Most of the garments and textiles are cut and sewn by women who are living in the developing world and one could argue that most of them are not earning a living salary.
So what does all of this mean?
Let's break down the distribution!
RETAIL COSTS
Retailers own staff, rent, tax and more.
BRAND MARGIN
Brands staff, rent, mark-up and profit margin.
MANUFACTURING COSTS
Materials, direct labour cost and manufacturing overhead.
LABOUR
What if paid to the workers.
FACTORY MARGIN
Other costs not directly part of the garments.
FOB. (Freight on board)
The total paid to a factory for a garment.
WHOLESALE
The price a store pays for a garment before they sell it on to costumers.
RETAIL PRICE
The price costumers pays for the garment.