big business

The world's consumers spend around US$1 trillion a year buying clothes, with around one third of sales in the European Union, one third in North America and one quarter in Asia. In 2004, UK clothing sales alone were worth £36 billion - a 19% increase since 2000.

The market in garments is dominated by an ever smaller number of big companies. These companies deal mainly with retailing, the lucrative side of the garment industry, while manufacture is sub-contracted across the world.

In the UK, the two leading clothing companies, Marks & Spencer and Arcadia, hold more than 20% of the UK women's clothing market by value. According to the Department of Trade and Industry, the largest shops and chains control about 75% of the clothing market. Indeed, the UK clothing industry is more centralised than any other in Europe, with the top 5 companies (Marks and Spencer, Arcadia Goup, Next, Matalan and BhS) accounting for 43% of turnover.

The cost of clothing continues to fall in real terms each year, with H&M's advertising campaign of summer 2006 showcasing 'catwalk' dresses for £9.99. At the same time, company profits continue to climb, with Arcadia Group  registering profits of £228 millions and Nike of over US$1 billion in 2003.

Further information: 

- For more detailed information about big business, see factsheet 2a.

- To learn more about big brands are driving down employment conditions read the Oxfam report Trading Away Our Rights: Women working in global supply chains.

- Read Naomi Klein's book No Logo

 

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