Rivoli Questions Ch. 10
1. Explain what the US’s new comparative advantage is in the T-shirt market. Use the terms supply, demand and cast-off in your explanation.
2. Explain how Figure 10.1 demonstrates that the US has become a major exporter in the used clothing market.
3. How does trade for clothing recyclers’ differ from that of retailers and exporters of new clothing?
4. What does Rivoli mean by “snowflake”? And how is the recycled clothing market an industry for the little guy” instead of a large corporation?
5. How is the Stubin business “both the rule and the exception” of the recycled clothing business?
6. Explain how geography influences the prices that the Stubins pay for recycled clothing.
7. How has
the recycled clothing market changed during the past 30 years? Use the
prices and mining in your answer.
8. What is the role of “vintage” clothing in the mining of recycled clothes?
9. Describe Japan’s role in the recycled clothing market.
10. What skills must Sunny Stubin possess to succeed in this market?
11. Where do most of the US recycled clothing exports go? How is this odd?
12. Explain how African customers are “king” in the recycled clothing market. Use the term supply in your answer.
13. Describe the way that recycled clothing is packaged for transport to Africa. How does reflect that exporters are attuned to their African customers’ demands?
14. What is the value of a used t-shirt in Africa? How does that compare to the value of the raw cotton and new t-shirt sold by Sherry Manufacturing?
15. Where is the “vintage” clothing sold?
16. Where are the winter coats sold?
17. Where is the old wool sold?
18. Where are cotton sweaters sold?