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1、SELLING TANG SUIT TO U.S.APrepare forPeter Johnson,Chief Operating OfficerNovember 27, 2010CONTENTSPAGEIntroduction .1Features and Uses of Tang Suit .2Type of TangSuit .2What fabric to make a tangsuit? .2Features of TangSuit.2Market Analysis and Development Str ategy.31.Location.32. Sales Strategy.3

2、3. Development.44. Market Price.4High Tariffs of theAmerica 5Data of theTariffs.5Way to Solve the TariffProblem.5ConsumerPreferencesforTang SuitWhy Tang Suit popular in theAmerica? .6.6Laws and regulations About Selling Overseas.7Laws and regulationsabout textileimport in America.7Laws and regulatio

3、nsof textileexport in China7Conclusions and Recommendations.8SELLING TANG SUIT TO U.S.AINTRODUCTIONIn the 2001 Shanghai APECmeeting,a pictureof former presidentBush intheTang Suithas arousedmuch attentionthroughoutthe U.S. American isnotonly attractedby the suit butratherthanthe namebehind theclothe

4、sitrepresents:China. Previously,commercials made in China are mostwelcome in U.S market for their cheap price. Presently, more attentionis paid to this country for its success in economic accomplishment. U.Scitizens are eager to learn more about China. An item not only made inChina but telling the s

5、tory of China will win more hearts. People willbe proud of possessing a collection of Chinese traditional clothes suchas the Tang Suit.Therefore,sellingthe Tang Suit toU.S must be a businessopportunity. In order to prove it, this report attempts to conduct a comprehensive analysis of Tang Suit, incl

6、uding the feature of the suit, the market prediction and targeting potential costumers etc.This report will help investors to achieve their business goal of selling Tang Suit by illustrating the perfect location in U.S market where moreeyes would draw to the suit. Meanwhile, the sale strategy and th

7、e priceanalysis could help companies to assess the revenue and cost ratio before starting the real business. There is one statistic display reveal thedevelopment of Tang Suit sales in U.S to ensure the confidence of the investors.The report will not only demonstrate the opportunity of the Tang Suitb

8、usinessbutit uses a majorparttonarratethe problemscompanies mightconfront. The tariff and law regulations would be the crucial part. Interms of the tariff, we could only use data to display the actual fact.Itis not our main focus to reach a concretesolutionto thisissue. However,we do providesome tec

9、hniques toavoid thehigh tariff would endanger therevenue, but it isnot assured.Wesuggest the guestshould read anotherpart on why invest in the U.S market.Inthispart,thereportfullyelaboratesthemarketpotentialandtendency of the salesin the future.Comparing to the risk the companiesmight face, the high

10、 profitand huge market should influence moreon thefinal decision.FEATURES AND USES OF TANG SUITTang suit contains five distinguishing: collar, joint sleeve, breasted, rectangular buttons, fabric (brocade, silk). It used to be worn in ceremonies and festival occasions. Mainly used for ceremonial clot

11、hingand festival clothing. However, presently, new elements such as the west style have added to the tang suit, which makes the tang suit can be worein daily life.Type of Tang SuitThere are three different types of Tang Suit: Narrow-sleeved jacket or skirt; Hu Dress; and the woman style.What Fabric

12、to Make a Tang Suit?Most garments are madefrom naturalfabricssuch as brocade, silk,cotton,but with the progress of the times, but now, a new material can be foundin the Tang Suitmarket:leather.The combinationof leatherand costumenot only to retainthe elegantcostume, at the same time,tang suitlooksdi

13、ffer from before. This is a good idea to expand the market.Now, tang suit has attack new factors in it, it makes tang suit of the ceremonial clothing, daily life, holiday can wear tang suit.to be outFeatures of Tang SuitIn fact, today the Tang Suit we are wearing does not come from originalone. Now

14、the "tang suit"from the Manchu is acombination of traditionaland modern materials. It draws on the Qing dynasty traditional clothingwhile using the Western clothings technique cut.For example, theChinese clothingwith rarelyused long sleeves,since there is no clothingwith long sleeves is eq

15、uivalent no waist.Tang suit is very popular amongthe upper level people in Hong Kong, Macau and who retuned form foreign countries. Today, it has becomepopular topicaround foreign people. Since that, in 2001, APEC leaders make a "tangsuit ” debut, people to set off "the Chinese people to w

16、ear their own clothes," the feelings.Today, tang suit wears very general, in China, people wears tang suit in wedding, it also wears in important festival, for example: spring festival,Dragon Boat Festival and so on .in a word, it is a formal wear.MARKET ANALYSIS AND DEVELOPMENT STRATEGYTang su

17、itin the U.S. market is very promising,forin some aspects,suchas future development, market pricing, local selection, marketingstrategy,we have to do a deep investigation,from which we conclude that,some of the following situation.1. LocationI n NewYork s Chinatown,people willoften findseveral secre

18、tlypointshere, likewe oftengo toChinatown,near theSOHOloftmainlytopreparefor tourists and foreigners such as us overseas "Chinese".Since then not difficult to see a lot of people in the United States areexposed tothe costume inChinatown,the choiceof thislocationislimited,we thinkthatwe sho

19、uld adhereto some citiesinthe United Statesto setup sales shop, but if you want more Americans understand that costume,or even buy a costume, not only in big cities, but also in some villagesinadvertising,etc.,so thatpeoplecostume tolove,so thatwe can hopetofullyopen the U.S. market,in themain area

20、we willestablishedshops,such as New York, Chicago, Los Angeles downtown area.2. Sales StrategyTang suit the way in the business, either purchase only from manufacturers, sold changed hands makethe difference; also their production, processing and sale of "through-train", the costume design

21、, development, innovation and production and marketing business "takes all".In costume design and development of cultural content on it should be combined with modern consumption habits, it is necessary to reflect the cultural tastes of the Chinese Tang Dynasty era, but also to take careof

22、 people's consumption of modern psychological and aesthetic tendencies. Tailor-made for the guests could also be considered, so that each guest's consumption demand can be met.In the costume of the brand strategy,we believethatby the time the showor the festival of Chinese martial arts perfo

23、rmances, reflecting thecostume has gone deep into our lives a little bit. In addition, we alsothink we can and every Chinese restaurant or Chinese goods sales pitch,and reached a cooperationagreement. Mainly by the number of salespeopleto selldressed in costume, so you can more directlyto the Americ

24、ans somevisual sense of the cordial feeling better costume.3. DevelopmentTang suit on the market and the Tang Dynasty's costume is not the same, one in shape, has been shaped to the Tang Dynasty when the undercover shaped gown; Second is material from the past into a silk wool, acrylic and silk

25、blend. This can reduce the cost of raw materials and selling prices, affordable to more people.A Chinese Garment Industry Association statistics show that as the propensity to consume, social and cultural value and the era ofdiversification, coupled with the elegance of the Tang suit, gorgeous and d

26、eep cultural connotation, costume consumption is also growing year byyear. Since 2000, the annual growth rate in more than 10% and this trend will continue, therefore, regarded as a business venture Tang suits the road.Tang suits the culture and use of influence, we can use advertising and other pub

27、licity means a lot to expand the development of costume.4. Market PriceIn the inputs: Rent a frontage pavement area of 20 square meters, themonthly rent of 2,000 Yuan, the annual rent 24,000 Yuan; 9,000 storedecoration, 3-year assessment is completed, annual amortization 3,000;Purchase of business e

28、quipment and 3,000 Yuan, 3-year amortization iscompleted, assessed 1,000 Yuan per year; Employees who work a monthlysalaryof 1,000 Yuan, the annual 1.2 million;other expenses 5,000 / year.Annual of fixed operating costs is 4.5 million.The outputs:the Tang suitare many differentspecifications,high or

29、 lowsales prices,cheap piecesofless than 100Yuan each, while the expensive700 Yuan each. According to an average of 400 Yuan / piece, the averagedaily sales of three, with sales 1200 Yuan, annual sales 430,000 Yuan,an average of30%of the gross margin calculations,gross profitof 129,000Yuan may be.Ne

30、t of 4.5 millionof fixed operatingcosts, may be more than8 million net profits.Tang suit s market is now pricing 30 to 60 dollars, the fashion, tradition, and national characteristicscostume also reflectssuch as style,manypeople are now the first choice for clothing.HIGH TARIFFS OF THE AMERICATo exp

31、ortTang Suit toAmerica, the most importantproblem we need tofaceis the high tariffs of the clothes in America. American labor force isvery expensive, but Chinese labor force is much cheaper, so the clothesthat made in China are also cheaper than which are made in US. In orderto protecttheirown cloth

32、ingindustry, the American government makes thetariffs ofimportclothesveryhigh. The problem ishow we reduce thecoststo pay thehigh tariffsorimprove our products' quality to sell them witha higher price.Data of the TariffFrom the website of the United States International Trade Commission, Ifind t

33、he tariff of the Tang Suit is about一五 .9%, it means if we sellour Tang Suit 100 dollarseach, we need to pay 一五 .9 dollarsto the UnitedStates government.Way to Tariffs ProblemTo solve the tariffs problem, we need to improve the company's accounting system, by doing this will make our company more

34、 international, and then the United States customer will be more likely to buy our product.CONSUMER PREFERENCES FOR TANG SUITSince traditional Chinese culture and Kung Fu promote in the word, leadto more Americans like the Chinese traditional clothing. Also manypeople fall in love with the artistic

35、movementsof Kung Fu and the Chinese culture. So our Tang suit will join the Kung Fu of the design elements.Why Tang Suit popular in the America?The following are the reasons for why Tang Suit popular in the America.? Asia and Pacific economies leaders wear Tang suit in APEC meeting.American presiden

36、tand super starsare wearing a Tang Suitto attendsomeimportantoccasions in America. This led to more young Americans likeTangsuit.? Chinesemovies of Kung Fu are very popularin the United States.Lee, JackieChan and Jet Li have a lotof fans in the United States.fans are usually like traditional Chinese

37、 culture, such as Tang suit.Because of these movie stars of Kung Fu are wearing Tang suit.BruceThese? From 2006 to 2008, the overseas Chinese increased approximately 5million people in United States population every year. In 2007, thenumber of Chinese population is 3.54 million. Most overseas Chines

38、e like to wear Tang suit. Can be seen, there is a great market.The U.S. Government has taken some measures. Such as tax cuts. The U.S. consumer's personal economic conditions are good. Consumers will spend more money to buy daily necessities, not clothing. 60% of consumers buyclothesat a discoun

39、t,37%of consumers plan to buy the next threemonthsthe previous quarter less clothing. So we will reduce the cost of raw materials and selling prices. In U.S., cheap supermarket is the most popular retail outlets, accounting for 31% of the share. Therefore, our costume will be sale in the U.S. superm

40、arket.Some Americans like simple style, comfortable clothing. From fabrics,Tang suit mainly uses brocade fabric, its a comfortable fabric.LAWS AND REGULATIONS ABOUT SELLING OVERSEASThe laws, regulationsand standardsabout sellingoverseas areincludingboth China and America. They have a details series

41、of laws, regulations or standards about textile and apparel labeling to limit the inputs andoutputs in the country. In order to confirm our tang suit can be sellingto America successfully,allproductsmust be produce correctlywiththelaws, regulations and standard.Laws and regulations of textile export

42、 in ChinaIn order to standardize the management of passive quotas of textiles to maintain the operating order of the textile export to the restriction country, and aimed at the problem of export textiles to the restriction country, the relative Department developed a " National Textile Export L

43、icense Management System For Passive Quota Norms ".We will organize our relative organizations to learn the textile quota management requirements to familiar with and compliant it consciously.Laws and regulations about textile import in AmericaIn America, the part of laws and regulations of tex

44、tile about tang suit are categories by category as follows:1. Textile components2. Maintenance tab3. Flammability4. Country of origin5. Manufacturers, importers and distributors.6. Apparel sizingIn 2008, at the workshop of Sino-US textile and apparel safety problem, The United States introduced two

45、legislations to strengthen the qualitycontrol of textiles. The quality of textiles is very important in selling overseas. The problem of selling overseas about laws and regulations we should be attention is we should make sure the quality of Tang Suit we made is perfect and up to the mustard.CONCLUT

46、IONS AND RECOMMENDATIONSTang Suit s styles can be divided into three categories : narrow-sleeved jacket, skirt, hu dress and the woman.Its main material is silk and cotton. It used to be worn in ceremonies and festival occasions.Many overseas Chinese live in United States. Therefore, in this part of

47、 the costume will be a great market. Kung fu movies are very popular inthe United States, a lot of people fall in love with Kung Fu. So our Tang suit will join the Kung Fu of the design elements.The tariffsof exportTang suitto America isvery high,itwillincreaseour cost and forceus to raiseour Tang S

48、uit'sprice.SomeAmericans likesimple style, comfortable clothing. From fabrics, Tang suit mainly uses brocade fabric.Tang Suit is a great development prospects in the future, now there isa big problem in the U.S. market, primarily operations and management, strategy and if you can do very detailed market research and objective, then there are the U.S. market can good development prospects.Selling Tang Suit to America, it should be try to do hard as following:Let more customersto becomeVI

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