BUYING & MERCHANDISE MANAGEMENT

Fashion Buying & Merchandise Management

Executive Summary

New Look is a women's wear Shoe Company Inc is a footwear company $ 2.5 billion with operations worldwide. The company operates the Famous Footwear chain of 1000 stores. It also operates 400 stores in the U.S. and Canada. Wholesale divisions brown shoe and place have leading brands including women shoes, casual shoes, formal shoes, athletic foot ware and sports ware, also makes licensed brands including Via Spiga, Franco Sarto, Etienne Aigner, Dr. Scholl's shoes of the character and Carlos by Carlos Santana for adults, and Barbie, Spider-Man and Bob - Constructor for children.

New Look is planning to make a fashion buying for Spring/Summer 2012. This is the purpose of this report, i.e. to design the complete feasibility plan for the fashion buying of the organization.

Fashion Buying & Merchandise Management

Introduction

Fashion buying, is a key component in fashion retailing, is second only to design as a career option for fashion industry individuals. The buyer has a central role in influencing what consumers choose to wear and in determining whether a fashion retailing company succeeds or fails. Buying is a multi-faceted job, which typically involves fashion forecasting, range-planning, garment sourcing and budgeting.

The buyer is responsible for finding the best product at the best price in respect of the procurement strategy determined by the purchasing manager. It develops procurement plans, selects the world or has made products to start his collection. It is also negotiating costs and production time. He must have great organizational skills, have negotiation skills and communication and have a "sensitive product". The buyer is courted by commercial directors since its goodwill may depend on the success or failure of a collection. (Tompkins, 1998, 110-200)

Financial Plan

New Look - a retailer for womenswear shoe range - is having a great financial sustainability that makes this plan more viable. In fashion industry price is the key factor where style trend changes continuously. On the other hand the research and development cost of designing also plays an important role that mainly increase the growth of New Look. To keep the balance in favorable manner financial planning is based on the sale price and the material cost, sale price is directly connected with the cost of the product. As the sales increase there will be increased impact over the cost of the product. There is high margin on every item because of the differentiation strategy and targeted market. Currently New Look goes in the women's wearing but later on we will enter in the women's wear as well. Initially Evocation introducing its 27 product under 9 main brands and then it is multi branded according to the product category. Production capacity has designed by focusing on long term growth and it has also taken care of the increase in the side line of the manufacturing. Human resource planning has been done significantly based on the production, growth, and demand of the items. As per the payouts, the plan has very attractive dividends it will ...