Lessons from the Dominican Republic

(March 2007) Although price remains the main factor in sourcing decisions, brands are also concerned with guaranteeing that their products reach stores at the right time. According to brand representatives, instability in different countries also motivates brands to keep work in different countries located in different regions. For brands selling in the US market, it is quite likely that their strategies first divide suppliers into two big categories: Asia/Americas. 

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Canadian t-shirt manufacturer Gildan Activewear is closing two factories in Mexico, two Montreal textile plants and a cutting operation in New York. An estimated 1,365 Mexican and 465 Canadian and U.S. workers will be laid off. Workers at the Mexican factories were particularly hard hit, as the region is already reeling from Hanesbrands' laying-off of 1,700 workers in December 2006. With MSN’s assistance, our local Mexican partner organization in Monclova, SEDEPAC, put forward a series of proposals to Gildan.

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