American Apparel - 3993 Words

AMERICAN APPAREL REPORT ANALYSIS 13/12/2011 [-0] SUBMITTED BY: JOEL CHERIAN – SMBA 11081 American Apparel COMPANY PROFILE :- American Apparel is one of the quickest growing companies in popularity among college aged shoppers. They are a very fresh, and very liberal corporation with a young and talkative CEO- David Charney . It is seemingly the â€Å"perfect† company- set on high†¦show more content†¦CURRENT ISSUES EFFECTING AMERICAN APPAREL :- March 28, 2010 – THE NEW YORK POST The fast-talking CEO of American Apparel David Charney -- whose libertine lifestyle and racy marketing campaigns have kept the clothing chain controversial and on the minds of its young shoppers -- has had to scramble to keep his beloved company out of bankruptcy. Charney had to give up a large equity stake in the operation to a private-equity firm, which rode to its rescue from bankruptcy . He also was forced to slow the chains rapid rate of expansion and had to deal with stores that couldnt even keep their shelves fully stocked thanks to the vise-like grip on cash kept by Lion Capital, the London-based investment firm whose March 2009 financing deal saved Charneys bacon. Moreover the retail chains shares plunged 17 percent after the New York-based concern reported its fourth-quarter profits had dropped a jaw-dropping 23 percent. While soaring costs and anemic sales sapped profits, investors were likewise rattled as the company delayed giving an outlook for 2010, citing restrictions imposed on its operations by lenders. Which ultimately spooked investors, who raced for the exits -- sending shares to a close at $3.17, down 67 cents. At the time of the downturn , the company had to implement firings of about 1,500 workers . But there was a new tune being played last week. Thus the reduction in manufacturingShow MoreRelatedAmerican Apparel - 11889 Words   |  8 PagesBrand Positioning American Apparel itself wants to be seen as a stylish, no-factory, domestically made brand, inferring from its headline â€Å"Fashionable Basics. Sweatshop Free. Made in USA.† The company also wants to be seen as a socially and environmentally conscious brand that sells high quality knitwear with a simple design aesthetic. American Apparel will continue to target a large, diverse market of young urbanites that see themselves as unique instead of as part of a generic, mainstreamRead MoreMarketing Analysis for American Apparel2734 Words   |  11 PagesProblem Statement American Apparel whom once used to be the Situational Analysis: American apparel is the largest clothing manufacturing company in the U.S. The company has initially specialized in cotton-knit wear yet it has gradually developed the interest for leotard, leggings and other vintage-inspired clothing. The company was founded in 1989 by Dov Charney. Charney was born in Montreal, Canada however he was fascinated by the American culture. In 1991, he started designing T-shirt usingRead MoreAmerican Apparel Swot Anaysis Essay3402 Words   |  14 PagesAmerican Apparel SWOT Analysis Marketing 304 Section 12382 Group# 5 Nancy Alonzo Yavon Irving Salvador Bustos Cory Lashinsky American Apparel is a vertically integrated clothing manufacturer, wholesaler, and retailer. AAI is best known for making basic, solid color T-shirts and undergarments. They have expanded into dresses, denim, bedding, pants, and accessories for men, women, children, babies, and dogs. Their long-term goal it to become the #1 destination for basic apparel –Read MoreAmerican Apparel: Vertically Integrated in Downtown L.A.2170 Words   |  9 PagesAmerican Apparel: Vertically Integrated in Downtown L.A. 1. The textile/clothing sector is vertically de†integrated: design, textile manufacture, clothing manufacture, distribution are undertaken by specialist firms. Why? In this case, clothing firms like American Apparel have vertically integrated, in order to get time to market, increase resources availability, and cost efficiency. However, many textile/clothing sector is vertically de†integrated which means that their design, textile manufactureRead MoreAmerican Apparel: Vertically Integrated in Downtown L.A. - Paper923 Words   |  4 PagesAmerican Apparel: Vertically Integrated in Downtown L.A. American Apparel is a clothing manufacturer in the United States. The company is vertically integrated clothing manufacturer, wholesaler, and retailer who also perform its own design, advertising, and marketing. American Apparel was founded in 1997, by Canadian Dov Charney (Grant, 2010). Dov had a fascination with American culture and the T-shirts. He started to experiment with screen printing, importing and other parts related to theRead MoreMarketing Assignment Canadian Apparel Federation1959 Words   |  8 Pages| Canadian Apparel Federation | Exploratory Research Assignment | Owner June 2, 2012 | Introduction The Canadian Apparel Federation is facing numerous challenges as the apparel industry is very competitive and consumer tastes and preferences are constantly changing. Our study will present some of the major trends developing in the apparel industry and what companies can do to capitalize on the market and distinguish themselves from the competitors. Research Objectives The purposeRead MoreOvert Sexualization in American Apparel’s Advertising Essay1311 Words   |  6 Pagesgoods,† (Danesi 179). Does sex sell? American Apparel’s advertisements use sexual images to sell their products, it is a strategy that has caused much controversy because it is the woman being put in the advertisement in a suggestive way to model American Apparel’s clothing. From having American Apparel female employers exposing their bodies to female models seductively placed in overtly sexualized positions to having a pornographic actress. American Apparel has been a controversial company whenRead MoreThe Clothing Industry Has Changed Changing Society Essay1733 Words   |  7 Pagesprice. Stores like American Apparel are incredibly different from stores like Forever 21 and Gap for many reasons. One of these reasons is that American Apparel clothing is made in the United States and Gap clothing is made in places ranging from Cambodia to China. The importance of this difference? American made clothing costs more to manufacture and therefore costs more. The reason for this being that American manufacturers have higher standards for their workers. American workers are expectedRead MoreHiring for Looks1029 Words   |  5 Pagescalling customers in but most importantly to have to look you work for your company! For example, Abercrombie Fitch brand representatives have a classic American style. Tom Lennox, Abercrombie’s communications director, says â€Å"We want to hire brand representatives that will represent the Abercrombie Fitch with natural classic American style, look great while exhibiting individuality, and project the brand themselves with energy and enthusiasm†. Customers need an example of a walking billboardRead MoreCase Analysis : American Apparel Essay1097 Words   |  5 PagesCase analysis: American apparel †¢ Identify the most important facts surrounding the case American apparel is a clothing company known for male and female clothing and underwear. They use raw beauty as a way to advertise their clothing, no photo shopping or air brushing of their models. Their slim fitting, no logo style clothing became very popular. American apparel made a stance on pro-labor by minimizing the use of labor outsourced from the United States. The use of organic cotton and recycled