wasn’t right.”
“Thank you for being so honest.”
“Can we take this plan with us?” May asked. “You have done an excellent job of taking us through it, but now we need to go over it at our own pace. And I’m sure you understand that any decision we make will not be based solely on number projections.”
“Of course you can take the plan, and yes, I know the financials are only part of the decision-making process.”
“Good. I know we’ll have questions when we’re finished. Can we agree to touch base again tomorrow morning? We know you don’t want to drag this out.”
Gillian looked at Amanda, who to Ava’s eyes seemed uncomfortable. Had she made some kind of commitment?
“No, I don’t want us to be kept hanging,” Gillian said. “You know, just as I do, that numbers can be massaged and manipulated, but I think my numbers are an honest representation of where we want to go and what it will cost. But all that aside, I think the big decision is whether or not you believe in Clark.”
Ava glanced sideways at him. He was looking at them, each in turn. When his eyes caught hers, she saw something approaching defiance in them. There doesn’t seem to be any doubt , she thought, that Clark believes in himself.
( 8 )
The car had barely cleared the factory gates when Amanda spoke. “You both know that I really want to do this. I really believe Clark is a genius.”
“He is talented, and the clothes are beautiful,” May said.
“But?”
“Do you really think we’re just talking about ten million? It’s ten million to start, but that’s a very aggressive expenditure plan she has.”
“We could cap it at that.”
“No, I don’t want to go into this venture with that idea in my head. If we do it, then we have to be prepared to spend whatever it takes to make the venture successful. My problem is that I don’t know enough about the clothing business, let alone the fashion business, to be able to put a sensible number against it.”
“I’m also uncertain how well we can do without our own stores,” Ava said.
“You saw that Gillian has targeted high-end retailers as the initial selling vehicle,” Amanda said.
“There’s still an entry cost.”
“Yes, and truthfully it can be high. Some retailers would want us to provide dedicated staff, take positions in their magazines and in ads, and work with them at supporting margins. And there are always sell-offs and clearances,” Amanda said.
“And, high entry costs or not, you still have to convince them that the clothes are worth carrying. The competition for space must be intense, and I’m sure others are just as willing to pay the price.”
“That’s why, when you go over the plan again, you’ll see that Gillian has budgeted a ton of money for public relations and marketing. We need to get the name out there, both directly and indirectly, so we can create a demand that retailers can’t ignore. Actually, according to the people I spoke to, all we need is one retailer to champion the PÖ brand. But it has to be a company with a great reputation. We need to take our time laying the groundwork, but when we go to market, it has to be with a big enough buzz to draw that retailer to our side. That’s why she wants to spend so much money on a show to launch the brand, buying ads in the major magazines, and paying some celebrities to wear Clark’s clothes.”
“And we can do all that for ten million?” May asked.
“Gillian thinks so.”
“Do you?”
“We need to confirm it.”
“How?”
“I was going to recommend that we put Chi-Tze on the file. She did an analysis of the development and growth of the Shanghai Tang chain when she was at business school. She has a good understanding of what’s involved in creating a brand. I would like to bring her to Shanghai to sit with Gillian and take all the time she needs to crunch the numbers.”
“We told Gillian we’d call her tomorrow,” Ava said.
“We could always tell her
“Thank you for being so honest.”
“Can we take this plan with us?” May asked. “You have done an excellent job of taking us through it, but now we need to go over it at our own pace. And I’m sure you understand that any decision we make will not be based solely on number projections.”
“Of course you can take the plan, and yes, I know the financials are only part of the decision-making process.”
“Good. I know we’ll have questions when we’re finished. Can we agree to touch base again tomorrow morning? We know you don’t want to drag this out.”
Gillian looked at Amanda, who to Ava’s eyes seemed uncomfortable. Had she made some kind of commitment?
“No, I don’t want us to be kept hanging,” Gillian said. “You know, just as I do, that numbers can be massaged and manipulated, but I think my numbers are an honest representation of where we want to go and what it will cost. But all that aside, I think the big decision is whether or not you believe in Clark.”
Ava glanced sideways at him. He was looking at them, each in turn. When his eyes caught hers, she saw something approaching defiance in them. There doesn’t seem to be any doubt , she thought, that Clark believes in himself.
( 8 )
The car had barely cleared the factory gates when Amanda spoke. “You both know that I really want to do this. I really believe Clark is a genius.”
“He is talented, and the clothes are beautiful,” May said.
“But?”
“Do you really think we’re just talking about ten million? It’s ten million to start, but that’s a very aggressive expenditure plan she has.”
“We could cap it at that.”
“No, I don’t want to go into this venture with that idea in my head. If we do it, then we have to be prepared to spend whatever it takes to make the venture successful. My problem is that I don’t know enough about the clothing business, let alone the fashion business, to be able to put a sensible number against it.”
“I’m also uncertain how well we can do without our own stores,” Ava said.
“You saw that Gillian has targeted high-end retailers as the initial selling vehicle,” Amanda said.
“There’s still an entry cost.”
“Yes, and truthfully it can be high. Some retailers would want us to provide dedicated staff, take positions in their magazines and in ads, and work with them at supporting margins. And there are always sell-offs and clearances,” Amanda said.
“And, high entry costs or not, you still have to convince them that the clothes are worth carrying. The competition for space must be intense, and I’m sure others are just as willing to pay the price.”
“That’s why, when you go over the plan again, you’ll see that Gillian has budgeted a ton of money for public relations and marketing. We need to get the name out there, both directly and indirectly, so we can create a demand that retailers can’t ignore. Actually, according to the people I spoke to, all we need is one retailer to champion the PÖ brand. But it has to be a company with a great reputation. We need to take our time laying the groundwork, but when we go to market, it has to be with a big enough buzz to draw that retailer to our side. That’s why she wants to spend so much money on a show to launch the brand, buying ads in the major magazines, and paying some celebrities to wear Clark’s clothes.”
“And we can do all that for ten million?” May asked.
“Gillian thinks so.”
“Do you?”
“We need to confirm it.”
“How?”
“I was going to recommend that we put Chi-Tze on the file. She did an analysis of the development and growth of the Shanghai Tang chain when she was at business school. She has a good understanding of what’s involved in creating a brand. I would like to bring her to Shanghai to sit with Gillian and take all the time she needs to crunch the numbers.”
“We told Gillian we’d call her tomorrow,” Ava said.
“We could always tell her
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