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Commodity

Even if you don't think you do, you already know plenty about commodities. Want us to prove it? No problem.

What makes oil produced in Saudi Arabia different from oil exported from Nigeria? It's the same thing that makes the corn you ate at last summer¿s barbecue different from the corn used to produce ethanol. Stumped? Well, don't feel bad, it's a trick question. The answer? Absolutely nothing. Corn is corn no matter where it comes from -- just as wheat is wheat and natural gas is -- right! -- natural gas. (Though the quality may differ, the make-up is uniform.)

So, in less elaborate terms, corn and oil (and all other commodities) are homogenous goods that can be processed, resold and more often than not, used as an input to the production of other goods or services. These goods are traded on a commodity exchange, thus setting the price-per-barrel (or other metric unit) used to value them.

Now pay attention, here's a question that indeed does have an answer: What is the difference between a commodity and a stock? While a stock can tank and become worthless, a commodity cannot have its value be wiped to zero. One other difference: Most commodities are traded in futures, meaning traders buy and sell where they think the price of a product will be at a certain point in the future. Stocks trade based on the value of the underlying company at that point in time.

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Game Plan

Fashioning a Dream

 
Nancy Colasurdo
FOXBusiness
 
Game Plan 276

With Mercedes-Benz Fashion Week and all its glitzy hoopla swirling around New York this week, Stacy Morganstern Igel is a fashion designer whose story is about ultra-clear focus since childhood and lots of hard work. Sounds dull, right?

Au contraire.

The walls of her 34th Street studio are filled with framed covers of magazines that have featured her clothes as well as celebrities who have worn them. She just finished a shoot of her Spring 2009 line with the co-host of MTV’s TRL, Lyndsey Rodrigues. Her line is in the current issues of Lucky and Seventeen magazines. 

With the new season premieres last week of TV shows like Gossip Girl and 90210, she is closely gauging product placement and what pieces of hers might get some air time. On the day I was there to interview her, she was expecting Kimora Lee Simmons to drop by.

"I've been like a hamster in a wheel the last seven years," said the 31-year-old creative director of Boy Meets Girl, her signature brand that features a logo of a boy and a girl in silhouette. Morganstern Igel's first brand, Deesh, was in every "major," which in fashion speak means department stores such as Nordstrom (JWN), Macy's (M) and Bergdorf Goodman.

When Morganstern Igel refers to the last seven years, she means the part of her story that begins roughly around Sept. 11, 2001, the day she was supposed to launch her line, and culminates with this year's dream-come-true purchase of her brand by Oved Apparel, a partnership she hopes will get her back to the "major" stratosphere. However, the piece that comes before that is worth mentioning to anyone who wants to feel validated about what goes into achieving a persistent goal.

It goes like this. At age three, Morganstern Igel was outfitting her pre-K classmates with “makeshift designs and home-made charm bracelets.” When the theme persisted, her entrepreneurial mother ran with it.

“She wanted me to learn every angle,” said Morganstern Igel. That meant developing hand-sewing skills at ages six through eight, learning to sell by working at the Gap (GPS) in sixth, seventh and eighth grades, going to trade shows with her mother (who manufactured lumbar support products), learning an invoicing system and taking a trend forecasting class.

“I wasn’t allowed to just sew,” she said. “I was fighting it then, but I’m thankful for it today.”

Morganstern Igel kept the theme going in college. Unlike most students in the design program at the University of Wisconsin-Madison who focus on one thing, she triple majored in fashion design, retail and business. While in college, she had summer internships in New York with Donna Karan and Elsa Klensch, and one in London with Zandra Rhodes. Once out of college and back in New York working for Elie Tahari, she learned about things like fitting and the “craziness” of working until 2 a.m. Then, in need of a more corporate atmosphere, she jumped to Izod, where the norm was working until 9 p.m. instead of midnight.

“I started to think, ‘Can I do this on my own?’” said Morganstern Igel. “What I realized is, along with everything else, you have to have a lot of moxie and guts. So I asked to work four days a week so I could get my own business started on that one day.”

As her plan for independence progressed, she decided to leave Izod. She got her Spring 2002 line ready for the Workshop Show in Chelsea Market on Sept. 11, 2001, which was of course cancelled in the wake of the terrorist attacks. As it turned out, the American flag ribbon Morganstern Igel had incorporated into her design with July 4th in mind caught the attention of buyers at Bergdorf Goodman when the show finally happened in October.

“My mom was helping me show and sell,” she said. “I remember her turning to me, so excited. Bergdorf Goodman is her favorite store in New York.”

What followed was a whirlwind of working out of her apartment, finding out that you need to be able to produce what you sell, and learning the hard way that managing doesn’t mean becoming too friendly with your employees or assuming they have the same level of commitment to the company that you do.

“My employees were older than me. I was not ready to be a manager,” Morganstern Igel said about her launch.

But her line was ready for bigger and better things. In an early 2005 episode of Gilmore Girls, the character of Lorelai wore a short-sleeved, heather gray T-shirt with the Boy Meets Girl logo in black on it.

“Nordstrom picked up my line because of that shirt,” says Morganstern Igel, who describes her clothes as couture comfort and chic basics. “That was a moment. I found out the power of the press.”

While Sarah Jessica Parker had worn one of her tank tops in a Sex and the City episode, the logo wasn’t showing, so it didn't have the same impact. But Boy Meets Girl bags, hoodies, T-shirts, dresses and the like reflecting what Morganstern Igel calls the “edgy, demure, eclectic” female, have been spotted on Eva Mendes, Teri Hatcher, Kelly Ripa, Anne Hathaway and Hillary Duff, among others. Her wares have been seen on Heroes, America’s Next Top Model and MTV’s The Hills.

Now, Morganstern Igel is more equipped than ever to meet demand, thanks to Oved Apparel’s acquisition of Boy Meets Girl. Oved is one of the largest makers in the apparel industry (i.e., Mecca, Akademiks, Modern Culture).

“They’re more men’s specialty and hip hop, but they’re getting to know the women’s market because of me,” Morganstern Igel said. “I’m finally at a point where I can use a lot more of my creative and people skills.”

To further a vision that is 28 years old and counting.

Nancy Colasurdo is a practicing life coach and freelance writer. Her Web site is www.nancola.com. Please direct all questions/comments to FOXGamePlan@gmail.com.

 

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