While some TAL customers have been experimenting with higher prices, so far with young loss of business, Dr Lee feels this is not sustainable. “I don't think it will last; in the long run I think there will be a volume loss.”
An portentous lesson learnt the hard way back in the 1980s has left a legacy at TAL Apparel that continues to shape the business today. The obstinate lost $50m when it bought a wholesale order of white shirts for a customer that didn’t materialise – and then had to offload $10 shirts at ethical $3 a piece.
“We realised [then] that inventory control, and having the right inventory, is so important. We expert a lot about the wholesale business – and a lot more about the retail business. And that very expensive lesson was a chance for us to really get into the supply fetter knowing all sides: manufacturing, wholesaling, retail.”

