Wacoal Group HistoryWith a strong desire to devote his life to working for society, KoichiTsukamoto founded Wacoal based on the belief that “a peaceful society isJapan salesone where women can express their beauty.” His goal was to contributeto society by helping people to express their beauty. In achieving this goal,Developing the mass retailer channelStarting the directly managed store businessbusiness management based on mutual trust is essential. The Group hasOpening sales channelsin department storesovercome numerous hardships over its long history based on its founder’sstrong commitment to creating a company trusted by all stakeholders.

Establishing the businessWing sale counter at mass retailerFoundingKoichi Tsukamoto FounderKoichi Tsukamoto, who had miraculously survived World War II’s harsh battles, returned to his home inKyoto on June 15, 1946, and started a business dealing in women’s personal ornaments that very day.
This is the date of Wacoal’s founding.
The Company’s initial trade name was Wako Shoji. In 1949, Tsukamoto’s strong desire to “helpJapanese women express their beauty” and an encounter with “bra pads” brought about a decisive turnin the business. Thus Wako Corp.¸ incorporating a global perspective, was established as amanufacturer of women’s western underweara corporate culture Establishingbased on mutual trustKoichi Tsukamoto at the wall of trustIn 1962, labor-management relations were a major issue. Wacoal founder, Koichi Tsukamoto, was deeplymoved upon hearing a lecture given by the President of Idemitsu Kosan, Sazo Idemitsu. Tsukamoto,thinking, “If we are going to talk about respect for human beings, firstly, the president must have faith inthe union.” So, he acted decisively to establish a “corporate culture of mutual trust” by entrustingemployees to make their own decisions regarding matters such as arriving late and leaving early. Thisaction revitalized the mood within the Company and served as a foundation for generating further growth.

Sales counter at Takashimaya Kyoto StoreIn 1950, Wacoal opened its first women’sunderwear sales counter in a departmentstore at the Kyoto branch of Takashimaya.
Seizing upon the opportunity presented bywomen in Japan undertaking a big shiftfrom Japanese to western clothing, Wacoalstarted designing women’s westernunderwear and manufacturing it at its ownfactory. During this period of high economicgrowth and an increasing interest in fashionand life quality demonstrated by women,the Company produced various productsto meet their needs.

With the relative status of departmentstores and mass retailers declining andthat of fashion-oriented buildings,station buildings, and shopping malls onthe rise, in 2001, Wacoal opened its firstSPA-style directly managed store,Subito, in Harajuku, Tokyo. Since then,the Company has opened a series ofstores in various styles that are tailoredto specific customer bases and storelocations as it continues to take on thechallenge of increasing customer footfall.
Directly managed store AMPHIOverseas salesEstablishing the Research and Development CenterThe start of human science researchTo create products that perfectly fit the body shape of Japanese women, the Company establisheda Product Research Department in a building that was newly opened in Asakusabashi, Tokyo, in1964. There, the Company started full-scale research and measuring the body shapes of Japanesewomen based on ergonomics. In addition to establishing a brassiere size system, anthropometricdata were collected, and based on that, the ideal female body shape was expressed in numericalform. The Product Research Department eventually developed into the Human Science ResearchCenter, and in addition to collecting body shape data, the Center has expanded its areas ofresearch to include comfort, health, and movement.

Anthropometry in the late 1960sBuilding where Wacoal America’s office is located05 ■ WACOAL HOLDINGSIn the 1970s, mass retailers overtookdepartment stores in clothing sales and grewinto huge distribution channels. It was a turningpoint for the Company when mass retailersbegan to shift from selling large quantities ofgeneric products to offering bargain sales onnational brands. As a result of continuednegotiations with major mass retailers, thenational brand Wing was displayed in thelingerie sections of mass retailers on thepremise that dedicated sales corners would beestablished and listed prices respected.

overseas Expandingmarketsearnest desire for Anprofitability in the USfull-scale development Startingin the European marketThe fashion show of Wacoal EuropeIn addition to establishing Wacoal America Inc. (currently WacoalInternational Corp) in the United States in 1981 and Wacoal HongKong Co., Ltd. in Hong Kong in 1983, Wacoal also became the firstJapanese apparel company to set up a joint venture in China. Bydeveloping a unique overseas business model rooted in local areas,the foundation for a global Wacoal was being laid.
After entering the U.S. market, the Company’s performancestagnated for many years because of bloated inventory and SG&Aexpenses. Even so, Wacoal improved quality at its plants whilemaintaining listed prices and a commitment to sales throughconsultations with beauty advisors, and in 1995, it achievedprofitability for the first time.

In 2012, aiming to expand the European business,Eveden Group Limited (currently Wacoal Europe Ltd.),a company with multiple brands suited to a widerange of body shapes and sizes and headquartered inthe UK, was made a wholly-owned subsidiary. Fromthat point on, Wacoal’s presence in the UK and the EUgrew significantly. The Company is completingpost-acquisition reorganization and building a strongerrevenue through such activities as reviewing the brandportfolio. Having completed a post-acquisitionreorganization, the Company is building a strongerrevenue base by reviewing the brand portfolio.

INTEGRATED REPORT 2023■ 06