I came across a resource from The Wall Street Journal that I think might make for a timely expiration into consumer culture and the economic and environmental impacts of globalization -
Here's a summary:
Shein, a Chinese online fast fashion company, has become a dominant force in the industry, with a $66 billion valuation in 2023 and a 40% share of the U.S. market. Known for its incredibly low prices, Shein offers $2 T-shirts and $7 pants, undercutting its competitors. The brand experienced explosive sales growth during the pandemic, generating an estimated $23 billion in revenue in 2022. However, behind Shein's low prices, there are concerns about the company's practices. A congressional report discovered that Shein uses tax exemptions to cut costs, and the company's own report acknowledged cases of involuntary labor in its supply chain. Shein operates on a "small batch" model, initially producing only 100 to 200 units of each new product. The company's design process is data-driven, creating new designs based on customer engagement and demand. Shein has an inventory turnover rate of 40 days, twice as fast as competitors like H&M and Zara. While this helps reduce inventory waste, environmental activists argue that the high consumption of Shein's cheap clothing leads to overall waste. The company's low prices are also attributed to cheap labor in China and taking advantage of a U.S. tax exemption for low-valued packages. Shein has faced criticism for its labor practices and lack of transparency regarding its supply chain. Congress is investigating the company's labor practices and its use of cotton sourced from China's Xinjiang region, where forced labor is a concern. Shein vows its commitment to providing a safe work environment and fair wages but has not disclosed information about its suppliers. Furthermore, the company's $100 billion valuation in 2022 has declined and its rival, Temu, has gained market share. Shein is attempting to improve its image through social media and has relocated its headquarters to Singapore. It is also diversifying its supply chain outside of China, with plans to invest in Brazilian manufacturers. Shein has partnered with Forever 21 and is transitioning towards a marketplace model to expand its global presence. Despite these efforts, the company continues to face criticism and struggles to address concerns surrounding labor and the environment.
I've been a longtime fan of Planet Money's T-shirt video, but I try to avoid "double dipping" resources for my on-level and AP courses, so this seemed like a solid alternative.
I know most of us are probably a ways away from teaching Unit 9, but if you give this a try before I get there, let me know your thoughts!
