garment industry challenges

Challenges of Garment Industrial in the Future

The raising fashion industry increases the demand for garments. Fashion trends that keep changing give a major contribution to the development of the garment industry not only in Asia but around the globe. But the factory owners should realize the future challenge of this industry such as the increase of industrial sewing machine price, or the increase of labor cost.

Knowing the potential challenges is important so the owners can make strategic plans and take actions to anticipate the obstacles. It is also essential to strive in the industry with strict competitions. Figure out five most potential obstacles and challenges in the garment industry below!

Future Obstacles of Apparel Industry

The potential obstacles encountered by each garment manufacturer may vary depending on the market and scale. The following challenges are made to be general, allowing you to see from a broader point of view. Here are several obstacles of garment industry you may encounter in the future:

Increasing utility cost

The price of an industrial sewing machine and other utility is increasing. For small industries, this becomes a major obstacle as their revenues might be insufficient to cover the costs. In addition to the sewing machine, the cost of electricity, water, and steam should be taken into account.

Higher demand for special products

Manufacturers that export their products to the US or Europe must encounter a greater challenge. The fact that they live a higher living standard, the consumers require products with higher quality standards. The demand for specialized apparel is also higher compared to developed countries in Asia. In addition to the quality, the brand name is also necessary to attract consumers’ attention.

Increasing labor cost

Utility cost is not the only obstacle for the garment industry. Sewing machine operators demand a higher wage which can add financial burden to the factory. This challenge is inevitable and this happens throughout the world, mostly in China and India. Some large manufacturers decide to open factories in countries with lower labor costs to reduce the burden.

Strict competition

The rising fashion industry seems promising for some people. They start to develop another sewing industry with their own strategy. This, of course, develops a strict competition among manufacturers. As with other competitions, the stronger will be the winner. The owners must be able to strive for the competition by doing innovation, analyzing the market, and using attractive marketing strategies.

Economic instability

Economic instability is among the main obstacles not only for the sewing industry but also for other sectors. The world economy and region economy take a major contribution to provide a friendly climate for the entrepreneurs to run the business. Garment factory owners must be able to read the situation to minimize the loss caused by economic and political instability.

Running a business in the garment industry is not without challenge, despite the raising fashion trend around the globe. The brand’s owners should know the potential obstacles that are possibly encountered by the factory, helping them take the right action and develop strategic plans to strive in the business. The obstacles vary, ranging from utility cost to economic instability.





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