Yes, but wiggle room and all, where is the Vuitton bag factory in China?
I found one of the articles that mentioned several from one of my prior posts:
This article is from 2 YEARS ago. Louis Vuitton started building their factory in China in 2007.
Luxury Clothing Brands Cover Up Outsourcing Production to China
22/08/2010 18:25:00 Kanzhongguo staff
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World-class brand
Prada recently upped its share price in an effort to block a Chinese business tycoon from becoming its largest shareholder, according to a report published in China’s state-run Economic Observer newspaper.
Lu Qiang, the chairman of Shanghai-based garment factory Foxtown, told the newspaper,"(Prada thought) handing over the company to the Chinese would hurt the quality and taste."
However, many luxury brand companies, including Prada, have contract manufacturers (CM) in China bound to secrecy by a non-disclosure agreement.
Many luxury brands have CMs all over the world, but avoid disclosing anything about their overseas manufacturers, and are especially prudent in selecting manufacturing locations because of concerns over consumer confidence, industry insiders say. Nevertheless, the low-cost labor and transportation in developing countries is still an irresistible temptation. After weighing the pros and cons, many luxury brands still chose to outsource their production abroad and seal off the information by signing non-disclosure agreements with their CMs.
Many Asian countries, like China, Vietnam, and Malaysia, became the first choice for outsourcing for many luxury brands. In southern China especially, CMs for luxury products have become common, but they kept very low profile to escape public attention.
A source inside the industry says many world-class luxury brands have long since set up production lines in China. Louis Vuitton started building a manufacturing base in Hangzhou, Zhejiang Province, in early 2007; Zhejiang Sun Hong Garment Co. has been making some of Giorgio Armani’s product lines; and one of China’s largest garment companies, Jiangsu Sunshine Group, is the secret manufacturer for Hugo Boss.
Manufacturing outsourcing in China can be divided into two categories: finished product outsourcing and process outsourcing. Authorized manufacturers in China must sign non-disclosure agreements with the big brands, but as part of their branding strategy the luxury brands never sell their Chinese-made products in China.
Wealthy consumers often pursue those luxury products simply because of their brand names and high prices. To protect their status among the elite, many luxury brand companies with CMs in remote locations in Asia try to cover up that they make their products overseas.
Factories in almost all developing Asian countries are now taking orders from luxury fashion companies. Outsourcing to make a garment, however, is not that simple. Different parts of the garment will be outsourced to different countries. Then all components of the garment are shipped to somewhere, like Hong Kong, to get assembled. Then the finished garment is shipped to those places boasting fashion, like Italy, France or Spain. For the CMs themselves, working for the luxury brands can be strenuous, because of the stringent quality inspection demanded by the luxury companies.
