netrashetty
Netra Shetty
Martin Marietta Materials (NYSE: MLM) is in the aggregate, chemical, and composite material business. It is the second largest producer of crushed stone, sand, and gravel in the United States behind Vulcan Materials Company. It is a leading U.S. producer of magnesia-based chemical products used as additives in applications including ceramics, paper, sugar, animal feed, and water treatment. It produces domolitic lime used as a fluxing agent by the steel industry. It is a supplier of fiber-reinforced polymer products for use in infrastructure such as panels and bridge decks and transportation components such as truck trailers and railroad cars.
It was established as an independent company in 1996, spun off from the newly created Lockheed Martin after having been part of Martin Marietta since 1961. It dates its origins back to 1939, when Superior Stone, an aggregates company in Raleigh, North Carolina, was founded. The company's corporate headquarters is located in Raleigh.
As of 2008 it employed 4,900 people and had sales of $2.1 billion.
Apparel and Apparel Licensing - China
The rapid expansion of China’s economy has attracted great interest from many international apparel companies looking to explore and exploit the vast potential of China’s clothing market. China is the world's fastest growing market for licensed goods, of which clothing is a major portion, and has grown almost 60%, from US $600 million in 2001 to US $1 billion in 2004. Despite its very short history of development, the huge size of the economy in parallel with such rapid development has made China the second largest licensing market in Asia. Hong Kong apparel licensing companies are the major players on the mainland. They are expected to play a continuing important role in the mainland market, particularly since the implementation of the Closer Economic Partnership Arrangement (CEPA) agreement. With 90% of apparel licensing brands in the mid to high-end segments, the China market should prove to be an excellent market for US apparel exporters.
Contents
[hide]
1 Market Demand
2 Key Suppliers
3 Market Entry
4 Best Prospects
5 Market Data
6 Market Issues & Obstacles
7 Sources
Market Demand
China accounts for almost 5% to 6% of the total European luxury goods sales. According to mainland Chinese consumer surveys, international apparel companies are very strong in design, workmanship, special-designed accessories and quality. Mid to high-end consumers have developed a strong awareness of international brands through tours and shopping trips to Europe, US, Korea, Japan and Hong Kong. Mid-to-high-end name brand apparel from the US, Europe and Japan are the most popular and recognized in China. Through increased media advertising, Chinese consumers are very sensitive and knowledgeable of the latest market trends. Licensed and known labelled apparel generally appeal to young and middle age consumers.
Casual Wear: Casual wear accounts for the bulk of apparel sales. According to a recent survey conducted by KurtSalmonAssociates, the demand for casual wear has reportedly increased 10% every year in China for the past several years. It is estimated that the total consumption will reach to RMB 460 billion in 2010.
Formal Dressing: A general trend towards corporate attire has led to a rising demand for more formal attire, particularly suits.
Teenagers: The major driving force in clothing market in the coming years could well be teenagers. The number of teenagers in China was expected to be 327 million in 2005. A recent survey found that teens are saving money by value shopping. They are seen as “spenders” due their receipt of considerable spending cash in one child family.
Easy-care Clothing: Clothing made of stain-resistant and wrinkle-free fabrics are welcome in the market. It is estimated that more than one third of apparel is now made of easy-care fabrics, and the volume of this type clothing is expected to continue in the next few years.
Key Suppliers
International designers that once ignored Chinese luxury markets are now scrambling to save their identities from counterfeiters, with European powerhouses like Prada and Louis Vuitton leading the way.
Mango: By 2005, Spanish Mango had opened 22 licensed stores in China and now is looking to open another 80 more license stores in the coming five years. The sales volume of Mango in Asia and China accounts for 10% of the company’s total worldwide sales.
Levi Strauss & Co.: Retail sale of Levi Strauss brand jeans at about 200 locations throughout China, at about double the price in the U.S.
Jones Apparel Group Inc.: Operates 50 stores in China by the end of 2006, doubling the number at the end of 2005. The company also plans to add additional10 to 15 stores a year under its Nine West, Anne Klein and Jones New York brands.
Kellwood Co.: This firm has developed several of its well-known brands in China through licensing pattern.
Esprit: Entered the mainland market in 1992, and has more than 300 outlets in 50-plus cities. Their sales have maintained a momentous growth rate of 50 percent since 1999. It aims to have 1,500 Esprit and Red Earth outlets on China's mainland in three years.
Gieves & Hawkes: Has numerous fine stores and concessions in China already.
NAC: Opened its license stores in August 2006, Wenzhou China. Its target consumers are from 16-28.
VF Corp. Owns the following brands - Lee Jeans, Inditex SA's Zara, GAP (U.S.), H&M (Switzerland) and C&A (Germany) - which have opened or are about to open several stores in China.
Casual Wear: This product line is led by Polo Jeans, Tommy Hilfiger, La Silmo’s, IT Life, Tru Trussardi, Carlo Casetello and Harmont & Blaine, Donna Karen, Ralph Lauren, Karl Lagefeld, Sisley, Levi’s, NAC, and Adidas
Formal Dressing: BVLGARI, Burberry, Bally, Giada, and Dunhill, and Gieves & Hawkes are the current leading brand names.
Fashion Dressing: Escada, Boss, Aquascutum, JC Versace, Prada, Dior, Calvin Klein, Chanel, Mango, Giorgio Amani and Angila are already well established.
Teenagers: Baleno, Bossini, Old Navy, Lee’s, Levi, and Nine West are the favorite choices among specialty apparel stores for teens.
Easy-care Clothing: Dockers and Liz Claiborne are two of the best-known brands.
Market Entry
Companies from the US, Europe, Japan, Taiwan and local companies like Warner Bros., Kellwood Co., and others are setting up their sub-companies in mainland China or have regional headquarters in Hong Kong and travel back and forth. These facilities are designed for sourcing, production, and partnering among the network of Chinese R & D facilities.
In the past, many famous foreign licensors have entrusted the exclusive rights to Hong Kong licensing agents to develop their business in Asia. Industry participants estimate that there are less than 100 licensors and licensing agents in Hong Kong. Many licensing industry participants are members of the Licensing Executive Society of China, Hong Kong chapter. The significance of Hong Kong's licensing business lies in its status as a hub for licensing activities throughout Asia, but especially mainland China. Hong Kong has been used as a gateway in the past for many, varied industries. Under the Closer Economic Partnership Agreement, Hong Kong’s status has been raised to a new level and has perpetuated using Hong Kong as a gateway. Within a 100-mile radius, there are five major airports, three new rail systems under construction, and plans to link the transportation systems with advanced port development at Yantian and other deep-water ports. Many companies will continue to use Hong Kong but with the new transportation systems, direct links with the mainland will grow without connecting through Hong Kong.
Apparel manufacturers who have their own distribution channels in China’s market or who have partnered with reliable Hong Kong-invested distributors can and have become even stronger candidates as licensees for popular foreign properties.
Best Prospects
Apparel licensing is becoming a global business and is increasingly export-oriented. Statistics indicate that about one-third of the total revenue of global apparel licensing companies is generated from overseas territories. The Internet, TV programs, fashion magazines and other entertainment programs are affecting the international apparel licensing business. Characters, fads, brands and fashion trends now travel at high speed, shortening the time it takes to get a product from a licensed concept to the retail shelves.
More and more Chinese consumers are frequently traveling to foreign countries, or just to Hong Kong for shopping. They are able to know and are familiar with more global apparel brands, recognize fashion trends, and are seeking quality products. They are eager to buy these same products in China. Under the current franchising law, qualified foreign companies are allowed to operate on the licensing model. This will stimulate licensing business in China. Already many hotels are serving as a showcase for licensing agents. In Guangzhou, the leading hotels all have first class retail shops that display the latest in apparel from all over the world.
Closer Economic Partnership Arrangement between Hong Kong and the Mainland (CEPA) has further opened up the mainland market for Hong Kong products and the distribution business through Hong Kong companies. Since effective distribution is vital to the success of a licensing deal, Hong Kong companies that have already develop their businesses in China, are often sought after as distributors for foreign licensors products on the mainland, although many companies are going direct into China.
It was established as an independent company in 1996, spun off from the newly created Lockheed Martin after having been part of Martin Marietta since 1961. It dates its origins back to 1939, when Superior Stone, an aggregates company in Raleigh, North Carolina, was founded. The company's corporate headquarters is located in Raleigh.
As of 2008 it employed 4,900 people and had sales of $2.1 billion.
Apparel and Apparel Licensing - China
The rapid expansion of China’s economy has attracted great interest from many international apparel companies looking to explore and exploit the vast potential of China’s clothing market. China is the world's fastest growing market for licensed goods, of which clothing is a major portion, and has grown almost 60%, from US $600 million in 2001 to US $1 billion in 2004. Despite its very short history of development, the huge size of the economy in parallel with such rapid development has made China the second largest licensing market in Asia. Hong Kong apparel licensing companies are the major players on the mainland. They are expected to play a continuing important role in the mainland market, particularly since the implementation of the Closer Economic Partnership Arrangement (CEPA) agreement. With 90% of apparel licensing brands in the mid to high-end segments, the China market should prove to be an excellent market for US apparel exporters.
Contents
[hide]
1 Market Demand
2 Key Suppliers
3 Market Entry
4 Best Prospects
5 Market Data
6 Market Issues & Obstacles
7 Sources
Market Demand
China accounts for almost 5% to 6% of the total European luxury goods sales. According to mainland Chinese consumer surveys, international apparel companies are very strong in design, workmanship, special-designed accessories and quality. Mid to high-end consumers have developed a strong awareness of international brands through tours and shopping trips to Europe, US, Korea, Japan and Hong Kong. Mid-to-high-end name brand apparel from the US, Europe and Japan are the most popular and recognized in China. Through increased media advertising, Chinese consumers are very sensitive and knowledgeable of the latest market trends. Licensed and known labelled apparel generally appeal to young and middle age consumers.
Casual Wear: Casual wear accounts for the bulk of apparel sales. According to a recent survey conducted by KurtSalmonAssociates, the demand for casual wear has reportedly increased 10% every year in China for the past several years. It is estimated that the total consumption will reach to RMB 460 billion in 2010.
Formal Dressing: A general trend towards corporate attire has led to a rising demand for more formal attire, particularly suits.
Teenagers: The major driving force in clothing market in the coming years could well be teenagers. The number of teenagers in China was expected to be 327 million in 2005. A recent survey found that teens are saving money by value shopping. They are seen as “spenders” due their receipt of considerable spending cash in one child family.
Easy-care Clothing: Clothing made of stain-resistant and wrinkle-free fabrics are welcome in the market. It is estimated that more than one third of apparel is now made of easy-care fabrics, and the volume of this type clothing is expected to continue in the next few years.
Key Suppliers
International designers that once ignored Chinese luxury markets are now scrambling to save their identities from counterfeiters, with European powerhouses like Prada and Louis Vuitton leading the way.
Mango: By 2005, Spanish Mango had opened 22 licensed stores in China and now is looking to open another 80 more license stores in the coming five years. The sales volume of Mango in Asia and China accounts for 10% of the company’s total worldwide sales.
Levi Strauss & Co.: Retail sale of Levi Strauss brand jeans at about 200 locations throughout China, at about double the price in the U.S.
Jones Apparel Group Inc.: Operates 50 stores in China by the end of 2006, doubling the number at the end of 2005. The company also plans to add additional10 to 15 stores a year under its Nine West, Anne Klein and Jones New York brands.
Kellwood Co.: This firm has developed several of its well-known brands in China through licensing pattern.
Esprit: Entered the mainland market in 1992, and has more than 300 outlets in 50-plus cities. Their sales have maintained a momentous growth rate of 50 percent since 1999. It aims to have 1,500 Esprit and Red Earth outlets on China's mainland in three years.
Gieves & Hawkes: Has numerous fine stores and concessions in China already.
NAC: Opened its license stores in August 2006, Wenzhou China. Its target consumers are from 16-28.
VF Corp. Owns the following brands - Lee Jeans, Inditex SA's Zara, GAP (U.S.), H&M (Switzerland) and C&A (Germany) - which have opened or are about to open several stores in China.
Casual Wear: This product line is led by Polo Jeans, Tommy Hilfiger, La Silmo’s, IT Life, Tru Trussardi, Carlo Casetello and Harmont & Blaine, Donna Karen, Ralph Lauren, Karl Lagefeld, Sisley, Levi’s, NAC, and Adidas
Formal Dressing: BVLGARI, Burberry, Bally, Giada, and Dunhill, and Gieves & Hawkes are the current leading brand names.
Fashion Dressing: Escada, Boss, Aquascutum, JC Versace, Prada, Dior, Calvin Klein, Chanel, Mango, Giorgio Amani and Angila are already well established.
Teenagers: Baleno, Bossini, Old Navy, Lee’s, Levi, and Nine West are the favorite choices among specialty apparel stores for teens.
Easy-care Clothing: Dockers and Liz Claiborne are two of the best-known brands.
Market Entry
Companies from the US, Europe, Japan, Taiwan and local companies like Warner Bros., Kellwood Co., and others are setting up their sub-companies in mainland China or have regional headquarters in Hong Kong and travel back and forth. These facilities are designed for sourcing, production, and partnering among the network of Chinese R & D facilities.
In the past, many famous foreign licensors have entrusted the exclusive rights to Hong Kong licensing agents to develop their business in Asia. Industry participants estimate that there are less than 100 licensors and licensing agents in Hong Kong. Many licensing industry participants are members of the Licensing Executive Society of China, Hong Kong chapter. The significance of Hong Kong's licensing business lies in its status as a hub for licensing activities throughout Asia, but especially mainland China. Hong Kong has been used as a gateway in the past for many, varied industries. Under the Closer Economic Partnership Agreement, Hong Kong’s status has been raised to a new level and has perpetuated using Hong Kong as a gateway. Within a 100-mile radius, there are five major airports, three new rail systems under construction, and plans to link the transportation systems with advanced port development at Yantian and other deep-water ports. Many companies will continue to use Hong Kong but with the new transportation systems, direct links with the mainland will grow without connecting through Hong Kong.
Apparel manufacturers who have their own distribution channels in China’s market or who have partnered with reliable Hong Kong-invested distributors can and have become even stronger candidates as licensees for popular foreign properties.
Best Prospects
Apparel licensing is becoming a global business and is increasingly export-oriented. Statistics indicate that about one-third of the total revenue of global apparel licensing companies is generated from overseas territories. The Internet, TV programs, fashion magazines and other entertainment programs are affecting the international apparel licensing business. Characters, fads, brands and fashion trends now travel at high speed, shortening the time it takes to get a product from a licensed concept to the retail shelves.
More and more Chinese consumers are frequently traveling to foreign countries, or just to Hong Kong for shopping. They are able to know and are familiar with more global apparel brands, recognize fashion trends, and are seeking quality products. They are eager to buy these same products in China. Under the current franchising law, qualified foreign companies are allowed to operate on the licensing model. This will stimulate licensing business in China. Already many hotels are serving as a showcase for licensing agents. In Guangzhou, the leading hotels all have first class retail shops that display the latest in apparel from all over the world.
Closer Economic Partnership Arrangement between Hong Kong and the Mainland (CEPA) has further opened up the mainland market for Hong Kong products and the distribution business through Hong Kong companies. Since effective distribution is vital to the success of a licensing deal, Hong Kong companies that have already develop their businesses in China, are often sought after as distributors for foreign licensors products on the mainland, although many companies are going direct into China.
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