So, here is a table describing what I have used to make my striped tote bag:
My Product: Striped Tote
Bag
|
|
Stripe Fabric (1/2
Yard)
|
10
|
Ribbon
|
3
|
Dangling Stone
|
1
|
0.20 Hours @15
|
3
|
Total Production
Cost
|
17
|
30% Profit
|
5.1
|
Total cost Plus
Profit
|
22.1
|
Estimated Retail
Price
|
30
|
Above table shows the list of prices for the items that I used for making my product, the stripe tote bag. I multiplied the amount of time it took me to finish making the bag (2 hours) by the amount I expect to be paid per hour if I worked for retail store, which is my total wage expected.Therefore the total cost is all the materials cost plus the wage, $17. I also assumed that I would be making 30% profit by selling striped tote bag. Therefore I multiplied the total production cost by 30% to find out my total profit, $5.1. My total cost plus profit is higher ($22.1) than my expected wage of $15. However the estimated retail price which I have found by asking a fashion forward friend is much higher, $30. Therefore my friend thinks this item can be sold at a much higher price of $30. Therefore every time I sell each of this striped tote bag would give me a profit of $7.9.
Here is a picture of my striped tote bag. I would love to hear your estimated retail price, therefore the amount you would like to pay for the striped tote bag.
Best thing about making the striped tote bag was to look for beautiful fabric in the fabric store and I came across this dangling stone at the store and thought of attaching it on the handle.
"Your product" section of Understanding fashion Production is important to use your creative side and bring out the best from your understanding of craft and design. It is helpful both in developing your crafting skill and in calculating your production costs and profit of your business.
If you are excited of doing this Parsons Teen Vogue certificate program and want to learn about Understanding Fashion Production course enroll in Parsons Teen Vogue now.
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