SWOT ANALYSIS IN DESIGNING NEW MODELS

Today designing and getting of new ideas in fashion industry should become an organised process that requires thorough, systematic approach that is given a basic direction both by a designer and a capable manager team. Such an educated and creative team ensures designing and gaining new articles of clothing as being the most important element in the development of garment industry done as planned and continually according to current situations and priorities.

In fashion industry this process is neglected, so many companies are struggling for their existence. It is necessary to do SWOT analysis in order to get marketing weapon and overcome all existing problems that is to take all advantages and eliminate weaknesses of the company.

It is possible to point out solutions and consequences by the analysis. As well as to show how a fashion industry should get better by the help of this analysis. SWOT analysis must be summarised, specific and to analyse key questions of each company but not ad-hoc suppositions that do not point out future actions. On the basis of SWOT analysis it is necessary to do detailed estimate of competition in fashion industry.

SWOT analysis is the method of strategic planning that enables analysis of estimates and combining of internal factors with information from external sources on the market and in business environment.

Internal estimate as well as analysis of strengths and weaknesses in textile companies refers to factors that can be controlled within the organisation. That concerns not only material expenses and technical-technological equipment but the standing of the firm and existing brand, innovative activity of designers' team and marketing service. While doing an internal estimate there are hindered factors such as subjectivity, lack of trust, running away from reality. Weaknesses cannot be often overcome in a short period of time.

Internal estimate (strengths and weaknesses) and external estimate (possibilities and dangers)

External estimates mean those possibilities and dangers that will have a main influence on business results of a textile company. New fashion trends, that is, new designs that should be accepted, should bring new results. The problem that exists in garment industry is that we analyse and follow trends that have already taken place on the fashion scene so while a collection is being accepted and the preparation for production is getting completed a new fashion demand is here, and the old one hasn't got accustomed yet.

External estimate is made by strength and dangers connected with a market, technology, scientific- technological development, changes in micro and macro environment, economy, ecology, etc. It can happen that for one company depending on its ability to follow fashion trend »blindly«, the production of the very up- to- date design means advantage, while for the other textile company that has classical brand in clothing the same fashion trend and a new design are danger. 

Within a fashion company with special attention to the problems of designing a new product it is necessary to observe within internal estimate, first of all skills, training, attitude of marketing team, fashion designer and technologist and then the production management structure of the company itself, current systems (CAD/CAM systems), relations and communications among people. For the purpose of manufacturing an adequate product, real expenses must be estimated especially of textile fabrics, quality of manufacturing garments in order to lengthen a life cycle of a fashion product and not to neglect technical-technological capacities of the company. The rhythm of technological development is faster than the development of human generation (life time for technological generation is 4 to 5 years, that is 7 to 8 times less than an engineer's length of service in garment industry), so permanent training of production- technical employees is necessary.

Within an external estimate when analysing possibilities and dangers of a fashion product that should be designed and redesigned in accordance with a fashion trend, it is necessary to study the very situation on the market, to determine target groups and categories of consumers. Fashion companies that do not invest in the development of products and production technology get into danger and can't »keep pace » with fashion trend although they try hard. A good distribution net besides placing goods on the home market should think of doing it on the foreign market. Because of poor economic power and great competition on the world market there are possibilities for many fashion companies to fail, therefore a good distribution net should enable joint breakthrough for many fashion companies to the foreign market, as the only possibility.

A large number of not standardized fashion products, not harmonized sizes and quality of production are danger for gaining an access to the world market. This problem can be solved by introducing the system of sizes according to ISO standard.

SWOT analysis can be of a special importance in fashion industry when used for designing a new article of clothing that is collection. 

SWOT analysis for new collection 

Read more: Strategic management in the garment industry, Woodhead Publishing Limited