London School of Economics (LSE), where our very own Ed Mitala (Indigo accounts guru) studies, has a t-shirt design competition and the winning design wins a £100 and gets to see their design sold in the Union shop. I assume the competition is only open to LSE students but this is a great idea and makes for more interesting merchandise in uni shops compared to the traditional hoodie, with college crest, which is often the default offering on most campuses.
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Disclaimer: Indigo has printed t-shirts for the LSE Union before (Jan/Feb 08)