothing manufacturing requirements for their clients.
Alcatextil S.A is an exporter from Guatemala,the company sell Wearing Apparel and related products to Guatemala market. he company exports Wearing Apparel from Guatemala and lading goods at ,the products and country of origin is Guatemala. +3 Top Customers Ralph Lauren Childrenswear Alca Tex Usa Inc. Ralph Lauren Canada, Lp +Boys and Girls Knitwear, Cotton Shirts, 100% Cotton Knit +Km 35 8 Carretera Al Paci co Loti cacion Los Sauces Palin Escuintla +502 7882 7490 1
Address: E-88, Sector 63 Road, A Block, Noida, Uttar Pradesh 201301, India Phone: +91 99993 00966
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Strategy Publication We are going to source our products in Mexico, India, and China. The countries we selected have a well developed textile and apparel industry, which can produce good quality garments at a fair price. After a detailed evaluation, we believed China is the best choice for our company. The main reason is because China has the biggest number of skilled and experienced laborers. China’s labor can produce a higher quality of clothing to fit our brand image at a profitable price. The location of China will also result in a lower price for shipping compared to the two other countries. We can easily ship the orders to LA. The suppliers we choose from China are Summer Genie and Fujian Yebao Children’s Wear Co.,Ltd. Mexico and India will be our second and third choice. They are on the top 10 list of cotton producing country, which is our main raw material. China is on the top of the list, India is the second, and Mexico is 10th. Both country’s labor wages are low: $2.4/day in India and $3.94/day in Mexico. Mexico also has a free trade agreement with the US. The top suppliers in these countries are included Alcatextil, S.A. and Billoomi Fashion™.
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Strategy Conclusion Through our research, we came to a conclusion that all three countries have a superior workforce at reasonable cost. China can provide the appropriate manufacturers that allow us to provide our customers with good quality of clothing. We are going to select Summer Genie as our main supplier. They are a trustworthy company that has a team to oversee, supervise, test, and inspect the entire process from production through to final shipping. Summer Genie distributes to nearly 200 retail shops and brands worldwide. They have also done business with Ralph Lauren in the past, so we know they are producing high quality products. The backup suppliers we have are Alcatextil, S.A. form Mexico and Billoomi Fashion™ from India. They are both top suppliers in their own country that produce high quality products. Alcatextil, S.A. manufactures for Ralph Lauren Childrenswear and Billoomi Fashion™ has a special children’s wear manufacturing team. Total company strategy After reviewing the options we felt that Summer Genie would be our best option as a supplier due to their good reputation and high quality products.
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Line Plan
Units Breakdown
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Boy’s Cotton Shirt Cost Sheet
PRODUCT SPECIFICATIONS
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Boy’s Wool Suits Cost Sheet
PRODUCT SPECIFICATIONS
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Boy’s Wool Pants Cost Sheet
PRODUCT SPECIFICATIONS
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Girl’s Cotton Dress Cost Sheet
PRODUCT SPECIFICATIONS
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Girl’s Cotton Dress Cost Sheet
PRODUCT SPECIFICATIONS
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Country Ranking
Supplier Ranking
Business Climate: the general economic environment within a society of enterprises and location(s), are they willing to trade with other countries Costs: How cheap it will be to manufacture our products in that country, while still keeping a good quality Government: Is their government stable or are their issues that could affect our process Location: How accessible is that country to manufacturer and send goods Risks: Other risks in that country that would affect our manufacturing or lead time Social Stability: How socially stabled each country was Sourcing Guidelines: Do they adhere to our sourcing guidelines and standards Textile Industry: How successful is the textile industry in that country; does it play a major or a minor role Trade Agreements: How many trade agreements they had that would affect our business
Abilities: are they able to produce high quality luxury children’s wear at a manageable price point Capacity: The amount of goods a vendor can manufacture Lead time: How long it will take a vendor to manufacturer our products; we were looking for the quickest amount of time Quality: If vendors are producing good quality products Customers: Who are their existing customers; are they reputable companies Sourcing Guidelines: If they are adhering to our sourcing guidelines Services offered: Can they provide us with all the services we need: creating our product, maintaining ethical standards, presenting good quality etc.
Trained Work Force: How many employees were trained and have the proper work skills needed to create the garments Socio-Eco-Political: Taking into consideration the social, economic, and political factors in that country
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Works Cited http://www.usgbc.org/articles/global-market-watch-mexico%E2%80%94-rising-leader-green-building-and-sustainability http://www.mexicolaw.com/LawInfo11.htm http://www.apparelsearch.com/world_clothing_industry/mexico/mexico.htm http://www.tiempodev.com/corporateblog/tech-industry-mexico-is-more-than-a-vacationgetaway http://www.childrensplace.com/wcsstore/GlobalSAS/html/size-charts.html http://www.thekrogerco.com/docs/corporate-brand-vendor-documents/kro_childrens_ specs_measurement_guide.pdf?sfvrsn=2
Conclusion
http://www.mandarin.cafe/blog/10-things-you-didn-t-know-about-china-labor-law
The benefits of our overall strategy will include sourcing high quality products at a low price point. China provides our company with the most appropriate and transparent manufacturers that have an exceptional workforce at reasonable cost. By picking Summer Genie, we have minimized our risks because they are a trustworthy company with a great reputation, but also maximized our opportunities. Summer Genine will show the entire manufacturing process from sourcing to shipping to the public, we promise to be a transparent brand that allows the public to monitor our actions. Little Ms and Mr business practices are built around human rights and sustainable manufacturing. We care about our employees, suppliers, and the environmental issues. We aimed to be ethical all the way through production and our factory helps us achieve that.The location benefits of China are we can minimize our shipping cost and time transporting our goods through Pacific Ocean to our store. We have carefully selected the countries and suppliers that reflect our core values as a company. We aim to create a better future for our Little Ms and Mr by promoting human rights and sustainability across our business. We strive to be the leader in luxury children’s wear company that produces formal wear that is high quality and fashionable.
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https://sustainabledevelopment.un.org/hlpf/2016/china http://summergenie.com/how-it-works/ http://blogs.economictimes.indiatimes.com/ResponsibleFuture/sustainability-and-csrtrends-for-india-in-2017/ http://www.facts-about-india.com/transportation-in-India.php https://www.ibef.org/industry/textiles/showcase http://www.commisceo-global.com/country-guides/india-guide http://www.heritage.org/index/country/india
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