Unraveling The Impact Of Corporate Social Responsibility In Fashion

Brands are constantly striving to showcase their positive image, putting in endless effort to do so. This can be done in a multitude of ways. In today's society, with millennials at the forefront, it is not enough for brands to simply have a positive image. There is an expectation for them to make a positive impact as well. This is known as corporate social responsibility - the practice of implementing sustainable development strategies that benefit all stakeholders, including economic, social, and environmental factors.

This concept carries immense weight and has become a vital focus for fashion brands, who are leveraging various media platforms to promote their CSR campaigns. As consumers and shareholders alike have become more socially conscious, the demand for brands to act responsibly has only intensified.According to the 2015 Global CSR Study, a staggering 90% of consumers have pledged to boycott companies that engage in unethical practices, while an overwhelming 91% of global consumers expect corporations to take responsibility for pressing social and environmental concerns. This increased awareness has sparked a shift in the approach of major fashion brands, who are now utilizing a variety of communication strategies to amplify their corporate social responsibility efforts.

DEFINING SUSTAINABILITY AND CSR

It's crucial for corporations to understand that consumers now place a high value on trustworthiness when choosing which brands and companies to support. Today's consumers are seeking out businesses that prioritize transparency, have a positive impact, offer sustainable alternatives, and champion meaningful causes. It's worth noting that the clothing industry has long struggled with ethical issues, which persist to this day. These include inadequate pay, exploitation of child labor, harm to animals, threats to human health and safety, and environmental degradation - and the list sadly continues.

In recent times, we've witnessed a significant rise in the number of companies and brands opting to revamp their business operations. As a result, our team has had the incredible opportunity to team up with and support these businesses in a multitude of ways. From aiding in the shift towards new product lines to offering guidance on sourcing materials from trustworthy suppliers and suggesting appropriate fabrics - we've been committed partners every step of the way. Additionally, our team has been dedicated to providing valuable insights on effectively managing and supporting employees throughout the entire process - from production to the final delivery to customers.We've immersed ourselves in these activities and have witnessed the ever-evolving viewpoints of customers firsthand. It's clear that companies and brands must be quick to adapt to these changes.

The crucial lesson for corporations to learn is that customers now prioritize trustworthy companies and brands. Consumers today seek out companies that value transparency, make a positive impact, provide sustainable options, and speak up about important issues. 

To begin with, it must be acknowledged that the clothing industry has been plagued by numerous ethical concerns over the years and these issues continue to persist. From low wages to child labor, animal cruelty to health hazards, and environmental damage, the list of problems within the fashion industry is extensive. However, for the purpose of this article, we will not delve into all of these issues surrounding fast fashion and the widespread unethical practices in the fashion and clothing realm.

ADIDAS IN THE CSR SEGMENT

Adidas, a prominent fashion powerhouse, has long been an outspoken advocate for corporate social responsibility. This values-driven brand has a strong track record of teaming up with other companies and non-profit organizations to minimize its global footprint. Some noteworthy collaborations include the highly coveted Adidas by Stella McCartney line and the partnership with Parley for the Oceans. The notable Adidas-Stella McCartney partnership is dedicated to minimizing waste by repurposing leftover materials, aligning with Stella McCartney's own commitment to corporate social responsibility in the fashion industry.The partnership proved to be a resounding triumph, earning high praise for its purpose. Adidas holds tremendous pride in their collaboration with Parley. Together, they leveraged recycled ocean plastics to design a diverse range of products. The most remarkable of these was a shoe crafted entirely from repurposed plastic. Both collaborations garnered significant attention and reinforced a favorable image for the brand. Through their clever public relations strategies, Adidas effectively highlighted their commitment to corporate social responsibility (CSR). While CSR is undoubtedly crucial, communication professionals play a vital role in amplifying and disseminating all related information.

In today's digital landscape, brands possess the ability to showcase their actions and the impact they have on various areas, making a positive impression on stakeholders. This level of transparency is highly valued by consumers and is something that they expect from companies they support. Social media serves as a powerful platform for brands to communicate and amplify their messages, especially when it comes to corporate social responsibility (CSR). As a result, public relations professionals have a unique opportunity to go beyond one-way communication and truly engage with their audience.Nowadays, companies possess the power to bring together vast groups of individuals and build a loyal following. When effectively executed, Corporate Social Responsibility (CSR) becomes a potent weapon in the arsenal of communication experts. Among the various CSR strategies, sustainable fashion has gained widespread recognition. Brands are constantly promoting this tactic through diverse media channels, aiming to reach a wide audience. Not only does this allow companies to showcase their ethical and socially responsible practices, but it also enhances their brand image and cultivates strong relationships with all stakeholders and consumers alike.

DEFINING SUSTAINABILITY AND CSR

The Brundlandt report of 1987 presents a powerful connection between sustainability and the concept of sustainable yields. This report boldly asserts that development through sustainable yields is essential in meeting the needs of the present without jeopardizing the ability of future generations to meet their own needs. Essentially, the report highlights the crucial role of social, economic, and ecological considerations in achieving sustainability, emphasizing the responsibility of organizations and humanity as a whole. The report strongly suggests that both short-term and long-term actions, or lack thereof, must be taken into account in order for true sustainability to be achieved.The report suggests that the actions and choices made by organizations not only affect their stakeholders, but also have broader implications for humanity in the long term. While there is no universally agreed upon definition of CSR, a review by Dahlsrud found that the one provided by the Commission of the European Communities is the most commonly cited in literature. According to the Commission, CSR involves companies voluntarily incorporating social and environmental considerations into their business practices and interactions with stakeholders.

Describing CSR

The concept of corporate social responsibility (CSR) encompasses various values and duties, such as upholding ethical principles, following laws, showing consideration for communities and the environment, and improving the well-being of stakeholders and society as a whole. Key insights from CSR discussions highlight the significance of not solely prioritizing profits, but also acknowledging the impacts that an organization's actions have on employees, shareholders, communities, and the natural world.While there is much debate among scholars about the origins of CSR, the first formal mention of the concept in literature can be traced back to 1953. This was when American Economist Howard Bowen asserted that organizations have a social obligation to act in ways that align with the objectives and values of society. This notion of CSR set the stage for further exploration and development of related concepts like corporate citizenship, social audits, and corporate stewardship. It wasn't until the 1960s, however, that the focus shifted towards defining and understanding the true meaning of CSR, capturing the attention of scholars and researchers alike.

THE IMPORTANCE OF CSR FOR TEXTILE AND APPAREL INDUSTRY

The use of cheap labor in the textile and apparel industry has a notorious reputation. This is due to the fact that many companies source their workers from developing countries with lax labor laws and high unemployment rates. As a result, they are able to exploit overworked and often underage employees by offering low wages. This unethical combination allows organizations to maximize their output at the expense of desperate workers who are struggling to make a living.In developing countries, the absence of adequate legal and political structures presents a significant challenge for the textile and apparel industry. As a result, it is imperative that the industry's major stakeholders elevate their CSR efforts to bridge the management gap caused by these deficiencies. Maignan and Ferrell (4) highlight the fact that CSR goes beyond merely fulfilling legal obligations and is instead a voluntary commitment.

THE NATURE OF FASHION INDUSTRY 

In the world of fashion, organizations face the challenge of producing trendy and affordable clothes within tight timelines. As a result, the focus of CSR in this industry is primarily on the production processes and their ultimate outcome - the clothes that people wear. The renowned scholars Dickson and Eckman (188) suggest that CSR in fashion should encompass a holistic approach towards the environment, the workforce, apparel and textile products, and the overall impact of production, marketing, and consumption on stakeholders as well as the environment.

In the world of fashion, there are several critical elements that play a crucial role in shaping a company's CSR practices. These include the sourcing of raw materials from farms, the production processes at the firm level, and the operational dynamics that impact working conditions, such as the use of sweatshop labor and exploitation of children. Delving into the blog, we find two fundamental motives that drive companies towards adopting sustainable practices:

(I) the need to look good in the eyes of the employees, the consumers and other stakeholders; and

(II) A genuine need to do well, and contribute to the welfare of all stakeholders affected by what the organization does. In the first instance, organizations find adopting CSR initiatives necessary due to the reputational risk that comes with non-adoption. In the Nike case (explained elsewhere) for example, the firm was criticized for the use of child labor in its value chain, and the effect of such criticism in its sales volume in 2004 was far-reaching.

CSR INITIATIVES IN THE CLOTHING INDUSTRY CAN BE: 

By standing against animal cruelty, we can make a meaningful impact by not using materials such as fur and leather in our products. Ensuring that workers are treated fairly and not subjected to exploitative labor conditions is also crucial. It's important to carefully examine the sources of our materials and products, as popular materials like cotton often involve the use of harmful insecticides and pesticides. These practices not only have long-term detrimental effects on the environment, but also on the farmers who work with the cotton.

The current practices in the textile industry are not sustainable in the long run. Instead of relying on irresponsible production methods, we should focus on repurposing old items and reconstructing them into new products. This is a crucial step in addressing the disposable nature of high street fashion. Furthermore, we must also prioritize supporting Community Fair Trade initiatives and implementing ethical trade practices, such as the Ethical Trade Program and the Supplier Code of Conduct. Finally, let's strive to make our pieces inclusive and accessible to everyone.

CSR initiatives have been proven to result in a multitude of benefits including improved working conditions for employees, cleaner production processes, energy efficiency, and increased loyalty from both employees and consumers. As a result, organizations not only enjoy direct and indirect advantages from their CSR efforts, but also gain the potential to attract prominent clients and investors who prioritize maintaining a positive brand image.

Ultimately, CSR becomes a crucial business strategy that contributes to higher profits in the apparel industry. In order for all companies, regardless of size and financial status, to fully capitalize on CSR, promoting awareness of these practices and issues is vital. Therefore, conducting CSR initiatives in a transparent manner is essential.In order to address the multitude of challenges faced by the textile and apparel industry, it is important that we seek out viable solutions.

One particular area that requires attention is the presence of conflicting codes of conduct within the industry, which need to be streamlined. Additionally, it is important to recognize that the implementation and evaluation of corporate social responsibility initiatives often occurs behind closed doors, giving organizations the opportunity to put on a facade and launch programs that are never fully carried out. Moving forward, there must be a commitment to transparency in the implementation and evaluation of these initiatives to ensure that they are genuine and effective.