Ropajes - Sewing & Fashion Design Courses: University of Puerto Rico, Río Piedras
Ropajes - Sewing & Fashion Design Courses: University of Puerto Rico, Río Piedras
ABSTRACT
Vilma Martínez is an entrepreneur from Puerto Rico that started a sewing school that kept growing and expanding
into related courses and businesses. Those businesses reach several industries such as education, fashion, and
entertainment. Besides having to deal with the management of the marketing, operations, human resources, and
other functions, she also had to face problems that are particular to family businesses and to new businesses. Even
though the economic environment in PR and the industry environment were very difficult, there were also social and
demographic factors that helped her sewing school segment to experience significant growth. The growth of the
sewing school was also due to the advertising, pricing, and other marketing activities implemented and that kept
evolving over time from constant experimentation. Many strategic issues are presented, including relocation, larger
facilities, accreditation, and the hiring of non-family employees.
RESUMEN
Vilma Martínez es una empresaria que comenzó una escuela de costura que expandió sus cursos y diversificó a
negocios relacionados en Puerto Rico. Sus negocios envuelven industrias tales como educación, moda, y
entretenimiento. Además de tener que manejar funciones como mercadeo, operaciones, y recursos humanos,
también tuvo que enfrentar problemas que son particulares a negocios de familia y al emprendimiento de negocios
nuevos. Aunque el ambiente económico de PR e industria fueron difíciles, a su escuela le ayudaron a crecer ciertos
factores sociales y demográficos. El crecimiento de su escuela de costura también se debió a anuncios, precios, y
otras actividades de mercadeo implementadas basadas de su experimentación constante. Se presentan varios
problemas estratégicos tales como: relocalización, local más espacioso, acreditación, y contratación de empleados
fuera de su familia.
PRAXIS@FAE/marzo-agosto de 2014
         fter seven years of struggles and hard             also near a free municipal parking area, but that
daughters. Now she is pondering how to make the               A large percentage of Puerto Rican women
business prosper under the current difficult             before the 1970’s had a sewing machine and
competitive and economic conditions. Among the           learned how to sew at no cost (from a family
many important decisions to be made, she is now          member, friend, or in school or vocational school).
thinking of whether to relocate the school to larger     Nowadays, sewing classes are seldom free, but
and better facilities or whether to seek                 sewing machines are relatively inexpensive (many
accreditation that allows students to receive            advanced models can be found for less than $250).
government financial assistance.                         Before the 1970s buying a sewing machine was a
                                                         major purchase relative to their incomes and was
     The business is located on a second floor in        frequently purchased from the store in installments
the heart of the suburb of Río Piedras, Puerto Rico.     (a very small fraction of the population had credit
Although this area was a                                                  cards to finance purchases and very
major center of economic         During the mid to late 70’s the          few stores accepted credit cards).
activity several decades                                                  The textile industry during those
ago, it has declined           federal minimum wage law began             times was strong and there were
significantly as attractive              to apply to PR and               many shops selling a large variety
modern        malls    and                                                of      fabrics.    Río     Piedras
                                  internationalization increased.
shopping centers with                                                     distinguished itself for having
ample      parking    have                                                many of those shops. There were
developed around the island. Many businesses in          also  many  factories  that hired many Puerto Rican
Río Piedras have failed or disappeared and left          women to sew different kinds of garments. Sewing
their facilities and buildings empty and without         was a major source of employment for females in
maintenance. This has attracted homeless people          Puerto Rico.
and crime, which have affected those businesses.
Almost all businesses in this area do not have their          During the mid to late 70’s the federal
own parking lot, but there are some parking meters       minimum wage law began to apply to PR and
and several small private parking lots. The central      internationalization increased. For some time, the
and municipal governments and the business               better pay brought by the higher minimum wages
community are trying several initiatives to bolster      helped to improve the living conditions of those
the economic activity in the Río Piedras area. This      factory workers, but it eventually ended up having
includes a major underground train station (“Tren        the opposite result as many factories of the “needle
Urbano”) that helps bring in shoppers from other         industry” closed or moved to cheaper countries.
neighboring areas.                                       Internationalization also resulted in much cheaper
                                                         imports, including clothing, up to the point that it
     As a result of the deteriorating conditions of      was not worthwhile for most people to make their
the commercial area of Río Piedras, rents have           own clothing, or for their families, or even to sell
become more affordable over the years, especially        to others.
after the financial and housing bust of late 2008.
This has helped Vilma obtain an affordable rent               The variety and quality of imports sold in
($2,000/month, 3,000 Square feet) in one of the          retail stores has kept improving (as prices have
best locations in the heart of Río Piedras within        continued a downward trend) and very few Puerto
walking distance of the underground train station,       Rican families have continued the tradition of
the town square church, and a police station. It is      teaching their children basic sewing skills. At
PRAXIS@FAE/marzo-agosto de 2014                        16
present, among the general population in Puerto              they want to learn to sew because the clothing sold
Rico, there is a lack of generalized knowledge of            in stores does not fit them well for their particular
sewing skills and techniques. As a result, fashion           body shape. This is a very common situation for
and design schools have been able to capitalize and          many Hispanic females which are more likely to
exploit this niche market and the number of                  have a fuller and curvier body.
competitors has been increasing.
                                                             Origin of the business and its business
     The worldwide economic slowdown is                      environment
affecting Puerto Rico which has had limited
economic progress for a few years (GDP growth                     Vilma Martínez was born in PR. From a very
has been negative every year from 2007 to 2010).             young age she learned to make dresses for her
The unemployment rate has usually fluctuated                 dolls. Sewing was a common family activity,
between 10% and 17%. A decrease in the                       especially for her grandmother. Her interest in
unemployment rate seems unlikely because                     design and fashion continued to grow over the
businesses keep leaving the U.S., including Puerto           years. As a young adult, while studying Drama at
Rico, to relocate to countries with more favorable           the University of Puerto Rico, her talent in the
economic incentives, lower manufacturing costs,              design and making of complex dresses and
and more favorable labor laws. Purchasing power              garments for theater plays became noticeable to
in the island is almost a third of that in the U.S.          others. Several years later, she went to Boston to
mainland (Purchasing Power Parity GDP per capita             study fashion design and after a few years, she
according to the latest figures available in the CIA         returned to PR (Santiago, 2010).
World Factbook; 2011: $48,100 US, 2010:
$16,300 PR). Therefore, it is expected that in                   Given the nature of the trade and the economic
Puerto Rico there will be little disposable money            conditions on the island, diversification into related
available for things such as sewing classes or non-          areas became almost a necessity. She created a
necessities.                                                 corporation under which her different types of
                                                             businesses operated:
                                                        17                   PRAXIS@FAE/marzo-agosto de 2014
will also be kept as a memory of the occasion.              CADAC Courses
Moreover, besides choosing more economical
dresses, the market has shifted significantly to                  The Division of Fashion Design and related
rentals at bridal stores. Women wanting to dress            courses of Ropajes started in 2004 and was named
more elegantly with a unique dress for a special            Centro de las Artes del Diseño y Alta Costura
event are the market for boutiques and fashion              (CADAC) which translates to Center of Art Design
designers. Once again, economic forces have kept            and High Fashion. It offers basic, intermediate,
this market small and without any significant               and advanced sewing courses. It also offers
growth. Except for high school proms, it appears            swimsuit design, pattern design, fashion
that there are fewer company Christmas parties,             drawing/illustration, and interior decoration.
social gatherings, “quinceañeros” (equivalent to            Courses generally consist of 8 to 12 (3-hour)
sweet sixteen celebrations), or other special               weekly classes and prices between $325 to $395
celebrations. All those trends have been                    (depending on the course and duration). Many of
devastating, even for top fashion designers in              their students select a plan where they make a
Puerto Rico.                                                down payment and then pay a fee (for example
                                                            $30) for each class they attend (no payment for
A Family Run Business                                       classes not attended). The total cost of the course
                                                            this way is higher (for example $440, instead of
     Managing those businesses is a lot of work             $395 cash), but it is easier to pay for the students.
and requires approximately 60 hours per week of             This payment plan must be evaluated because it
work. Since the businesses have grown, Vilma is             will get more students to register but the student
assisted by two of her daughters (Azania and                attrition (percentage of students who do not
Namibia) and her husband. She is also assisted by           complete the course) is higher (about 1/3
some of her students in some classes and activities.        eventually stop attending the course).
So far, there are no formal outside employees.
Azania, one of her daughters, is in charge of the                The marketing of Ropajes tends to focus in
collections, record keeping, and accounting. She            CADAC courses. Vilma participates regularly in
just obtained a degree in interior design and began         activities promoting the Río Piedras area where she
to teach a course (Interior Design) along with the          frequently offers a free (no charge) a class where
other courses taught by Vilma. Namibia, her other           people learn basic sewing skills and sew a simple
daughter, studied fashion design in the US and              item (such as a small hand bag). Another
helps Vilma teach the additional sections that have         periodical major activity are the fashion shows that
been added recently due to increased demand. She            she organizes to show student creations. This
is also in charge of most of the computer work,             makes Ropajes and CADAC known to the family
technology, and marketing for the school. Namibia           and friends of the participating students and helps
is actively involved in several activities                  recruit new students. They place flyers periodically
independently of her mother. She seems to be the            in many fabric stores and other businesses. She has
most ambitious of the daughters and participates            been very active in public relations and has been
actively in fashion activities and contests in and          able to obtain major exposure in the major
outside of Puerto Rico. She is becoming one of the          newspaper in PR (El Nuevo Día) with multi-page
new crops of fashion designers in Puerto Rico, but          articles about her business, herself, or her daughter.
she also aspires to be known in the US and                  She has experimented with TV show appearances
internationally. Vilma’s husband, besides helping           (such as major morning shows targeted for
her with handyman work or as needed, has a small            females) where she teaches how to make some
space in the facilities for his business where he           items. That gives her the opportunity to mention
offers massage services occasionally.                       her classes to the audience which gives her more
                                                            credibility while creating brand awareness and
                                                            costs substantially less than placing regular 30
PRAXIS@FAE/marzo-agosto de 2014                        18
second TV ads (where professional TV ad                      might not fit well. Moreover, just by looking at a
production costs are usually over $10,000,                   website picture it is nearly impossible to know how
especially if a major artist or personality must be          the fabric of the garment will actually look, feel,
hired to appear in the ad, and each 30 second TV             smell, pull, stretch, or wrinkle.
ad placement has an additional cost of about $700
or more). In order to obtain such TV exposure,                    There are an increasing number of alternatives
producers expect something in exchange for their             for those wanting to learn how to sew in PR. The
audience such as offering useful information and             best known sewing schools are Carlota Alfaro,
the opportunity to win one free course (adding the           Lisa Thon (in some official documents it is
winning person to a course costs virtually nothing           alternatively spelled as Liza Thon), and the
to Vilma).                                                   Escuela de Artes Plásticas all of which are targeted
                                                             to students interested in fashion design and not as a
     They keep modernizing their web site                    hobby. The Escuela de Artes Plásticas and EDP
(www.ropajes.com) and maintain their Facebook                College offer accredited degrees where their
page updated. Besides advertising Ropajes and the            students can apply for federal financial aid.
CADAC courses, both internet sites help provide              Obtaining accreditation that allows conferring
information about news, events, and student                  professional degrees generally requires that their
creations with many pictures. They also allow                students take additional courses (such as History,
showing that some of their students are also                 Math, etc.) and also requires substantial investment
winning important fashion awards or continuing               in facilities and personnel. The sewing courses
their education in top US or international fashion           offered by the continuing education program of the
design universities.                                         University of Puerto Rico are also well known and
                                                             are more targeted for those wanting to learn for
Thoughts about the Future                                    entertainment. UPR sewing related courses of the
                                                             UPR continuing education program do not lead to
     Among the many issues that Vilma is                     a professional degree and their students (which are
pondering is whether to relocate the school and              most from the general population) do not normally
seek accreditation, also how to plan future family           receive federal financial aid. However, the UPR is
involvement in the business because her daughters            going through a severe economic crisis that will
are young and might want to follow other paths,              require restructurings that might result in the
especially after having their own families. It is not        elimination of many of the continuing education
clear whether the growth she has experienced for             courses.
the sewing classes will stop or even decline in the               An increasing number of locally known
future. This is mostly likely due to increased               fashion designers supplement their income
competition, less availability of fabrics and fabric         teaching sewing and fashion design. Many of them
stores in PR, lower prices for clothing due to               operate from their own homes with a very low cost
imports and automation, and more stores having               structure that requires minimal additional fixed
merchandise better targeted to Hispanic body                 costs and no additional rent expenses. Since
measurements. The internet does not appear to be a           variable costs are very low in the education
major threat in the immediate future. Most people            business, under this setup most of the revenue
like to learn sewing with a real person next to              received from students paying to learn how to sew
them, especially beginners. However, those that              becomes a direct profit. Since the investment
already have a basic knowledge of sewing skills              required to start teaching sewing skills is also
find it less difficult to learn more from videos and         relatively low, it also attracts competition from
material found for free in the internet. Internet            people with substantial sewing experience that are
shoppers are more interested in standardized                 neither fashion designers nor well known in the
products such as books, DVDs, computers, and                 business. All this results in many more alternatives
other electronics, than purchasing clothing that             for people to learn sewing, most of them at lower
                                                        19                   PRAXIS@FAE/marzo-agosto de 2014
prices, and most of them geared to a market more                   the designer. The least important of the
interested in sewing as a hobby than in the                        variables was the country of origin.
professional or fashion design side. The key to
profits in this business requires the difficult task of           When evaluating alternative places where
attracting many students and getting them to pay                   to take sewing classes the top three
fees near those charged by the better known                        considerations were convenient hours,
sewing schools (over $11/hour for courses that                     safety of area surrounding the location, and
tend to range from 30 to 54 hours). Overall, the                   parking availability. The next two
business of teaching sewing and sewing related                     considerations were having modern
courses is attractive to many because with low                     equipment and having a low price for the
fixed and variable costs, the worst that can happen                course.     Considerations     of    medium
is operating at a break-even level, i.e. having no                 importance were: the availability of a
profits (or very little loss).                                     financing or payment plan, whether the
                                                                   course includes the materials, whether the
     Since more than 80% of those interested in                    facilities have air conditioner, and whether
learning how to sew want to learn it as a hobby or                 the instructor has an advanced degree in
entertainment, a much broader type of competition                  fashion design. Considerations of lesser
must be considered. This can include other types                   importance were: whether the courses
of classes or activities related to: dancing, cooking,             qualify for federal financial aid, whether
computers, interior decoration, musical instruments                they help graduates obtain employment or
(learning to play), beadwork, jewelry making,                      how to set up a business, whether graduates
aerobics, embroidery, knitting, art, painting,                     obtained a fashion design certificate,
ceramic, woodworking, face make-up, scuba                          acceptance of credit cards, has modern
diving, walking, sports (Golf, tennis, baseball,                   facilities,    availability     of    public
basketball, football, etc.), and many others.                      transportation, provides the necessary
Activities (or their classes) that are perceived as                background to continue university studies,
very entertaining can be strong indirect                           and whether the course ends with a
competitors, especially if they are free or at a low               competition or fashion show by the
cost.                                                              students showing their creations. The least
                                                                   important         considerations       were:
Marketing Research                                                 personalized classes (1 instructor per
                                                                   student), courses leads to a Bachelor or
    To obtain a better understanding of the                        Associate degree, has child care facilities,
population in the Puerto Rico metropolitan area                    and offers courses online.
regarding sewing and related topics, Vilma was
able to engage the services of a professor from the               The most important motivator to take
School of Business Administration of the                           sewing classes is entertainment. Second is
University of PR to conduct several marketing                      to have clothes custom to their particular
research studies focused on consumer behavior.                     shape or measures. Of relatively low
Some of the findings from the research studies                     importance was to set up a business or
were the following:                                                make additional money. The least
                                                                   important motivator was the desire to
       The most important variable when deciding                  become a fashion designer. The average
        which clothes to buy is price, followed by                 importance rating for each motivator is
        the material of the fabric, and the design or              shown on Table 1 (scale from 0=Not
        prints in the fabric. The other variable was               important to 10=Very important).
        whether it is currently in fashion. Much
        less important variables were the brand or
PRAXIS@FAE/marzo-agosto de 2014                           20
                                                                             frequently and almost half of households
Tabal 1. Motivators to take sewing classes
                                                                             have a dog. To put in context the interest in
                                                      average
                                                                             taking sewing classes, Table 2 shows the
                                                    importance
                                                                             average interest in taking different types of
                                                       rating
                                                                             classes (scale from 0=No Interest to
Entertainment or hobby                                  6.70
                                                                             10=Very Interested).
To make clothes that fit my shape/measures              6.10
For business (to earn additional money)                 4.60
                                                                      Industry
Would like to be a fashion designer                     3.30
                                                                           Information or statistics about the educational
     The top types of garments that people                           side of the sewing industry is virtually non-
      wanted to learn to sew were: Pants, female                      existent. The main competitors in the industry try
      dresses, shirts, and skirts. This was                           to keep information secret and therefore there is no
      followed by cushions, swimsuits, drapes or                      reliable student or revenue growth statistics. There
      curtains, baby clothes, and fabric handbags.                    is also no reliable financial information or
                                                                      complete financial statements available for
     The most convenient day of the week to                          analytical purposes. Even though the best known
      take classes was Saturday. This was                             competitors in the industry are corporations and
      followed by Tuesdays and Wednesdays.                            their financial records are available to the public,
      The least convenient days to take sewing                        when examined, most showed what appeared to be
      classes were Sundays and Fridays.                               unreliable data in a very aggregate form and
                                                                      without any specific details or breakdowns.
     The website on which they spend the most                        Moreover, several years of data were missing and
      time is Facebook. This was followed by                          no Income Statement information was provided
      the ENDI.COM, which is a local online                           (See Appendix B). In situations like these, many
      newspaper.                                                      consultants evaluate or perform Break-Even
                                                                      analyses based on estimates of revenues, variable
                                                                      costs, and fixed costs. Corporations with annual
     Other results: Knowledge of the English
                                                                      gross revenues of less than 3 million dollars are not
      language: 73% report that their knowledge
                                                                      required to submit an audited balance sheet to the
      of the English language is good or very
                                                                      Puerto Rico State Department. The only audited
      good, 6% do not know English. Almost
                                                                      financial information in Appendix B was for
      half of the adult population drinks coffee
                                                                      Centro Moda -Liza Thon, but that does not
                                                                      necessarily mean that their annual revenues were
Tabal 2. Average interest in taking different types of classes        over $3 million dollars (USD).
Dancing                                             6.33
Cooking                                             5.79                   Most of the sewing or fashion design schools
Computers                                           5.58
Start/Manage small business                         5.42
                                                                      offer at least two course terms per year with about
Interior Decoration                                 4.81              100 students per term (estimated since enrollment
English Language                                    4.52              figures are not published and are kept secret).
Music or to play an instrument                      4.20              However,        independent     instructors    have
Art, ceramic, sculpture                             4.14
Massaging                                           4.06
                                                                      substantially fewer students per term (for example,
> Sewing <                                          3.86              10 total students per term if they offer 2 courses
Make-up                                             3.76              per term with 5 students per course). The cost of
SCUBA diving                                        3.45              sewing or fashion design instructors is estimated to
Acting (theater plays)                              3.25
Jewelry                                             3.24
                                                                      be near $11 hour (in other words, an instructor
Tennis                                              2.35              hired for a 30 hour course would be paid $330 for
Golf                                                1.12              the course). Based on informal research of
                                                                 21                   PRAXIS@FAE/marzo-agosto de 2014
commercial leases in the metro area (mostly from              but she also has significant international exposure.
newspaper and internet listings) the rent cost is             She is best known for her five step pattern and for
generally around $20 per square foot (annual).                her mermaid cut dresses. She tends to attract
However, there is a significant variability (for              students with strong interest in a fashion career.
example, Vilma Martínez’s rent per square foot                Many of the best known fashion designers in PR
was $8.00) and rents are expected to continue to              have been her students (Carlos Alberto, David
decrease over the next few years (mainly due to               Antonio, Fernando Calletano, Raúl Cedeño, René
recessionary economic condition in PR). As an                 Cruz, Macho De Jesús, Lilliam Díaz, Eddie
example, a 2,400 square foot school is likely to pay          Guerrero, Lillian Landrón, Angel López, Edgardo
near $4,000 monthly rent (2,400 Sq.Ft. x $20                  Molini, Olga Prosper, Isa Quiñonez, Carlos Reyes,
Sq.Ft. / 12 months) or much lower, if there are               Sonia Rivera, Harry Robles, Edwin Rosario, Lisa
inadequate parking facilities and it is not in a prime        Thon, Jorge Zepenfield, Verona). Besides offering
location.                                                     short courses (about 54 hours each for about $660
                                                              plus a registration fee of $60, plus the cost of the
     The electricity cost can be another significant          reading materials), they also offer complete
monthly cost for many businesses in PR. The key               vocational programs related to sewing and fashion
driver of the electricity expense in a sewing or              design (such as 5 courses of 54 hours each) that are
fashion school is usually the air conditioning.               accredited by Consejo General de Educación de
Monthly electricity expense for a typical school is           PR. Students pay out of their own pocket since
about $700. It can be significantly more if                   there is no federal financial aid for the programs or
classrooms are large and the air conditioning unit            courses they offer. The only required initial upfront
is on during all work hours for 6 days a week.                cost for a course is the $60 registration fee and
Electricity expense can be substantially less if the          then pay for each class attended (the total of
air conditioning unit is only turned on during class          individual class payments is higher than if the
times. Many independent instructors use fans (not             course is paid completely upfront).           Student
a/c) in the area they use in their home to teach and,         attrition is common, that is, the course might start
therefore, the electricity expense attributable to            with 12 students and finish with 8. Courses are
their classes is very low (the classes increase their         available in the fall, spring, and summer sessions.
home electricity costs by less than $20 per month).           They offer courses about sewing, fashion design,
                                                              pattern design, swimwear design, wedding dresses,
     Advertising costs for most sewing and fashion            fashion drawing/illustration, tailoring, textiles,
design schools are usually low because they attract           marketing, computers, home creations (cushions,
students through word of mouth, reputation,                   drapes, etc.), complements/accessories (hair
location, participation in sponsored activities, free         ornaments, hats, earrings, chockers, ties, etc.),
publicity from fashion-related TV shows, and from             manual creations (embroidery, knitting), make-up,
low cost (or free) internet websites. Another form            photography, modeling, and several others. The
of advertising used frequently is flyers (which are           minimum number of students per course is 8 and
also relatively inexpensive to produce and                    the maximum is 15. Each class is typically 3 hours
distribute).                                                  once a week during mornings, afternoons, or nights
                                                              (Sundays are closed). During the summer they also
   Appendix D contains comparative tables of                  offer a summer camp for teenagers and children.
sample course pricing and offering for key industry           The teaching facilities are in an air conditioned
competitors.                                                  building without parking in one of the decaying
                                                              areas of Santurce (another suburb of San Juan).
Carlota Alfaro College, Inc. – A very prestigious             Although Carlota Alfaro still teaches some
organization in PR to learn about sewing and                  courses, most courses are now taught by her
fashion design. The school’s founder, Carlota                 assistant instructors. Instructors are usually paid a
Alfaro, is the best known fashion designer in PR,             fixed amount per course. Word of mouth
PRAXIS@FAE/marzo-agosto de 2014                          22
marketing is very positive and strong, but she also         Piedras). It is literally less than 5 minutes walking
has a website, Facebook, and participates in many           distance from the Vilma Martínez school. Besides
fashion-related activities. The classrooms are              offering sewing courses, they also offer some arts
equipped with the sewing machines, equipment,               and crafts courses. The courses are a source of
and mannequins, but students must bring their               revenue to the owner and also have the additional
textiles and supplies.                                      benefit of helping to sell more store merchandise.
                                                            Low cost signs offering the courses posted outside
Centro Moda - Escuela de Diseño Liza Thon,                  of the store have been effective with their
Inc.- Lisa Thon is a top fashion designer in PR that        customers and with the many passersby exposed to
also has international exposure. Her school also            them. Their target customer is much more
has a top reputation in fashion design and many of          interested in entertainment than is a professional
her students have continued their careers and have          career in fashion design. The course instructors are
become well known fashion designers in PR. One              subcontracted and changed if the store owner does
of the distinguishing aspects of her school is the          not receive positive feedback from the students.
international student field trip to New York where          Sewing instructors are lesser known fashion
students are exposed to key places and institutions         designers and several of them have studied with
in the world of high fashion. Courses offered               Carlota Alfaro. Sewing courses require a
include: sewing, Illustration, design, patterns,            registration fee of $20 and each of the classes have
textiles, embroidery, history of fashion, drawing,          a cost of $25 (generally 12 classes of 3 hours
planning and execution of fashion shows, and                each). The classes are given near the back of the
others. The maximum number of students per                  store in full view of store customers. This raises
course is 12. They offer a set of courses leading to        the curiosity of some shoppers in the store and
a fashion design certificate (each course has a             many of them request information about the
registration fee of approximately $200, plus about          classes.
$225 per month). For those not interested in the
complete fashion design program, they also offer            Independent Instructors – There are many formal
independent short courses that are generally 6              and informal instructors with experience in the
weekly 3-hour classes for about $250. They have a           industry. Some of them are lesser known fashion
website and a Facebook page plus a very positive            designers or former students of Carlota Alfaro.
word of mouth due to their excellent work and to            They tend to teach sewing from their own homes
the active participation in many major fashion-             and this allows them to have a lower cost structure
related activities. Classrooms are equipped with all        and prices. However, there are instructors wanting
the necessary equipment within a building located           to have a more formal business who try to charge
in Rio Piedras on Muñoz Rivera Avenue, which is             prices close to that of the better known
one of the main avenues on the metropolitan area.           competitors. The turnover among independent
Although the building does not have parking                 instructors is substantial and few of them last in the
facilities, the neighborhood and streets surrounding        industry for many years. Some of them leave the
it are relatively safe. Since classes are generally         industry to pursue full time jobs or businesses with
offered Wednesdays and Saturdays, the unused                a larger and steadier source of income.
space during other days of the week is used for
production.                                                 References
Miranda Textiles – This fabric retail store (about          NOTE: The case was developed based on an extensive
3,000 square feet) diversified offering sewing                 number of personal and focus group interviews.
courses. The store is in an air conditioned first           CIA, E.U. (2011). The World Factbook 2011. Central
floor with no parking but with very easy access to             Intelligence Agency, Washington, DC.
shoppers in the street Paseo De Diego (one of the
streets with the heaviest pedestrian traffic in Río
                                                       23                   PRAXIS@FAE/marzo-agosto de 2014
List of countries by GDP (PPP) per capita. (2012, July 2). In            7. Should Vilma expect that her daughters will
     Wikipedia, the Free Encyclopedia. Retrieved from                       stay with her family business or plan for an
     http://en.wikipedia.org/w/index.php?title=List_of_countr               eventual split?
     ies_by_GDP_(PPP)_per_capita&oldid=533918868                         8. Should Vilma limit the growth of her sewing
                                                                            school up to the courses that she (and
Santiago, Liz Sandra (2010). Vilma Martínez y el Patrón de
    una Vida entre Telas, suplemento Por Dentro, El Nuevo                   daughters) can teach? Or, should she continue
    Día, September 19, p1-16.                                               seeking growth for the sewing school and deal
                                                                            with future issues such as hiring non-family
Questions                                                                   employees?
                                                                         9. Should Vilma diversify (or seek growth) with
What would you recommend for Ropajes to prosper and                         other related businesses? If yes, which kinds of
have a better future?                                                       businesses? How about opening her own
                                                                            boutique or a fabric store?
    1. Do you expect that the market of people paying
       for sewing classes will decrease, increase, or
       stay about the same in the future? Why?
PRAXIS@FAE/marzo-agosto de 2014                                 24
Appendix A.
                                           25          PRAXIS@FAE/marzo-agosto de 2014
   3. Preparation for the patterns of their collection
4. Textile cutting
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5. Sewing the pieces
                                      27   PRAXIS@FAE/marzo-agosto de 2014
Appendix B.
Financial Data
Ropajes
          2007       2008    2009       2010       2011
Assets    $13,584    $12,762            $12,016    $7,139
Equity    $11,281    $11,449            $12,784    $4,293
PRAXIS@FAE/marzo-agosto de 2014                   28
Appendix C.
Each course usually meets once per week for 8 weeks (approximately 30 hours per curse)
Sewing machine, mannequin and drawing board available for each student in a workshop.
WORKSHOP                     MEETS
Basic Sewing                 Saturday
Basic Sewing                 Night
Basic Sewing                 Day
Intermediate Sewing I        Saturday
Intermediate Sewing I        Night
Intermediate Sewing I        Day
Intermediate Sewing II       Saturday
Intermediate Sewing II       Night
Intermediate Sewing II       Day
Advanced Sewing I            Saturday
Advanced Sewing I            Night
Advanced Sewing I            Day
Swimsuits I                  Saturday
Swimsuits I                  Night
Swimsuits I                  Day
Swimsuits II                 Saturday
Swimsuits II                 Night
Swimsuits II                 Day
Illustration and Design I    Saturday
Illustration and Design I    Night
Illustration and Design II   Saturday
Illustration and Design II   Night
                                        29                 PRAXIS@FAE/marzo-agosto de 2014
Appendix D.
Comparative Tables
Figure 1. Sample Course Pricing for key players in the Sewing Industry (PR metro area
2012)
                            Cost               Cost
                            per                 Per
 SEWING SCHOOL             Course Hours        hour  Notes
                                                     Cost includes $660 for course + $60 of
 Carlota Alfaro College     $720       54     $13.33 registration
 Centro Moda - Liza
 Thon                       $250       18     $13.89 For an independent short course
 Miranda Textiles           $320       36      $8.89 Registration $20 + $25 * 12 classes of 3hours
 Ropajes/CADAC              $395       30     $13.17 Cash price
 Independent
 Instructors                $300       30     $10.00 Significant variations between instructors
Each school can have different types of course pricings that usually depend on the course, course
length, and financing. Course pricing changes frequently.
Figure 2. Comparative Table of key player offerings in the Sewing Industry (PR metro
area 2012)
                                     Offers         Offers            Offers Other Courses
                                     Advanced       Bachelor's    or (Not directly related to
                                     Sewing         Associate degree sewing or Fashion
 SEWING SCHOOL                       Courses        (Accredited)      Design)
 Carlota Alfaro College
 (www.carlotaalfarocollege.com)           Yes              Yes                 Yes
 Escuela de Artes Plásticas de P.R.
 (www.eap.edu)                            Yes              Yes                 Yes
 Centro Moda - Escuela de Diseño
 Liza Thon (www.lisathon.com)             Yes              Yes                  No
 Miranda Textiles
 (www.facebook.com/mirandastextiles)      No               No                  Yes
 Ropajes (Vilma Martínez &
 Namibia Viera) (www.ropajes.com)         Yes              No                  Yes
 Independent Instructors                  Yes              No                 Seldom
Course prices, offers, and course descriptions were generally listed in their web sites:
http://www.carlotaalfarocollege.com/cursos-cortos.html
http://www.eap.edu/descargas/cursos/EAP-Cursos-Modas.pdf
http://www.lisathon.com/curriculo.htm
https://www.facebook.com/mirandastextiles
http://www.ropajes.com/descripcion-talleres-de-8-semanas.html
PRAXIS@FAE/marzo-agosto de 2014 30