1. By: Emily Wiley

2. New Look Background
 A value high street fashion retailer that prides
itself on always giving the customer a new
experience with surprisingly low prices and more
“look what I just found” moments
 1000 stores nation wide, in the UK, Ireland,
Europe, the Middle East, Singapore, Russia, and
Poland
 Committed to ethical trading and animal welfare
 Serve over 120 markets worldwide, including e-
commerce

3. Suppliers
 Sourcing strategy based on the UK/Europe, China,
Southeast Asia, and the Indian sub-continent
 Suppliers categorized into 3 groups
 First category: these suppliers are dedicated to
manufacturing New Look’s products and are responsible for
manufacturing in house designs (China, Turkey, and
Bangladesh)
 Second Category: suppliers that New Look works directly
with in the country of origin, sometimes supported by local
agents
 Third Category: suppliers where New Look works with the
supplier’s design team to develop products to complement
its own in house designs (2/3 of all products designed in
house)

4. Jersey
 Countries Sourced From:
 Bangladesh
 UK
 China

5. Jersey: Cons of Sourcing
 Bangladesh:
 Protests over costs and conditions
 Factories are producing the maximum amount, and while retailers are reaping the
benefits, the workers are not receiving any party of it
 Riots in addition to protests will start to increase due to 122 of 825 factories not
paying their employees on time
 Slower lead times
 UK
 British Manufacturing on its last legs, too expensive to source in the UK
 Cheaper to source out of the country than in the country
 Less people employed in UK for manufacturing, therefore harder to find a
company to source from
 China
 Different quality standards
 Promote and produce knock-offs of designer goods, and sell them to western
(unknowing) retailers
 Longer lead times

6. Jersey: Pros of Sourcing
 Bangladesh
 One of the cheapest due to low wages cost
 Manufacturing is moving to Bangladesh, becoming a greater provider to the UK
high street
 New Look believes in Ethical Trading, as in taking care of the employees that
produce their products and ensuring they live a decent life style
 UK
 Supporting home country’s economy
 Providing jobs and security to more people
 Quicker lead times
 China
 Number one manufacturer of apparel and textile industry
 Cheaper sourcing
 Well developed manufacturing industry
 Good reputation for quality
 Are willing to work with retailers because they are eager for western business

7. Eveningwear
 Countries sourced from:
 China
 Romania
 India

8. Eveningwear: Cons of
Sourcing
 China
 Different quality standards
 Promote and produce knock-offs of designer goods, and sell them to western
(unknowing) retailers
 Longer lead times
 Language barrier
 Romania
 Harder to recruit trained staff due to job openings in the west after Romania’s EU
entry
 Currency value is going up, which will eventually cause production to be more
expensive
 Industry still developing
 India
 Long lead time
 High reliance on roads, only half of which are actually paved, making deliveries
much harder
 Time zone differences make communication much more difficult

9. Eveningwear: Pros of
sourcing
 China
 Number one manufacturer of apparel and textile industry
 Cheaper sourcing
 Well developed manufacturing industry
 Good reputation for quality
 Are willing to work with retailers because they are eager for western business
 Romania
 Two day delivery time by truck
 No duty or quota on deliveries
 No customs control between Romania and Britain, therefore quicker lead times
 Easy travel
 India
 High productivity levels
 Competing with china, making the price lower
 Growth of IT industry, making India more capable of catering to the needs of customers
 Thousands of talented employees available, all willing to take and compete for the job,
bringing modern technology and innovative ideas to the table
 Cheaper cost

10. Lead Time
 Critical Path for lead times
 Sample development
 Place cloth order
 Finalize garment order
 Manufacture
 Shipping
 Customs
 Total: 16 weeks
 Will be similar for India, due to the competition between
India and China for the biggest manufacturing industry
 Longer for Romania, due to travel difficulties
 Shorter for UK, because of the lack of customs and closer
shipping

11. Costs of Garment Compared to
Retail
 Wholesale price is half of the retail price
 Varies per company
 Jersey’s MSRP is cheaper than evening wear
 Cheaper to buy in bulk, therefore creating
cheaper retail prices

12. References
 http://www.drapersonline.com/sourcing-at-risk-in
 http://news.bbc.co.uk/1/hi/business/1861801.stm
 http://clothesource.blogspot.com/2009/01/could-
 http://www.chinasourcingblog.org/2010/01/china-
 http://manufacturingsourcing.com/outsourci
ng-to-india/