An Analysis of Corporate Social Responsibility in the Fashion Industry

This report provides an in-depth analysis of Corporate Social Responsibility (CSR) within the fashion industry. It begins with an introduction to CSR and its importance, followed by a discussion of key ethical issues, including child labor, low wages, animal cruelty, and environmental degradation. The report then explores different views of CSR in the fashion industry, differentiating between broad and narrow perspectives, and highlights the ethical production aspects. It also examines the Teleological ethical theory, specifically Egoism, Utilitarianism, and Virtue ethics, and how these theories apply to CSR in fashion. A case study of Burberry, a global fashion house, is included to illustrate CSR practices. The report concludes with a reflection on ethics and CSR in the fashion industry.

CORPORATE SOCIAL
RESPONSIBILITY

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Corporate Social Responsibility is the self-regulating model of business which helps the
organization to be socially accountable top their stakeholder, public and itself. The practice of
CSR also known as corporate citizenship, in which companies are conscious about the impact
they have on the society consider economic, environmental and social. Through involvement in
CSR activities a company can contribute in the society by boosting up their products and brands.
Fashion industry is a global sector which works to fulfill the demand of wearing apparel
and prescribe trends that what should be weared. This industry have five separate levels which
includes the Luxury wear, haute couture, mainstream clothing, affordable luxury and discount
clothing's. The following report states the evaluation and simplification of ethical issues which
raises among the fashion industry. The broad and narrow view of Corporate social responsibility
for the fashion industry. Further the report carried forward with the explanation to the ethical
theory to avail through the industry perspective to support moral ethics with the view of CSR.
Identification of global fashion company and evaluating the CSR responsibilities followed up by
the company. The report ends with the self perspective about the fashion industry with the
reflection on ethics and CSR.
MAIN BODY
Ethical issues in fashion industry
Ethical issues are the problems and situations which compels the organization or a person
to make a choice between various alternatives that should be reviewed as ethical and unethical.
Fashion industry has a complicated connections to wide range of other fields like
adverting, manufacturing etc. The tremendous revenue made in this fashion industry generates
temptation to become engaged in unethical behaviour. As the entire world is being bombarded
with never ending supply of cheap materials, there has been an increasing concerns regarding
continuous exploitation of animal, human and other natural resources in fashion industry. The
following forms the biggest and popular ethical issues within fashion industry (Top ten ethical
issues in fashion business, 2019).
Child labour
In the pursuance of cheap and low production, most fashion brands commonly relocate
their manufacturing facilities to underprivileged area of world due to which they hire anyone
who is able of working within a factory which also includes children. Because of poverty as well

as unawareness, the child workers in fashion industry are not only forced to work under critically
substandard situations but are also devastated from their fundamental education right.
Low wages
Fashion industry proclaims that they generate high employment opportunities due to
which their sweatshops invariable provides benefit to huge amount of workers. However, when
sweatshop workers annual wages are speculated then the minimum wages which are paid by the
contractors of large fashion companies to workers do not cover even their basic needs and do not
provide enough money for incidentals as well as emergencies. Even in the garment factories in
most developing countries, the workers do not get enough living wages to support their families.
Animal cruelty
Animal abuse in fashion sector consists falls in two halves; one who abuse the animals by
objectifying it through the rearing of its fur, skin etc while the another one who tortures them by
contaminating their natural habitat and thus disrupt their water and food chain. Mostly the
animals are bred and kept in captivity to have their fur shaved off (Grayson and Hodges, 2017).
Animals like crocodiles are specifically bred so that the producers in fashion industries can
extract their soft skin to use it as raw material and utilized in various items like handbags, shoes
etc.
Environmental degradation
Fashion industry has gone a long way in disrupting the equilibrium between human
activities and environment and thus have become a major entity whose impact on environmental
degradation is imperative and indelible. When the large amount of harmful pesticides are being
washed off within the water bodies at the time of cotton farming then the effluents are released in
nearby streams due to dyeing process as well as the toxic gases gushing out from the chimneys
of apparel manufacturing factories extremely affects the earth's ozone layer in a negative way.
Different views of CSR in fashion industry
Corporate social responsibility is the concept or model whereby the organizations
commits to make their contribution towards the greater sustainability and for the welfare of
society.
Broad & narrow view of CSR in fashion industry
Fashion industry have become highly involved in advertising and promoting their major
corporate social responsibility campaigns via wide range of media platforms. A 2015 CSR study

shows that around 90% consumers boycott any company who are involved in poor business
ethics whereas 91% global consumers want the companies to perform responsible and address
various environmental issues. A large number of fashion brands have employed huge variety
communication techniques for CSR promotion. Adidas, a major global fashion brand
collaborated with Stella McCartney and Parley which are the well known brand with a
commitment to produce as minimal waste and residue as possible while reusing the leftover
fabric (Crane, Matten and Spence, 2019). The most remarkable product launched was shoes
which were made wholly from reusable plastic. Thus, the issue of CSR has always been a buzz
around the entire globe where its main impact have been projected on fashion industry.
The socially responsible companies takes into account the entire structure of stakeholders
which are associated with fashion supply chain involving sales help, consumers etc. With the
emergence of globalization, the global retailers are now working hard to make sure that the
corporate global standards for sustainability, product quality and safety labour are adhered as
well as maintained throughout the entire business operations. The ethical production in fashion is
mainly based upon three areas. First is ecology which includes the green activities carried out by
companies like energy saving and water within shops and using environment friendly fibers.
Second one is about animal rights which does not entertains the natural furs, feathers and exotic
pelts to be used for manufacturing products. Last one includes human rights which emphasizes
on fairness in trade movement. Companies following CSR solves the employees pay conditions
issues by publishing its own ethics code or by relocating a fragment of production in highly
controlled factories (Schrempf-Stirling, Palazzo and Phillips, 2016).
In the narrow context, it can be concluded that from alleviating carbon emission as well
as environmental effect of fashion industry to strengthening the equitable labour practices along
with addressing the right of workers, CSR has inculcated a broad mission in its statement.
Environmental issues are becoming a peripheral concern. The increasing awareness of
stakeholders for the issues like pesticide use, apparel waste, impact of rapid fashion and
environmental concerns have enabled the fashion companies to scrutinize their ethical practices.
CSR has become the company's major ideology which is intensively demonstrated by renowned
brand Marks & Spencer. This company publicized their Plan A which was started by Mike Barry
which encompass around 180 environmental along with ethical commitments. This eventually
became the drivers of company towards the aim of becoming major retailer at the end of 2016.

Thus, to maintain the healthy relation with stakeholder, it becomes highly essential for the
companies to implement CAR and shift their focus to social with environmental strategies
(Wang and et.al.,2016).
Ethical theory addressing CSR
Although, there are large number of ethical theories that relate to the fashion industry but
the most profound theory which project a strong impact on it is Teleological theory. This theory
relates to the moral goodness within the consequences of organization's behaviour rather than
behaviour itself (Flammer, 2015).
According to this theory, all the human actions is basically teleological and strive for
means of attaining certain ends therefore the moral behaviour of the organizations are goal-
directed(Ethical theories, 2018). This theory revolves around the fashion industry in a most
imperative way as the basic core ethics in it is based on how morally and ethically the activities
are conducted and how the judgments are affected in view of ethics. This theory mainly
encompass three aspects
Egoism
The ethical egoism postulates that any action or activity is ethical if it leads to the results
that eventually enhances the self interest of a person even if it occurs at the cost of others. It is
usually based on the concept that although morality begins from promoting one's self good but
sometimes keeping aside the personal interest would also be considered as moral action. This has
a direct impact on the fashion industry where Companies should use ethical code of conduct to
maximizes their satisfaction level by avoiding self interest where they, rather than slaughtering
the animals brutally for creating products can mainly focus on using mulesed wool for their
clothing. Instead of gaining profit from selling animal fur and leather, Fashion industry should
work towards the practices that would drive them towards improving the life quality of animals
as well as prevent their exploitation and death. They should strive willingly for engaging in the
campaigns which are focused towards preventing rearing of animals and should avoid profit
making from these animals (Kang, Germann and Grewal, 2016).
Utilitarianism
This is the another aspect of teleological ethical theory which emphasizes that an action is
regarded as good if it leads to maximum satisfaction in the minds and hearts of wide number of
individuals who are expected to get impacted by their actions. In a wider context, It deals with

collective welfare where it recognizes the goodness along with large tons of benefits for wide
audience. Entire fashion industry is dependent on serving the people in right way and brings
sustainable goodness for them. This aspect can be related with the green activities where the
companies should focus towards saving energy and resources, utilizing environment friendly
fibers as well as reusing the old clothes for the development of new products seeking the welfare
of welfare of society as a whole. These practices should be reinforced via additional actions like
pro-environmental campaigns where the main aim is to provide sustainable products to
consumer. Besides this, the companies should can adopt “Greenwashing” which is basically a
cosmetic action and addresses the CSR goals to care for the welfare of public by drawing their
approval(Jamali and Karam, 2018).
Virtue ethics
This forms the last part of Teleological theory whereby the people are judged by their
character rather than their action which might deviate from their natural behaviour. This is
positioned on the notion that the virtues present within the people eventually helps them to make
their decision and thus tells them the distinction between right and wrong. Individuals associated
with fashion industry should rightfully know the difference between right and wrong and the
sense of ethical behaviour should reflect in their character. This is closely associated with human
rights which involves virtue among the fashion industry people to practice right trade movement.
They should avoid unfair practices which are controlled by various economic factors demanding
stock prices. They can enhance the working situations for employees by establishing an equitable
code of conduct and by engaging themselves in fair trade practices or by even creating
transparent ethical actions that interest the stakeholders and workers(Liang and Renneboog,
2017).
Fashion company that provides CSR information
Burberry is the global luxury fashion house which had its headquarter in London.
Burberry performs business activities across 51 countries. It was founded by Thomas Burberry in
1856. They mainly focus on trench coats, fashion accessories, ready to wear outfits, sunglasses,
fragrances and cosmetics. The company with shifting to the high fashion market introduced first
of kind fabric for kids which is known as Gabardine which is waterproof and
breathable(McWilliams, 2015).

Burberry has designed the Corporate Social Responsibility Agenda to build a positive
change and form a sustainable future. They had set their ambitious goal which is divided into
three areas and that must be conquered up to 2022. The responsibility strategy includes —
Carbon neutral and revalue waste, Positive impact on one million people and driving positive
change through all products. The company aims at obtaining 100% of product by 2022 along
with the positive attribute which includes the environmental and social improvements
accomplish at stage of product manufacturing or sourcing of raw materials. They had procured
68% of cotton through Better Cotton Initiative(BCI). BCI, is the non-profit organization which
mainly focused on creating the cotton production better for people who make it, good for the
sector's and better for the environment where it is grown. They also had increased the traceability
of leather by 49% with the help of certified tanneries. The company is successful in reducing the
43% of market-based carbon emission, company aims in achieving the zero-carbon trace in their
operational energy by refining energy efficiency, diminishing absolute emissions and using more
renewable sources(Harjoto, Laksmana and Lee, 2015).
The company procured its 68% of electricity from renewable resources as the is the
member of RE100 membership, they had aimed at achieving the 100% electricity by renewable
resources, and they will accomplices this by collaborating with retail teams, procurement and
environment with landlords. They had stopped the practice destroying the unsaleable products
and started reusing, donate, repairing, and recycle the products and company is making much
more efforts in this practice. They had introduced the SDG13- Climate Action program for the
renewable energy where company calculates the greenhouse gas emission data with the help of
Protocol of Greenhouse Gas by this company aims at carbon-neutral till 2022. Burberry has also
announced that they will not be using the real fur's in Riccardo Tisci's debut collection, and they
will also the artificial fur products. In 2017, the company had prepared a responsibility agenda in
partner with luxury sustainable company Elvis & Kresse in which they had aimed to turn wasted
leather products of 120 tonnes for the resale product. Burberry has also organized the multi
stakeholder event in 2015 which includes the NGOs, academia and business from different
different industries, and they have shared their environmental and social programs and plans.
Further They had also implemented Manufacturing Restricted Substances List(MRSL)and
Product Restricted Substances List (PRSL) to eliminate the use of chemicals from the supply
chain as this have an adverse impact on the environment. They monitor the supply chain

performance with the help of Partner Progress Tool against chemical management(Frynas and
Yamahaki, 2016).
Opinion about fashion industry as a consumer
Being an aware consumer I think that the fashion brand must produced the sustainable
product. The brand should protect the environment during the production process. The clothing
brands should not use the original furs or cloth materials which is extracted from the animals and
the trees which directly harms the environment and species. Brands should provide the
information of social and economic impacts on their websites so that the consumer must be
aware of that factors. Along with this the brand should respect the human rights for everyone
who are involved in the production process of their products. I also think the fashion industry
must be more transparent. The fashion brand should depict on their products, from where the
material come from which is used in their product. Company should also describe their process
of the cloth manufacturing and also describes the measures fashion brand is taking to minimize
the effect on the environment and safeguards their employees with right law practices(Jamali,
Karam and Blowfield, 2017).
The contribution of fashion brand to enhance the lives of the individuals in the locality
where the products of the brand is manufactured. Fashion brand should specify the ingredients,
source material, components and name of the manufacturer on the product. The brands should
mention the sustainability of the product on their packaging and also mention how the products
are made from. Fashion companies should also specify the information about the socially and
environmentally responsible practices perform by them. I think that the industry must follow the
legislation and law which follows the human rights of everyone which are involved in the
process of product manufacturing that the appropriate pay is given to them, the employees are
not exploited and safe and healthy environment for the workers(Marín, Cuestas and Román,
2016).
CSR plays a significant role in the fashion industry. Consumers now more insist their
best-loved brands, companies and products to follow the CSR practices. These practices are not
only important concern for the customers but also for the brand stakeholder. The fashion apparel
which follows the Corporate Social Responsibilities can easily attracts their stakeholders as it is
the positive business strategy that helps the business to lead in the market for the long term. The
Forum for Sustainable and Responsible Investment discovered that brands which are involved in

the CSR activities states the increase in their assets from $1 trillion in 1997 to $7 trillion today
roughly. Nowadays brand dedicate their money and time for practicing the CSR activities for
their organization which are available for their all stakeholders. The brand must follow the
practices in the all level of the operation of company and must create innovation to cope up with
the sustainability issues efficiently and effectively. The industry must showcase their care for
employees, working conditions, health and safety inside the company or outside the company.
Brand should cooperate with the retailers and suppliers as the supply chain process plays a
significant role in the fashion industry. They should compensate for the use of reserves and
elevate its harms to the environmental resources. So the brands should conduct the campaigns
and programs through social media platform to support the CSR activities and practices for the
future development of the company and a step towards the socially responsible business.
CONCLUSION
From the above study it is concluded that contribution to the Corporate Social
Responsibility (CSR) by the companies plays a significant role in the social, economic and
environment. With the effective use of this organization can reduce the operational cost,
improved quality and productivity and their brand image. Today customers spend more money
on the sustainable products so thus if the brand practices CSR the more customers will be
attracted to them and thus they have a huge profits and sales and can build a loyalty among their
consumers and can compete with other competitive rivals in the market. This helps the company
to sustain in the market for long term.

REFERENCES
Books and Journals
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theoretical perspectives. Business Ethics: A European Review.25(3).pp.258-285.
Grayson, D. and Hodges, A., 2017. Corporate social opportunity!: Seven steps to make
corporate social responsibility work for your business. Routledge.
Harjoto, M., Laksmana, I. and Lee, R., 2015. Board diversity and corporate social
responsibility. Journal of Business Ethics.132(4).pp.641-660.
Jamali, D. and Karam, C., 2018. Corporate social responsibility in developing countries as an
emerging field of study. International Journal of Management Reviews.20(1).pp.32-61.
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developing countries: a development-oriented approach. In Development-Oriented
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McWilliams, A., 2015. Corporate social responsibility. Wiley encyclopedia of management. pp.1-
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Online
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