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"Their problem is our problem because they are our factories," he said.
We have many factories that produce exclusively for Ferragamo.
The agreement is a handshake, a look at them in the eyes, but no contract." Such an arrangement, he argued, was time-tested and a win-win formula because Ferragamo could walk out when the factories failed to perform, and the factories did not have to worry about losing contracts to others because the partnership would continue indefinitely.
One factory has worked for Ferragamo for 58 straight years.
In addition, when the market fluctuated, quantities could be varied more flexibly in the absence of a contract, Ferragamo said, which helped both factories and the company.
Italian luxury fashion house Ferragamo has done business the old-fashioned way for decades with the factories that make its goods - "a firm handshake and a look in the eye".And this very Italian way of doing business will continue even amid technological change and cost pressures, according to company chairman Ferruccio Ferragamo, who visited Hong Kong late last year.After attended a China/Hong Kong Business/Trade Seminar in Hawaii...still unsure what to do next, contact us, our Officers, Directors and Founding Members are actively engaged in China/Hong Kong/Asia trade - we can help!"Asian Lunar New Year Commemoration Week" The one week period following the day of the Chinese New Year shall be known and designated as the "Asian Lunar New Year Week of Commemoration in Hawaii".
"Because we are 100 per cent made in Italy the market is worried about the high costs and all that," Ferragamo said, noting that his competitors had relocated part of their production outside Italy, either officially or unofficially.
"But we have a very flexible structure that means we can compete very well.