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The proposal would reduce inventory and distribution cost while providing customers with a differentiated product. Also being the first in the Mass Custom market would also reinforce its history of being the first comer in the industry.
Even with the 10% in growth in the market, Levi’s net income has dropped 35% due to high levels of competition. Many of Levi’s competitors have moved their production over seas to reduce cost. Levi refused to do this because they wanted to keep their image as a “US- made” “social conscience” company that “provided generous salary and benefits.” This kept Levi from competing on a cost basis...
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