Domestic Versus Overseas Apparel Production: Dialogue with San Francisco-Based Manufacturers

This exploratory study identified issues and concerns related to the American apparel industry. Dialogue with apparel manufacturers sought their responses to the following: factors influencing apparel production site selection; opinions on profitability, government intervention, and the future of the American textile and apparel industries; opinions regarding the quality of materials and production techniques in the U.S. and overseas; and awareness of industry-related programs and regulations. Management personnel from nine domestic and nine overseas apparel manufacturers based in the San Francisco Bay Area were interviewed. For the domestic firms the most important criterion for production site selection was lead time; for the overseas firms the most important criterion was cost. Both groups also identified quality control and sourcing as important. A recurring issue for both groups was inflexibility in domestic sourcing and production; they indicated that greater flexibility would increase American apparel industry profits. Both groups predicted more government intervention, increased prices, and continued inflexibility in the future. Not all respondents were aware of industry-related programs and regulations.