The Gap Inc Essays -- Business and Management Studies

The break of serve Inc1. Case SummaryThe counterpane, Inc is a range of retail stores that sell casual apparel,shoes, and accessories for men, woman and children. Headquarter in SanFrancisco the stores operate infra a variety of names including Gap,Banana Republic, Old Navy robes Company, Gap Kids, and baby Gap.All merchandise sold by kitchen range is private label.The Gap was founded in 1969 when Donald Fisher and his wife, Dorisopened a smooth clothing store near San Francisco secernate University. By1971 they were operating cardinal Gap stores. In 1995, Fisher retired asCEO and Drexler, now suppurate 50, took over the title.The Gap contracted with over 500 manufacturers around the adult male thatmade the companies private label apparel according to Gapspecifications. Gap, Inc purchased closely 30 % of its cloth frommanufacturer located in United State and 70% from vendor located in 46foreign countries. No single supplier provided more than 5 % of itsmerchandise.In the wake of business over third world working conditions, the Gapalso adopted a set of sourcing principle and guideline. This providestandard that the vendors had to replete including control in no form ofdiscrimination, used no forced or prison labor, employee no childrenunder 14 years of age, provide a safe working environment foremployees, pay the legal minimum saddle of the local industrystandard- whichever is greater. The Gaps supplier should also meetall applicable local environmental regulation, and comply with the Gap induce more stringent environmental standards, neither threaten norpenalize employees for their efforts to target or bargaincollectively and uphold local custom laws. To go through compliance withits standards, the Gap sends a Gap Field Representative to conductin-depth interview with a prospective supplier prior to the initiationof a business relationship. The Gap supplier in Salvador, run by mandarin International,Taiwanese-owned Company that operated ap parel assembly plants aroundthe world. The Gap had begun contracting with mandarin orange plants in ElSalvador in 1992. A worker there was stipendiary approximately 12 cents forassembling a Gap three-quarter sleeves t-shirt or turtle neck, whichretailed at about $20 in the United States. return at the mandarinplants averaged 56 cents an hour-a level that was claimed to provideonly 80% of the amount neede... ...arin employee who cause Gap product. - The Gap should make sure the entire supplier fulfills its sourcing principle and guidelines. The supplier which doesnt implemented the entire Gap standard and the local government standard, the Gap should avoid doing business with them.- Mandarin International done unethical business by not allowing their employee to make union (fired all the union members) and all the unethical behavior toward the employee.passport- The Gap should choose their supplier carefully and maximize the Gap correction representative by put an eyes and do the regular revaluation not only when they start the business but always monitor the working and social condition of the supplier to comply with the Gap reckon of conduct and also the local government laws.- The Gap representative police officer should do the interview without being known by the Mandarin International, so the employee would be freely to speak about what really happened in the factory.- The Gap should give more effort to increase the quality of live their supplier employee which usually in the third world by giving teaching method or other benefit.