The CSR Newsletters are a freely-available resource generated as a dynamic complement to the textbook, Strategic Corporate Social Responsibility: Sustainable Value Creation.

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Thursday, April 6, 2023

Strategic CSR - Shein + Boohoo

Following on from Tuesday's newsletter, what evidence do we have that, given the opportunity, people will choose to do the right thing? The article in the first url below suggests, to the contrary, that they might not, and may even prefer not to. Specifically, the article profiles the company, Shein ("officially pronounced 'she-in,' though often pronounced 'sheen'"), which is described as a "Chinese fast-fashion company" and is becoming very popular in the U.S., its "most valuable market." Shein is becoming so popular that it "recently surpassed Amazon as the most downloaded shopping app in the United States." What consumers are attracted to is the shockingly low prices for most items ("things like $1 daisy earrings, $4 bucket hats, $12 cable-knit crop tops, $13 faux leather baguette bags and $29 neon PVC mule sandals"). What they are willing to ignore, it seems, is the ethical compromises that come with producing reasonable quality goods at those very low prices:

"… as Shein has grown, so have questions about its practices. Shein frequently makes headlines for its controversies, like selling a $2.50 swastika necklace or copying the work of designers. … Shein has also been accused of working with suppliers that violate labor laws, and failing to make necessary disclosures about factory conditions. … Last year, a CBC Marketplace investigation found elevated levels of lead in some Shein products, like a toddler's jacket and tiny purse."

As the article notes, fast fashion raises a number of issues that many consumers prefer to overlook:

"All of this has contributed to Shein becoming an archetype of a certain genre of supercheap clothing companies: It is the leader of a pack of Gen Z-favored brands, like Fashion Nova and Boohoo, accused by critics (including those from Gen Z) of contributing to overconsumption and waste. … Still, many of the videos on social platforms made about Shein … inspire comments raising these issues: How can a $4 top be made to last, so it doesn't end up in a landfill? How can the workers who sewed and shipped that garment be compensated fairly? Yet this hasn't deterred Shein's devotees, many of whom feel they haven't seen enough evidence to stop shopping with the brand."

In the article in the second url below, the influence of social media stars is explored in the context of the fast-fashion company, Boohoo. The article discusses how much influencers can increase sales, while at the same time encouraging the worst excesses of the fashion industry, even when "sustainability" is promised:

"Good news for people who like being lied to and wearing clothes that smell of petrochemicals: Boohoo, a UK-based online fast-fashion brand that has grown quickly in the US, has announced that they will be partnering with Kourtney Kardashian to embark on a 'sustainability journey.'"

The theory:

"The destination is unclear, but the 'journey'' will involve 46 limited-edition pieces of clothing made from 'recycled fibers, traceable cotton, recycled sequins and recycled polyester' as well as 'transparent practices for shoppers who want to learn more about the apparel.'"

And, the reality:

"It's unclear how sustainable any of the pieces in the upcoming collection – which ranges in price from $6 to $100 – actually are. The official press release includes absurdist statements such as '41/45 contain pieces that contain recycled fibres like recycles [sic] cotton' with no information about what percentage of the materials are recycled (Boohoo did not respond to repeated requests for clarification). Although the collection promises to be 'traceable,' only 2 items are made with cotton from CottonConnect, an agricultural project that promotes sustainable cotton farming practices with specific farms."

Ultimately, the underlying problem is that a small effort (even of questionable quality) often then excuses the rest of operations, which remain unhindered by even the promise of change:

"Even if Kardashian's range turns out to be as sustainable as Stella McCartney, her collection makes up less than 0.1% of the clothes available on Boohoo. Her endorsement, however, will help the whole company, including the 99.9% of their far less sustainable clothing."

And, the underlying challenge for the whole industry remains problematic:

"Anyone who says a company like Boohoo can create sustainable clothing is lying. Fast fashion retailers – from Shein and its lead-filled $1 sunglasses to Zara and their $50 polyester cardigans – are predicated on a system of always wanting more that is at odds with the environment."

As I have mentioned before (Strategic CSR – Jeans), sustainability, by definition, is the antithesis of fashion. Whenever the underlying goal is to get people to throw away what they have currently and replace it with something sustainable, there is a significant disconnect in coming to terms with the core problem.

Take care
David

David Chandler
© Sage Publications, 2023

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Overlooking Ethical Concerns for a $7 Tube Top
By Jessica Testa
September 1, 2022
The New York Times
Late Edition – Final
D5

Kourtney Kardashian wants to make Boohoo's fast-fashion sustainable. Spoiler alert: she can't
By Niloufar Haidari
September 12, 2022
The Guardian