American Apparel: Unwrapping Ethics

Authors: Cotte, June; Lee, Seung Hwan (Mark); Schuette, Brittany
Source: Richard Ivey School of Business
Year: 2012
Company Name: American Apparel
Number of pages: 5

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Abstract:

American Apparel has socially progressive labour policies and uses significant environmental advances in its manufacturing process. In addition, it has a well-established philanthropic arm. Set against these socially responsible policies is the highly sexualized nature of the company’s advertising. This element of the marketing mix seems, at least to some consumers, very much at odds with the other aims and policies of the company. The question facing students is whether this disconnect can be maintained or whether the advertising should change.