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Maufacturing and Selling Levi Jeans

MANUFACTURING AND SELLING LEVI JEANS IN

INDONESIA, THAILAND, MALAYSIA, AND HONG KONG

The actual manufacturing of the popular Levi jeans in the Asian countries of Indonesia, Thailand, Malaysia, and Hong Kong is mitigated by several factors, most important of which is the fact that all four of those nations are experiencing what the popular press has dubbed the "Asian flu," an economic sickness identified by tumbling currencies, inflation, and the results of aggressive, non-strategized growth that began in the 1980s. During those years, large multinational corporations, responding to the political persuasion of the formal ASEAN nations (a trade and tariff body consisting of the 10 nations comprising the region known as Southeast Asia) and took advantage of the combined factors of a large, undeveloped labor force, vast natural resources and generous host provisions to establish large manufacturing concerns in the region (Dunning, 1995, 464).

Levi-Straus was one of the first to take advantage of this situation, and was able to achieve manufacturing costs that were considerably less than the stateside operations. The original strategy, in theory, was to use these manufacturing outlets to satisfy the increasing demand for Levi jeans and jean products to the Asian market. The strong Asian desire to possess American "things" (especially in Japan) was the engine driving the manufacturing decision. Even today, there is a thriving market in used Levis.

New Levi's jeans can cost up to $100 in most developed countries, so people in Japan, Thailand, Indonesia, and elsewhere in Asia are often willing to pay that much or more for older jeans, which are more of a status symbol. According to most reports, vintage jeans and jackets continue rising in price, by as much as 20 percent a year (Throwing out old..., 1996, 12). The success of the manufacturing outlets in Thailand, Indonesia, and China was so outstanding that Levi Straus...

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Maufacturing and Selling Levi Jeans. (1969, December 31). In LotsofEssays.com. Retrieved 08:55, March 29, 2024, from https://www.lotsofessays.com/viewpaper/1694898.html