SIC 2323 Men's and Boys' Neckwear
SIC 2323
This category includes establishments primarily engaged in manufacturing men's and boys' neckties, scarves, and mufflers from purchased woven or knit fabrics. Knitting mills primarily engaged in manufacturing neckties, scarves, and mufflers are classified under SIC 2253: Knit Outerwear Mills.
315993
Men's and Boys' Neckwear Manufacturing
This industry boomed in the 1990s, peaking at $1.3 billion in 1996. From there, it plummeted over the next several years, falling to only $800 million in 2002. Per a D&B Sales & Marketing report in 2006, sales for the industry dropped further to $242.4 million. Two key forces contributed to the decline. One was the introduction and widespread influence of a more casual dress code in the work environment for traditional white-collar employment. Second, the apparel industry in general suffered major decline during the mid-2000s, as World Trade Organization (WTO) countries began to phase out their quotas on clothing and textiles. This was in furtherance of the original agreement between member countries that created the organization itself. All quotas were eliminated as of January 1, 2005.
According to a 2005 FDCH government account report, U.S. shipments of apparel products fell more than 50 percent between 1995 to 2004, to about $56 billion. Overall industry employment also declined by more than 50 percent for the same period. Conversely, imports of textiles and apparel products grew significantly, from $44 billion in 1995 to approximately $83 billion in 2004.
Notwithstanding, the industry appeared to regain some ground in the mid 2000s, as neckwear manufacturers promoted the use of their products as image-making necessities in a competitive and fast-paced business world.
According to the U.S. Census Bureau, approximately 66 establishments operated in this category for part or all of 2004. Industry-wide employment totaled approximately 2,742 workers receiving a payroll of nearly $88 million. Companies in this industry tended to be smaller in size with nearly 65 percent employing less than 20 workers while only 3 percent have greater than 500 employees. The Annual Survey of Manufactures reported that the apparel accessories and other apparel manufacturing industry (also including: hat, cap, and millinery manufacturing; glove and mitten manufacturing; and other apparel accessories and other apparel manufacturing) was valued at $2.54 billion in 2005, an increase from the 2004 total of nearly $2.44 billion. Additionally, for the overall industry a total of 14,679 employees worked in production in 2005 (of 20,571 employees), putting in 27.5 million hours to earn wages of more than $273 million. The U.S. Department of Labor's Bureau of Labor Statistics showed moderate losses (8,000 workers) in expected employment for the apparel accessories and other apparel manufacturing industry as a whole by 2014 after substantial losses (21,000 workers) were experienced from 1994 to 2004; a minimal decrease of 1.5 average annual rate of change is anticipated in output between 2004 to 2014.
According to the U.S. Census Bureau's 2002 Economic Census (updated every five years) the industry was divided into three segments led by men's, junior's, and little boys' silk and polyester neckties (more than $309 million in the value of product shipments); men's and boys' neckwear, nsk, total ($20.8 million in the value of product shipments); and men's, juniors', and little boys' all other fabrics neckties and other neckwear ($11.6 million in the value of product shipments).
Dun & Bradstreet reported in 2006 that the industry's estimated 173 establishments posted annual sales of about $242.4 million with about 2,677 employees. California led with $90.5 million in sales followed by New York with nearly $55 million in sales and North Carolina with nearly $18 million in sales. Comprised of six different specialties, the primary segment was men's and boys' neckwear (nearly $118 million in sales) with men's and boys' neckties made with purchased materials trailing with $99.6 million in sales.
To a large extent, even before the advent of the "quick response" system, the emergence and eventual growth of the twentieth-century neckwear industry was predicated on consumer trends. An ability to stay abreast of fashion and changes in design construction proved critical in determining whether a company survived as an industry leader. Other growth-related influences of comparable importance were: changing fashions and construction of shirts, for which neckwear apparel served as a complementary article of clothing; utilization of breakthrough technological processes, which usually...
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