2. What is the primary target market segment for the Red Dress Collection, and how will Moran make this clear to her audience? Would offering several lines of clothing be cost-beneficial for this company?

Michelle Moran’s business plan was, “Do well by persuading shoppers to do good.” And the plan is about to be tested. Her two clothing lines, imparted with the lofty mission of educating women about breast cancer and heart disease and raising money for nonprofit groups fighting the illnesses, appear this month at Saks Fifth Avenue in Boston and nearly 50 area T. J. Maxx stores.
“My goal is to use fashion as a vehicle to help women,” Moran, 38, said. “Not just as a promotion, but every day.” Her aim may sound better-suited for a nonprofit venture than a money-making entity. But Moran’s Allston company, Clothes for a Cause, is decidedly for profit. Founded in 1996, the company first turned a profit in 2001. In 2003, it generated millions of dollars in revenues. Because the company is private, however, Moran does not disclose its financial details. Moran commits as much as 10 percent of all her wholesale sales, or roughly 5 percent of the retail price, to a cause. So far, that hasn’t translated into huge sums. The American Heart Association expects to raise at least $16,500 from the sales of the Red Dress Collection at the Saks Boston store. The Big Bam!, a nonprofit dedicated to providing mammograms and breast cancer treatment for uninsured women, is expecting its first check for $7,300 from sales of the Pink Ribbon Collection.