notes for chapter 7 textbook reading associated with lecture 6

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6 Jan 2011
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Chapter 7 The Discarded Factory: Degraded Production in the Age of the
Superbrand
-a strategic plan should focus on brand management, marketing and product design
as a means to meet the casual clothing wants and needs of consumers. Contracting
throughout the world will give companies greater flexibility to allocate resources and
capital to its brands
-brand-name multinationals (Levis, Nike, Champion, Wal-Mart, Reebok, the Gap
etc.) are in the process in the of exceeding the need to identify with their earthbound
products
-they think about their brands’ deep inner meanings the way they capture the
spirit of individuality, athleticism, wilderness or community
-a product is something that is made in a factory. A brand is something that
is bought by a customer
-companies must think of themselves as brand factories hammering out what is of
true value, the idea, the lifestyle, the attitude
-brand builders are the new primary producers in our knowledge economy
-building a superbrand is a costly project, needing constant managing, tending and
replenishing, and requires lots of space for advertising of logos. Should concentrate
on spending money on sponsorships, packaging, expansion and advertising as the
brand lives on, not those who produce the products. Leaves producers in
precarious positions and takes away the value of added on producing
products. Value is added to careful research, innovation, and marketing
-global brands are placing the responsibility of production (and the producers) onto
their contractors
Exporting the Nike Model
-Nike began with not owning any of its factories
-other companies (ie. Adiddas & Levis) try to imitate the Nike model by using cheap
outsourced productions while spending significant funds to create consumer
demand.
-Jobs are lost as factories shut down
-job-flight - Jobs are seen as taking a flight as they are placed else where
The Unbearable Lightness of Cavite: Inside the free-trade zones
-Indonesia, China, Mexico, Vietnam, Philippines, etc, are export processing zones
which are emerging as leading producers of garments, toys, shoes, electronics,
machinery, and cars
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Document Summary

Chapter 7 the discarded factory: degraded production in the age of the. Superbrand a strategic plan should focus on brand management, marketing and product design as a means to meet the casual clothing wants and needs of consumers. Should concentrate on spending money on sponsorships, packaging, expansion and advertising as the brand lives on, not those who produce the products. Leaves producers in precarious positions and takes away the value of added on producing products. Value is added to careful research, innovation, and marketing global brands are placing the responsibility of production (and the producers) onto their contractors. Nike began with not owning any of its factories other companies (ie. adiddas & levi"s) try to imitate the nike model by using cheap outsourced productions while spending significant funds to create consumer demand. Job-flight - jobs are seen as taking a flight as they are placed else where. The unbearable lightness of cavite: inside the free-trade zones.

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