American Apparel is a well-known clothing brand and company across the world. Basically AA is a manufacturer, distributor, and retailer of clothes with its headquarters based in the Los Angeles, California, U.S. Today it is known to everyone that this company is a sweatshop-free, vertically integrated, with a robust CRS stance which strongly supports the workers’ rights and tries to legalise the illegal foreign workforce of the American clothing industry. American Apparel is also known as a corporation that rejects the typical fashion ads and performs its own design, marketing, and advertising of fashionable clothes. If American Apparel is such a cool and innocent company how come they lost consumer interest and experience a downturn in sales revenue?
This research will take In-depth look at the key platforms of AA mentioned above and will carry out an analysis to examine, if any of those platforms contributed to the company’s current downturn. In addition American Apparel and its business model will be compared with its main competitors in the industry, to uncover what other (if any) business models are successfully in operation.
Dov Charney and American Apparel
Dov Charney is a Canadian-born founder, president and Chief Executive Officer of American Apparel Inc. According to Reuters (2013) AA operated 251 fully owned retail stores in twenty countries as of January 31, 2013 and still runs an online website that serves customers from more than sixty countries worldwide up-to-date. It is not an easy job to run such a big business, no wonder AA employs more than twelve thousand employees worldwide. It is also understandable that the competition is very strong in fashion apparel industry, as it has many major players l...
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16. American Apparel Inc. (2013). Financial History: 10-K Annual Report. Available at: http://files.shareholder.com/downloads/APP/2812271912x0xS1336545-13-9/1336545/filing.pdf (Accessed 20 November 2013).
17. H&M (2012). Annual Report 2012. Available at: http://about.hm.com/content/dam/hm/about/documents/en/Annual%20Report/Annual-Report-2012_en.pdf (Accessed 20 November 2013).
18. Hansen S. 2012, ‘How Zara Grew into the World’s Largest Fashion Retailer’, The New York Times, 9 November. Available at: http://www.nytimes.com/2012/11/11/magazine/how-zara-grew-into-the-worlds-largest-fashion-retailer.html?pagewanted=all&_r=0 [19 November 2013].
19. Inditex (2013). Inditex Press Dossier. Available at: http://www.inditex.com/en/downloads/ITX-Dossier-p12-en.pdf [19 November 2013].
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- Introduction American Apparel is a well-known clothing brand and company across the world. Basically AA is a manufacturer, distributor, and retailer of clothes with its headquarters based in the Los Angeles, California, U.S. Today it is known to everyone that this company is a sweatshop-free, vertically integrated, with a robust CRS stance which strongly supports the workers’ rights and tries to legalise the illegal foreign workforce of the American clothing industry. American Apparel is also known as a corporation that rejects the typical fashion ads and performs its own design, marketing, and advertising of fashionable clothes.... [tags: business policy, illegal sweatshop]
3180 words (9.1 pages)
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827 words (2.4 pages)
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1723 words (4.9 pages)
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1778 words (5.1 pages)
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1648 words (4.7 pages)