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Buying House

MerchandisingSession 2

Export Merchandising

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a. personal trips to the wholesale market

b. resident buying office (RBO) in the

manufacturing markets

Foreign brands source through.

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Structure of buying office/house

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Country

Manager

GM

Merchandisin

gGM Quality

Manager

Shipping

DMMMenswear

DMMWomenswear

DMMKidswear

MM

Seniormerchandiser

Merchandiser

Jr.

Merchandiser

Accounts/

financeCAD

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Country

Manager

GM QualityManager

Shipping

Accounts/

financeCAD

GM

Merchandisin

g

Senior Q.A.

Manager

Q.A.

Manager

Q.A.

Q.C.

Asst.

ManagerShipping

Assistant

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Types of resident buying office/house

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RBOs can be store owned(liaison office) or

independent office(agents)

RBO

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How to sell to foreign brands

An exporter can supply to foreign brands via:

1. Middlemen buying agency

2. Foreign brands resident office a.k.a. liaison

office

3. Direct selling to foreign brand

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Importance, functions and services ofbuying office

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Saves time

Saves sourcing costs (multiple market trips)

Monitoring

Quality assurance

Professional assistance

Merchandising

Design input

Purpose of RBO

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Order flow

8/3/2019 Session 2 Export Merchandising

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Buyer

(foreign brand)

Destination

country Buying

agency

(India)

Exporter

(India)Customs

(India)

Customs(Destination

country)

S

hipment

Shipment

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Merchandiser(buying house)

(India)

Buyer

(merchandiser,designer, technician)

(Destination country)

Nominated

fabric/trimsuppliers

(India/abroad)

Merchandiser,production & finishing

manager, Q.A., shippingmanager,

(Export house, India)

Shipping

(India)

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Role of Merchandiser in Buying Office

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Responsibilities of a merchandiser

1. Glorified clerks

2. Communicator

3. Merchandisers need to have updated

information on colours, fabrics, and styling for

the forthcoming season which can be obtained

from the buyers, foreign counterparts of

buying agencies & from fashion/clothing mags

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Responsibilities of a merchandiser

4. Coordinating with factories for submits

such as yarns/ lab dips, desk loom, bulk

fabrics, fit samples, pre-production

samples, etc.

5.Order enquiry Cross costing & pricing,

negotiations - securing orders distributing orders

6.ensuring that the product is developed as

per buyers requirements

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Responsibilities of a merchandiser

7. To coordinate with factories and buyers very

closely to ensure that right quality samples and

bulk production are shipped timely8. Merchandisers need to be meticulous, update

the records/system on time and need to

systematically follow up with factories & buyers

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Responsibilities of a merchandiser

9. Coordination with Q.A. dept. ensure that all

buyer comments on the samples submitted

prior to production i.e. proto, fit, pre-

production samples are implemented in bulk

production

10.C

ross check samples at the pilot run, inlineand midline and track the day-to-day

production output based on the status given

by the factory as well as the stationed QCs

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Responsibilities of a merchandiser

11.Buyer contact & Client servicing

12.Should draw an apt sourcing & vendor

management strategy

13.Ensure meeting of deadlines

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Global sourcing/low-cost sourcing/emerging-market sourcing/off

shoring.

Whatever phrase you use, they all point to a new significant

trend within the procurement business.

Global sourcing is a buzzword in every trade that are attracted by

the prospect of low costs, proximity to markets and increased

profits.

For companies interested in global sourcing, the world is their

oyster.

Depending on their strategic needs, they have many candidate

countries to choose from: India, China, Malaysia, Vietnam,

Thailand, South Africa, Tunisia, Egypt, Morocco, Brazil and

Mexico, as well as countries in Central, Eastern and Southern

Europe.

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6 Ps for SOURCING

POSSIBILITIES

PLANNING PROACTIVENESS

PASSION

POSITIVE ATTITUDE

PERSISTENCE

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Global Sourcing is the world flat Global Sourcing is the world flat