Kaihara note
APU Case study
Kaihara Co., Ltd.1
-From a family business to the world leading company in Denim manufacturing-
Prepared by
Masanori Namba
Takeshi
Fujimoto
Introduction
Kaihara Corporation started as indigo Kasuri weaving manufacturing in 1877 and the establishment of the corporation was completed in the year 1893. The head office of the corporation is located in Fukuyama City of Hiroshima Prefecture. The corporation is a long-established business with years of experiences, now employing around 450 people in the company and 650 people in total in the company’ group. s Kaihara holds a total of approximately 80% share in blue jeans domestically and 70% of total export of Denim2 from Japan. The net sale of year 2012 is of 124 hundred million Yen. In terms of sales, the ratio of export is crossing over 30% of the total amount of production.
The company also got the world’ recognition for being the top class manufacturer in Denim s production.
The target market of Kaihara, is a premium fashion for jeans and casual fashion, the customers of Kaihara are Levis, Edwin, GAP, UNIQLO (Fast Retailing Co.), seven jeans, Hugo
Boss, and Pierre Cardin, etc.
One characteristic in Kaihara business is, instead moving the production process abroad like other textile businesses, the choice of having built its 4 production plants domestically in
Hiroshima Prefecture, with consistent jeans material supply for production (spinning, dying, weaving, finishing), as well as consistent sales and marketing.
Kaihara was awarded the 7th “
Porter Prize”in 2007. Porter Prize is managed by Michael
Porter, Professor, Harvard University and Hitotsubashi University, and it is awarded to the excellent management.
1
Prepared in 2005, revised in 2006 and 2013
2
Denim: serge Denim means a fabric that resembled in Nimes area, France
1
(Miwa integrated jeans factory of Kaihara built in 2008, state-of-the-art worldwide)
This case study will focus on
Kaihara Co., Ltd.1
-From a family business to the world leading company in Denim manufacturing-
Prepared by
Masanori Namba
Takeshi
Fujimoto
Introduction
Kaihara Corporation started as indigo Kasuri weaving manufacturing in 1877 and the establishment of the corporation was completed in the year 1893. The head office of the corporation is located in Fukuyama City of Hiroshima Prefecture. The corporation is a long-established business with years of experiences, now employing around 450 people in the company and 650 people in total in the company’ group. s Kaihara holds a total of approximately 80% share in blue jeans domestically and 70% of total export of Denim2 from Japan. The net sale of year 2012 is of 124 hundred million Yen. In terms of sales, the ratio of export is crossing over 30% of the total amount of production.
The company also got the world’ recognition for being the top class manufacturer in Denim s production.
The target market of Kaihara, is a premium fashion for jeans and casual fashion, the customers of Kaihara are Levis, Edwin, GAP, UNIQLO (Fast Retailing Co.), seven jeans, Hugo
Boss, and Pierre Cardin, etc.
One characteristic in Kaihara business is, instead moving the production process abroad like other textile businesses, the choice of having built its 4 production plants domestically in
Hiroshima Prefecture, with consistent jeans material supply for production (spinning, dying, weaving, finishing), as well as consistent sales and marketing.
Kaihara was awarded the 7th “
Porter Prize”in 2007. Porter Prize is managed by Michael
Porter, Professor, Harvard University and Hitotsubashi University, and it is awarded to the excellent management.
1
Prepared in 2005, revised in 2006 and 2013
2
Denim: serge Denim means a fabric that resembled in Nimes area, France
1
(Miwa integrated jeans factory of Kaihara built in 2008, state-of-the-art worldwide)
This case study will focus on