The Bay Area and the Northwest: riding the edge of tomorrow's trends

Bobbin, Sept, 1998 by Kathleen Desmarteau

Beyond their questionable pricing practices, "They basically expect you to take the goods back at the end of the season if they don't sell," says Pendleton Woolen Mills' Benson. In the face of such pressures, Pendleton, for one, is putting more push behind efforts to open more of its own retail stores, which currently span 30 states.

Retailers aren't catching all of the blame, however, for making a moving target of the apparel industry. The government and even consumers are on some northern California and Northwest apparel firms' black lists as well. Benson says Pendleton, which fought hard to block NAFTA, was forced into U.S. plant closings as a direct result of U.S. government trade policy.

Speaking for many northern California contractors, Cheung worries that the number of contractors in the Bay area will drop 10 percent to 30 percent in the next two years, "under normal trends," such as the increased minimum wage, the attraction of Mexico and consolidation among the firms dishing out the orders. Mid-sized firms employing 30 to 50 are expected to be the hardest hit, he predicts, but more could fold if NAFTA parity is extended to the Caribbean Basin. "We're very concerned that the government is going to open that door. It would have a major impact," says Cheung.

From the small business perspective, Barbie White, president and owner of San Francisco-based maternity wear firm Japanese Weekend, sees consumers and their disregard for garment origin and focus on price as one of the greatest threats to the future of U.S. apparel manufacturing. A 16-year-old firm employing 20, Japanese Weekend currently outsources all production locally, but as its volume increases, it is approaching a crossroads at which it will have to make choices about bringing production in-house and/or sending cuts overseas.

White is frustrated and saddened that the latter alternative looms so brightly. "If I have an opportunity to manufacture offshore, I probably will, and I believe in U.S. manufacturing. But I don't think the American consumer supports that desire," she states.

While she also is sorry to see many U.S. sewing jobs disappear, the NSPA's Briggs tries to keep an upbeat view of the situation. She notes that while marketing- and design-oriented firms don't necessarily generate many jobs, and often can be run by as few as five to 10 people, they still are making money that contributes to the economy, and may be creating jobs in other countries.

"It's hard to describe a win-win situation [in today's industry]," she observes. "A lot of it depends on what level of community you're talking about. ... It can be a hard balance. What gives to some takes away from others."

Facing the Future & The Changing Consumer

While manufacturers' frustrations of meeting the demands of today's consumers and retailers can present a strong case for the old saying "you can't live with 'em, and you can't live without 'em," in the end everybody still wants their business.

Indeed, to grow a business in today's industry, Fritzi's Tandler asserts: "You have to continue to be creative and compelling and be among the best in everything that you do."