ExpertsGlobal5
Apparel brands and retailers can no longer do business as usual and expect to thrive. Owing to stagnation in markets and the internet, competition is fiercer than ever and consumer demand is more difficult to predict. Mass-market apparel brands and retailers are competing with pure-play online start-ups, the most successful of which can replicate new styles and get them to customers within weeks. Furthermore, apparel companies have lost much of their clout in setting the tone. In most mass-market categories, today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies. Pressure on profitability due to decreasing full-price sell-through, along with increasing concerns regarding the environmental impact of overproduction, calls for agile production in smaller batch sizes and for on-demand replenishment.
In light of these factors, speed to market and in-season reactivity are now more critical than ever to an apparel player’s success. Mass-market apparel brands and retailers can’t win in the next decade without speeding up and transforming to a demand-focused model. Apparel companies need to apply three key levers to support the transformation – optimizing the apparel-production by nearshoring, automating new delivery models around customization, and shifting toward sustainable, circular value chains. Companies need to have a granular understanding of their technology landscape in order to effectively navigate specific changes necessary for such an overhaul.
1. The on-demand replenishment practice, as described in the passage, is adopted by apparel companies in order to
A. respond to today's fast-changing fashion trends
B. deal with depletion of natural resources
C. increase merchandise sale at full-price
D. incorporate agile production practices
E. facilitate the delivery of customized goods
2. Which of the following best describes the relationship between the first and the second paragraph of the passage?
A. The first paragraph provides an industry as an example to understand a business strategy described in the second paragraph.
B. The first paragraph describes the challenges of an industry whose complexity is evaluated in the second paragraph.
C. The first paragraph provides the dynamics of an industry whose practical challenges are described in the second paragraph.
D. The second paragraph provides recommendations to address an industry's challenges identified in the first paragraph.
E. The second paragraph analyzes the practical implications of an industry's transformation described in the first paragraph.
3. Which of the following, if successfully implemented, can likely help apparel companies increase their influence on fashion trends?
A. Building capability to replicate and deliver new styles in weeks
B. Nearshoring to cut down on delivery timeframes
C. Adopting new technology to enhance in-store customer service
D. Entering the realm of internet commerce to sell goods online
E. Partnering with individual influencers to co-promote apparel companies’ designs
4. It can be inferred from the passage that which of the following is a true statement?
A. Nearshoring ensures a better quality of merchandise.
B. Automating new delivery models around customization stabilizes full-price sell-through.
C. Agile production in small batches requires a complete transformation away from traditional processes.
D. Apparel companies with expertise in technological systems are likely to effectively address challenges in the upcoming times.
E. Automating apparel-production makes an apparel company less vulnerable to the impact by individual influencers.
Mind-map
To mention the challenges apparel companies and retailers currently face (Paragraph 1)
To suggest what apparel companies need to do to overcome these challenges (Paragraph 2)
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1. The on-demand replenishment practice, as described in the passage, is adopted by apparel companies in order toa. respond to today's fast-changing fashion trendsb. deal with depletion of natural resourcesc. increase merchandise sale at full-priced. incorporate agile production practicese. facilitate the delivery of customized goodsQuestion Type: FactExplanation: The first paragraph mentions that “on-demand replenishment” practice is adopted by apparel companies because of “pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction”. Each answer choice needs to be carefully evaluated in light of the information presented in this context.A. Although the first paragraph mentions that “today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”, the passage makes no connection between “fashion trends” and “on-demand replenishment” practice. Moreover, the passage doesn’t suggest that today’s fashion trends are “fast-changing”. Furthermore, our expectation from the correct answer choice is on the lines that “on-demand replenishment” practice is adopted by apparel companies because of “pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction”. Incorrect.B. Correct. The first paragraph mentions that “Pressure on profitability due to decreasing full-price sell-through, along with increasing concerns regarding the environmental impact of overproduction, calls for agile production in smaller batch sizes and for on-demand replenishment”, suggesting that “on-demand replenishment” practice is adopted by apparel companies in order to deal with the environmental impact of overproduction, or depletion of natural resources, as the answer choice mentions.C. Trap. The first paragraph mentions that “Pressure on profitability due to decreasing full-price sell-through” calls for “on-demand replenishment” practice; the passage suggests that “decreasing full-price sell-through” puts “pressure on profitability” and this pressure requires companies to adopt “on-demand replenishment” practice; however, the passage doesn’t suggest that “on-demand replenishment” practice is adopted to “increase merchandise sale at full-price”, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that “on-demand replenishment” practice is adopted by apparel companies because of “pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction”. Incorrect.D. Trap. Although the first paragraph mentions that “Pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction” call for “agile production in smaller batch sizes” and for “on-demand replenishment” practice, the passage doesn’t make any connection between “agile production” and “on-demand replenishment” practices; so, it cannot be established that “on-demand replenishment” practice is adopted by apparel companies in order to incorporate agile production practices, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that “on-demand replenishment” practice is adopted by apparel companies because of “pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction”. Incorrect.E. The passage makes no mention of “customized goods” or their “delivery” in the context of “on-demand replenishment” practice; so, it cannot be established that “on-demand replenishment” practice is adopted by apparel companies in order to facilitate the delivery of customized goods, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that “on-demand replenishment” practice is adopted by apparel companies because of “pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction”. Incorrect.B is the best choice.
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2. Which of the following best describes the relationship between the first and the second paragraph of the passage?a. The first paragraph provides an industry as an example to understand a business strategy described in the second paragraph.b. The first paragraph describes the challenges of an industry whose complexity is evaluated in the second paragraph.c. The first paragraph provides the dynamics of an industry whose practical challenges are described in the second paragraph.d. The second paragraph provides recommendations to address an industry's challenges identified in the first paragraph.e. The second paragraph analyzes the practical implications of an industry's transformation described in the first paragraph.Question Type: StructureExplanation: As the mind-map indicates, the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges. Each answer choice needs to be carefully evaluated in light of the information presented in this context.
A. Although the first paragraph mentions the apparel industry, the second paragraph doesn’t describe any “business strategy”; so, it is incorrect to state that the first paragraph provides an industry as an example to understand a business strategy described in the second paragraph, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges. Incorrect.B. Although the first paragraph mentions the challenges of the apparel industry, the second paragraph doesn’t “evaluate the complexity” of the industry/these challenges; so, it is incorrect to state that the first paragraph describes the challenges of an industry whose complexity is evaluated in the second paragraph, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges. Incorrect.C. Although the first paragraph mentions the dynamics of the apparel industry, the second paragraph doesn’t describe the “practical challenges” of the industry/these dynamics; so, it is incorrect to state that the first paragraph provides the dynamics of an industry whose practical challenges are described in the second paragraph, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges. Incorrect.D. Correct. As the mind-map indicates, the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges; in other words, it can be stated that the second paragraph provides recommendations to address an industry's challenges identified in the first paragraph, as the answer choice mentions.E. Although the first paragraph mentions the transformation of the apparel industry, the second paragraph doesn’t “analyze the practical implications” of this transformation; so, it is incorrect to state that the second paragraph analyzes the practical implications of an industry's transformation described in the first paragraph, as the answer choice mentions. Furthermore, our expectation from the correct answer choice is on the lines that the first paragraph mentions the challenges apparel companies and retailers currently face and the second paragraph suggests what apparel companies need to do to overcome these challenges. Incorrect.D is the best choice.
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3. Which of the following, if successfully implemented, can likely help apparel companies increase their influence on fashion trends?a. Building capability to replicate and deliver new styles in weeksb. Nearshoring to cut down on delivery timeframesc. Adopting new technology to enhance in-store customer service d. Entering the realm of internet commerce to sell goods onlinee. Partnering with individual influencers to co-promote apparel companies’ designsQuestion Type: InferenceExplanation: The first paragraph mentions that “apparel companies have lost much of their clout in setting the tone. In most mass-market categories, today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”. The answer choice that indicates a way in which apparel companies can overcome the impact created by “individual influencers and consumers” is the correct answer choice.A. Building capacity to replicate and deliver new styles is a “response” to fashion trends and not likely to help apparel companies “increase their influence on fashion trends”. Additionally, the first paragraph mentions that “today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”; our expectation from the correct answer choice is on the lines that it indicates a way in which apparel companies can likely overcome the impact created by “individual influencers and consumers”; however, it cannot be inferred how building capability to replicate and deliver new styles in weeks can likely help apparel companies increase their influence on fashion trends. Incorrect.B. The first paragraph mentions that “today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”; our expectation from the correct answer choice is on the lines that it indicates a way in which apparel companies can likely overcome the impact created by “individual influencers and consumers”; however, it cannot be inferred how nearshoring to cut down on delivery timeframes can likely help apparel companies increase their influence on fashion trends. Incorrect.C. The first paragraph mentions that “today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”; our expectation from the correct answer choice is on the lines that it indicates a way in which apparel companies can likely overcome the impact created by “individual influencers and consumers”; however, it cannot be inferred how adopting new technology to enhance in-store customer service can likely help apparel companies increase their influence on fashion trends. Incorrect.D. The first paragraph mentions that “today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”; our expectation from the correct answer choice is on the lines that it indicates a way in which apparel companies can likely overcome the impact created by “individual influencers and consumers”; however, it cannot be inferred how entering the realm of internet commerce to sell goods online can likely help apparel companies increase their influence on fashion trends. Incorrect.E. Correct. The first paragraph mentions that “apparel companies have lost much of their clout in setting the tone. In most mass-market categories, today’s hottest trends are determined by individual influencers and consumers rather than by the marketing departments of fashion companies”; by partnering with individual influencers to co-promote apparel companies’ designs, apparel companies can likely increase their influence on fashion trends.E is the best choice.
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4. It can be inferred from the passage that which of the following is a true statement?a. Nearshoring ensures a better quality of merchandise.b. Automating new delivery models around customization stabilizes full-price sell-through.c. Agile production in small batches requires a complete transformation away from traditional processes.d. Apparel companies with expertise in technological systems are likely to effectively address challenges in the upcoming times.e. Automating apparel-production makes an apparel company less vulnerable to the impact by individual influencers.Question Type: InferenceExplanation: Each answer choice needs to be carefully evaluated in light of the information presented in the passage.
A. Although the second paragraph mentions that “nearshoring” is one of the “three key levers” that apparel companies need to transform to a “demand-focused model”,
the passage makes no reference to “a better quality of merchandise” as a result of nearshoring; so, it cannot be established that nearshoring ensures a better quality of merchandise, as the answer choice mentions. Incorrect.
B. Although the second paragraph mentions that “automating new delivery models around customization” is one of the “three key levers” that apparel companies need to transform to a “demand-focused model”,
the passage makes no reference to “stabilized full-price sell-through” as a result of such automation; so, it cannot be established that automating new delivery models around customization stabilizes full-price sell-through, as the answer choice mentions. Incorrect.
C. Although the first paragraph mentions that “Pressure on profitability” and “increasing concerns regarding the environmental impact of overproduction” call for “agile production in smaller batch sizes”,
the passage makes no reference to “a complete transformation away from traditional processes” as a necessity in agile production; so, it cannot be established that agile production in small batches requires a complete transformation away from traditional processes, as the answer choice mentions. Incorrect.
D.
Correct. The second paragraph mentions that “Mass-market apparel brands and retailers can’t win in the next decade without speeding up and transforming to a demand-focused model” and that “
Companies need to have a granular understanding of their technology landscape in order to effectively navigate specific changes necessary for such an overhaul”; so, it can be inferred that apparel companies with expertise in technological systems are likely to effectively address challenges in the upcoming times, as the answer choice mentions.
E. Although the second paragraph mentions that “optimizing the apparel-production by nearshoring” is one of the “three key levers” that apparel companies need to transform to a “demand-focused model”,
the passage makes no reference to “a reduction in vulnerability to the impact by individual influencers” as a result of automating apparel-production; so, it cannot be established that automating apparel-production makes an apparel company less vulnerable to the impact by individual influencers, as the answer choice mentions. Incorrect.
D is the best choice.