How might Sarah Calhoun's decision to keep production of Red Ants Pants in the U.S. help solidify her market position in the minds of her target customers?
In order to understand the answer to this question, we must first think about what the target customer is for Red Ants Pants. The target customer for these pants is, first of all, someone (particularly a woman) who wants high quality work pants that are close to being custom made. Calhoun founded her company because of her dissatisfaction with the performance of pants that she wore for physical labor. It is also likely that such customers will be environmentally conscious if they, like Calhoun, are doing outdoor manual labor.
By keeping her production in the US, Calhoun can solidify the image of her brand (her brand equity) in the minds of her target customers. First, keeping production in the US symbolizes a commitment to quality over pricing. It tells customers that high quality is first on Calhoun’s mind. Second, it also allows much more flexibility in designing and making new styles as the need arises. This would be much harder with an overseas production line. Finally, making the clothes in the US will be seen as environmentally (and politically) conscious because it does not involve shipping the clothes from overseas.
Red Ants Pants customers are likely to want high quality and to have that quality created in responsible ways. By producing in the US, Calhoun can identify her brand with those attributes.