Kangol Tries to Find Niche Reversing Offshoring Trend

The Intangible Benefits of Doing Good

Since 1990, U.S. businesses have sent 85 percent of their manufacturing and other operations overseas as a way of cutting costs. But Kangol is doing just the opposite.

The popular hat brand actually recently brought its manufacturing operations back to the U.S. from China. This move hasn’t come without challenges — namely, the cost of labor. But it may also have some unexpected benefits for the brand as well.

At a time when the trend is sending jobs to other countries, the fact Kangol is doing the opposite could really set the brand apart. Consumers appreciate when businesses are willing to go the extra mile to create jobs and help the economy. And they might even be willing to pay a bit more to support those companies.

The Intangible Benefits of Doing Good

For small businesses, the lesson is that sometimes taking the more difficult route and working through challenges for a good cause can bring about intangible benefits in the long run. Maybe your business is considering switching to alternative energy or using sustainable resources in products. It might not be easy to get started. But if your customers support all the time and resources you dedicated to those initiatives — and show it by spending on products and services — it just might be worth it.

Image: AP/YouTube

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Annie Pilon

Annie Pilon Annie Pilon is a Senior Staff Writer for Small Business Trends, covering entrepreneur profiles, interviews, feature stories, community news and in-depth, expert-based guides. When she’s not writing she can be found on her personal blog Wattlebird, and exploring all that her home state of Michigan has to offer.

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