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Chinese firm promotes Euro brand

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Pierre Cardin may be one of the most well-known Western fashion brands in China, but very few people know the producer behind the products. That firm is Tianjin-based Jin Tak Garments Co Ltd - GRUPPO GFT.
 
About 16 years ago, when China's fashion industry was just emerging, Jin Tak brought Pierre Cardin to the market.

With an exclusive licence for Pierre Cardin suits and overcoats in China, Jin Tak manages the brand from fabric selection, cutting, stitching and pressing, to distribution and retailing.

Today, it has opened 298 sales outlets and has an annual revenue of US$30 million.

The garment manufacturer is about to move into the new Tianjin Textile Industrial Zone, with a construction area of 12,000 square metres, compared with its existing 8,500 square metres.

This market leader hopes to further lead the country's fashion industry by developing a new business line in totally handmade suits.

The firm will launch its handmade products for this year's autumn and winter collection. To realize its goal, the company will introduce special technology from Italy to upgrade its operations.

This it calls "bringing the Italian-Napoli tailoring way to China," said Stavros Pirounis, president and chief executive officer of Jin Tak.

A new company department will be created later this month to produce 80 to 100 handmade suits a day. Currently, the company can produce 30 a day.

"We see a trend in China of people preferring high quality products, and many of them go for handmade suits," Pirounis said.

He told China Daily that a special work area will be created that will have a good environment, and the company's best workers will be selected to work there under the leadership of an Italian expert tailor.

Quality is the most important factor in this kind of business. It will take about 12 hours to finish a suit by hand, compared with 3 hours for machine-made suits.

Jin Tak says it also places strict quality control over all of its products. Pirounis claimed his quality standard was the highest in the Chinese industry.

High-quality fabrics, good tailoring and craftsmanship, and continuous inspections make a fine garment.

"Our principle is simple: we use the best materials and the best craftsmanship to make our consumers look elegant and modern, and feel comfortable," Pirounis said.

The company says that it does not simply produce fine workmanship, but provides care and love, paying attention to detail.

The company president said that both the cost and profit for a handmade product was high compared with normal machines-made products.

"Production costs are at least 10 times higher and the profit is about 20 to 30 per cent higher."

With this investment in technology and labour, the company will also enlarge its tailor-made business.

"We see an increasing number of customers seeking personalized suits, and they want to get involved in the process and add their personal design to the suits," Pirounis said.

He pointed out that this is mature consumption behaviour. People follow trends when they buy finished products, but they create their own style when they go for tailor-made suits.

Currently, Pierre Cardin's tailor-made business is small, but Jin Tak also has another brand of tailor-made suits. The line is called PIROUNIS after the firm's president.

Starting the brand development in March 2003, the firm has sold 3,500 to 4,000 suits, with half in Europe and half in China.

The brand has a few sales points in Beijing and Zhengzhou, capital of Central China's Henan Province.

Many people think that products made in China are cheap and of poor quality, but Pirounis believes that all his products can compete with Western brands.

"We are not weak in quality. We have a Paris designer, Italian fabric suppliers and the best Chinese craftsmanship. Besides, we sell at comparatively lower prices," he said.

Pirounis suits sells from 5,000 to 8,000 yuan (US$622 to US$996) each.

Pirounis the man does not have plans to further expand his own brand. His focus is on developing the Pierre Cardin brand in China.

The company will launch its new formal menswear collection, targeting young, wealthy Chinese consumers. Those consumers are between 26 and 35.

For the first time, Pierre Cardin will present a total collection for young men in China, including suits, shirts, ties, and casual wear. This will bring a new look to Pierre Cardin products in China.

This age group is dynamic; people want to show that they are different, so our designs will fully express these characteristics, Pirounis said.

The design will take place in Paris, with Japanese designer Kimiyoshi Mirura, who has worked at Pierre Cardin for more than 20 years, leading the work.

The design will follow the Pierre Cardin style, which is famous for high quality fabrics from Italy, good craftsmanship, and the use of Italian tailors and engineers.

The products will also follow the brand philosophy, with a slim shape that allows garments to follow bodylines.

The firm claims the clothes will also be modern and comfortable.

Talking about the challenges in the market, Pirounis pointed out that counterfeiting was still rampant, and that the company has spent huge efforts tackling the problem.

"Starting from this coming autumn and winter collection, we will have a special recognition label in order to easily identify real products from imitation. This will also allow the company to control distribution more efficiently," he said.

He added that the company has been working closely with its distributors, department stores and local governments on the issue.

Established in October 1987, Jin Tak was a joint venture between Italian-based GRUPPO GFT, Hong Kong-based CITIC Group and the Tianjin Textile Group.

GRUPPO GFT is one of Italy's largest and most advanced producers, marketers and distributors of garments in the world.

Of the nine GRUPPO GFT factories around the world, Jin Tak was ranked top in terms of quality outside Italy.

In 2002, Pirounis and his partner Jeffrey Fang bought all GRUPPO GFT's shares in Jin Tak and became the largest shareholder of the joint venture.

It produces about 200,000 garments per year and exports half of its products to European markets and South Asia, while the other half it sells in China.

The company produces garments for department stores and selective stores in European countries such as Italy, Spain, Greece and the United Kingdom. It also processes for many famous international brands.

"And this is not all, there are more new business projects to come," Pirounis said.