CHAPTER III

COMPARISON BETWEEN UKAY-UKAY AND SIGNATURE CLOTHING

This chapter tackles about the advantages and disadvantages of ukay-ukay and

signature clothing and the factors affecting the consumers’ choice in terms of purchasing

clothing items.

A. Advantages Of Ukay-ukay

For a continuous flow of income with a fast turnover for an entrepreneur, ukay-ukay

business is one of the profitable choices. One of the advantages of ukay-ukay is that the pricing

totally depends on the entrepreneur. Competition with nearby ukay-ukay or branded clothing

shops can dictate the pricing of clothes, but with freedom in pricing, an entrepreneur can price

the goods so that he incurs no deficit. Profit is also quick because most practical consumers

badly desire this kind of clothing. Entrepreneurs must be ready to negotiate wisely with

customers who haggle - a common practice in ukay-ukay stores. Php 10 to Php 20 off is

reasonable to retain customer loyalty, but entrepreneurs must only give in if the discounted sale

still leads to a profit.

In a consumer’s point of view, ukay-ukay is considered a good alternative in buying good

quality clothes at a cheaper price. A consumer needs to be patient when finding the golden piece.

A personal style can still be created with it. It is also eco-friendly because dyeing, printing, and

bleaching which produces energy and chemicals that contributes a lot to the pollution of

groundwater and air can be avoided. Also, ukay-ukay stores are literally everywhere.

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B. Disadvantages of Ukay-ukay

A disadvantage of owning an ukay-ukay store is that it takes time and a lot of patience to

run the business. Acquiring bundles, sorting through mountains of clothing, pricing, and finally

preparing them on the racks requires effort and can be mentally exhausting. In addition, pricing

and restocking are highly unpredictable since sales depend on the season. This makes ukay-ukay

a business only for entrepreneurs who can provide direct and hands-on control of the flow of

labor and items. Since ukay-ukay stores are already having the advantage over branded and

designer clothes stores due to price, there is almost no need to market the store. However, ukay-

ukay entrepreneurs also need to accept that Filipinos are already attached to certain beliefs

surrounding the ukay-ukay like issues on health and quality. There are simply Filipinos who are

into ukay-ukay wares and Filipinos who will not even attempt to step into a store.

Also, ukay-ukay products are illegal, though not all. Republic Act 4653 prohibits the

commercial importation by any person, association, or corporation of any textiles - clothes,

garments, etc. - which are segunda mano, for the protection of public health and the preservation

of the dignity of the nation. Unless this legislation is amended or the used imports are declared as

“donations” for relief operations, ukay-ukay remains to be smuggling activity which causes

millions of losses in the country’s business industry. However, this doesn’t change the fact that

almost everyone loves ukay-ukay. Filipinos who hang on the thread of poverty really choose to

obtain a cheap wardrobe like ukay-ukay.

C. Advantages of Signature Clothing

What is it about Signature Clothing that most of the people admire? What are some of the

most important factors that are to be kept always in mind when buying signature clothing?

Signature Clothing is more durable. Since they are branded clothes, they are surely made up of

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high quality material. They are expensive indeed as compared to ordinary brands of clothes but

this kind of clothing allows the consumers to use them for a longer period of time. They do not

fade easily after being worn for a few months and can be worn again for the years to come.

Signature Clothing is more comfortable. Apart from providing durability, these branded clothes

are designed using high quality material that relaxes and gives comfort to people wearing them.

Signature Clothing adds elegance to one’s style. It can be worn with different clothing and

fashion accessories, adding vibrant colors to the overall appearance of an individual.

Having a brand or identity creates a look and gets immediately recognizable in the

marketplace. It increases the value of the product and the company itself. The more times a

customer sees the brand, the more he considers to purchase it. Also, the good quality of products

is worth the money that’s why some people don’t regret on buying one.

D. Disadvantages of Signature Clothing

The biggest disadvantage of companies of signature clothing is that it involves huge cost

of money because brands are not created overnight and companies need to spend huge sums on

advertising and publicity. The process includes significant research, naming development,

graphic design, and brand identity integration. Marketing cost and product cost are two things to

be considered. The company is required to spend some cost on promotion and launches on some

advertisement to increase their branding image and attract new customers. It also involves labor

cost, transfer cost, official cost, manufacture cost, and so on. Extra funds need to be raised for

marketing and branding which causes more pressure to companies who are already heavily

concerned with manufacturing cost. Also, if the signature clothing brand gets a bad reputation, it

is quite hard to regain the original status of the brand.

The only reason why customers pay premium price for signature clothing is because of its

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guaranteed quality. Surely, not everyone can afford it especially those people who earn very low

income because the price is just too high and expensive.

Table 1.1

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 FACTORS UKAY-UKAY SIGNATURE CLOTHING

Continuous flow of Reached millions of dollars as

Income or Profit
income/Quick Profit profit earned

Quality Durable Durable

Price Cheap Expensive

Design/Style Unique Elegant and Modern

Tradition and Beliefs Practicality Health and Quality

Preferred because of its Preferred because of hygiene

Trend low price guarantee

Persons with high amount of

Salary (of Consumer) Persons with low income
income

Health Unhygienic Safe and hygienic

Table 1.1 shows the information and findings of the researchers regarding the comparison

study between ukay-ukay and signature clothing.

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