SUSTAINABLE DEVELOPMENT IN FASHION INDUSTRY- A CASE STUDY

APPROACH
SNEH SHARMA
SWEETY PATHAK
Students’ 1st Year MBA
MS RAMAIAH INSTITUTE OF TECHNOLOGY, BENGALURU

ABSTRACT:
In the early 1990s, roughly coinciding with the 1992 United Nations Conference on Environment and
Development, popularly known as the Rio Earth Summit, 'green issues' (as they were called at the
time) made their way into fashion and textiles publications. These publications featured well-known
companies such as Patagonia and ESPRIT, whose founders Yvon Chouinard and Doug Tompkins, were
outdoorsmen who witnessed the environmental harm of overproduction and overconsumption.
Doug Tompkins and Yvon Chouinard were early to note that exponential growth and consumption
are not sustainable. In the late 1980s, they brought environmental concerns into their business
models, commissioning research into the impact of fibres used in their respective companies. For
Patagonia, this resulted in a life cycle assessment of four fibers: cotton, wool, nylon, and polyester.
For ESPRIT, the focus was on cotton—representing 90% of their production at the time and finding
better alternatives to it. A primary focus on materials' provenance, impact and selection, fibre and
fabric processing is still the norm in sustainable fashion 30 years on.
In 1992, the ESPRIT e-collection based on the Eco Audit guide by the Elmwood Institute, was
developed by head designer Lynda Grose and launched at retail. In 2011 the brand Patagonia ran an
ad and a PR campaign called "Don't Buy This Jacket" with a picture of Patagonia merchandise. This
message was intended to encourage people to consider the effect that consumption has on the
environment, to purchase only what they need.
Taking cue on this, the research paper explores the relationship between fashion and sustainability.
With a case study approach we are going to examine the evolving fashion industry trends into
sustainable trends in the fashion industry.The report highlights the need for social changes to push
the fashion industry towards more sustainable practices and reduce the levels of consumption.

KEYWORDS: Fashion sustainability, Recycling, Reuse, Bio Based Material, Circular supply chain,
Make-take-Dispose,

Introduction:
A first step in discussing sustainability in fashion is to recognize an inherent truth: Fashion is a
polluting and resource-intensive industry, even as its future success depends on reducing its
environmental and social imprint across the entire life cycle of garment production. That means
reducing the impact associated with cultivating and producing textile fibres, and establishing a
foundation of good practices at all levels. It also means moving beyond focusing on only a few fibre
types—typically cotton and polyester, or a blend thereof—and creating a portfolio of alternate fibres
with low-resource intensity and potentially rich cultural traditions.

The fashion industry is known for its ability to implement trends that have the power to shape
society and affect the buying habits of consumers at large. But what is, at times, forgotten is the
impact everyday consumers have on the industry. The truth is that the industry is largely dictated by
consumer demand, and right now the demand for sustainable practices appears to be high. In a
survey conducted by McKinsey during the beginning of the Covid-19 pandemic, “67 percent [of
respondents] consider the use of sustainable materials to be an important purchasing factor, and 63
percent consider a brand’s promotion of sustainability in the same way.” Thus, consumers could push
the fashion industry to reckon with its impact on our environment.

SCOPE OF THE STUDY:

This research study focuses on to know the impacts and importance of sustainable development in
the fashion industry. We have undertaken three different case studies to highlight the same. Case
studies are as follows:

1.H&M
2.GREENALITY

DESIGN OF THE STUDY:

In this research study, we have collected data from various websites, different research papers,
articles regarding the above-mentioned companies.

WHY IS SUSTAINABLE FASHION IMORTANT?

The fashion industry is incredibly harmful to the planet. Second only to oil, the industry is one of the
world’s largest polluters, responsible for 20% of global industrial water pollution.
It comes as a surprise to many that most clothes are actually made out of plastic, creating a
microplastic disaster in the making. Add to that the thousands of harmful chemicals used in the
textile mills around the world, which are dangerous to both the environment and the people working
with them, and the time has come for a global change in the industry.
That change must come in the form of sustainable fashion.

1. Reduced Waste Generation

The global production of municipal solid waste is anticipated to rise to 3.4 billion metric tons by
2050. This is due to a number of factors such as consumer shopping patterns, urbanization, and
population growth. Sustainable brands aim to reduce waste generation by manufacturing premium
apparel from long-lasting materials. These clothing companies try to copy seasonal fashion trends,
thus reducing the amount of waste generated in the long run.
2. Fair Wages and Healthy Work Environment
The majority of fast fashion companies that manufacture cheap clothes and launch multiple
collections in a year, source their clothing from developing nations. Their workers are barely paid a
living wage while they work long hours in poor safety conditions. There is a constant pressure to
manufacture that contribute to an environment that results in the exploitation of workers. Moreover,
frequent accusations of child labor have also been made against these brands. Sustainable clothing
companies, in contrast, prioritize a safe workplace and fair remuneration for workers.
3. Reduced Carbon Dioxide and Greenhouse Gas Emissions
Sustainable clothing uses biodegradable components from natural or recycled fibres. These
materials grow with no pesticide or fertilizer use, consume less energy and water, and employ no
chemical treatment, thus reducing the overall carbon footprint of these brands.

CASE STUDY 1 – H&M COMPANY

H&M is one of the largest fast-fashion companies with over 4856 stores around the world and a mass
online presence. Recently, H&M has decided to switch to a more sustainable and greener outlook.
The Swedish multinational company is a popular choice among teens and young adults because of its
trendy clothing lines and affordable prices.

The push towards the green and sustainable movement might seem like an attempt to keep up with
the current trends, but in honesty, H&M started its journey towards sustainability long back in the
2010s and is rapidly speeding towards its goal to go 100% sustainable by the year 2040.

2010: H&M launches its first fully sustainable collection.

2013: Garment Collecting is introduced in all H&M stores for reuse and recycling purposes.
2015: H&M launches The Global Change Award, to encourage designs and innovations to switch
from linear to the circular fashion industry.
2019: H&M becomes one of the first brands to provide details on the product level, about the
materials used and the supply chain.
2020: Ranked number 1 in Fashion Revolution’s Fashion Transparency Index.

The Three R’s

As a part of the circular and climate positive initiative, H&M has planned to practice the three Rs.
H&M’s garment collecting initiative collects tons of clothes, which are then sorted into three groups:
Re-wear: H&M sorts out clothes that are not damaged and can be worn again, and puts them in the
thrift section for them to be sold as second-hand clothes.
Reuse: Clothes that are slightly damaged are reused by H&M to make other products.
Recycling: The clothes which do not go in the first two piles are turned into textile fibres.
The Circular System
The three Rs are a part of something much bigger - The Circular System. H&M aims to become
climate positive by applying these three Cs of the Circular System:
Circular Products: Products that are made to last and are made from safe and sustainable material.
H&M aims to design the products in such a way that they can be repurposed with the power of the 3
Rs, multiple times.
Circular Supply Chains: H&M is continuously working on making an improved supply chain where the
products are kept in circulation and supports circular production processes and material flow.
Circular Customer Journey: H&M aims to engage the customers in the circular initiative by making
sure that they can easily participate and join in the circular fashion, where the 3 Rs are practiced
religiously.

H&M believes that the fashion industry heavily relies on natural fabrics. H&M continuously makes an
effort to use sustainable fabrics. The aim of the company is to reuse as much as possible and reduce
excess waste. Here is a list of fabrics that are commonly used by H&M:
1Cotton: By 2020, H&M achieved its goal to sustainably source the cotton used in their products.
Cotton is the most common raw material/ fabric used by H&M.
2.Recycled Polyester: Sportswear is commonly made from polyester, which is an artificial fabric. H&M
uses recycled polyester - a more sustainable option, made from oil-based waste.
3Recycled Polyamide: Another artificial fabric, popular among underwear and pantyhose. H&M
repurposes old fishing nets and carpets to make this fabric; they also utilize the excess waste from
production.
4Lyocell: A fabric more sustainable than cotton, Lyocell is a common fabric used in H&M products.
Lyocell is made from the cellulose of wood and requires little to no irrigation or pesticides.
5.Recycled Wool: This material is sourced by H&M from either waste, cut-offs during production or
the garment collecting initiative. This wool is repurposed and used in outdoor clothing like scarves,
mittens, hats and gloves.
6.Organic Linen: Linen, a fabric made from flax plants, is widely seen in the H&M’s product range.
H&M takes it one step further and ensures that the flax plants are grown organically- without
pesticides and chemical fertilizers.
7.Organic Silk: The highest quality of fabric, sourced from trees that are grown without chemicals and
pesticides. The quality of both organic and sustainable silk is the same, the only difference is one is
sustainable and the other isn’t.
8.Natural Rubber: H&M uses FSC certified natural rubber. These rubbers are grown naturally with
minimum interference of any chemical body and are renewable and recyclable.
9.Recycled Glass: H&M uses recycled glass to design or create embellishments for clothes,
accessories and home decor. The quality of the products stay intact and are still trendy.
10.Recycled Plastic: H&M uses PET plastic like water bottles, juice bottles and shampoo bottles.
These recycled products are repurposed into cute accessories and save the planet from getting a
bucket full of plastic.
11.Recycled Cashmere: It is heartbreaking if the most beloved fabric ends in the landfill, so H&M
recycles the cashmere that they find from post-consumer, post-industrial waste and cut-offs from
productions.
12.Recycled Down Feathers: H&M uses the feathers from old blankets, pillows or clothes. This way it
is able to use fewer chemicals and energy.
13.Organic Jute: This fabric comes from the lowest maintenance plant - the white jute plant. The
white jute plant’s fibre is extracted to make this fabric.
14.Recycled Silver: H&M uses silver found in old discarded jewellery, silverware, candle stands and
coins. This way they are able to reduce the negative effects of mining and save tons of energy.

H&M is making major leaps toward the sustainable slow fashion movement. The CEO - Helena
Helmersson, believes that with the power of collaboration and partnership, H&M will be able to
make some big changes. Last year, H&M used 64.5% of sustainable and recycled products. There was
a 14% decrease in the packaging and 100% of the cotton was organic and sourced in a sustainable
way. In these ways, H&M is one of the biggest brands that is making climate-conscious efforts.

Case Study 2: Selected Organization from the Fashion Sector: “Greenality”

Sustainability is complex topic to solve for Fashion sector. However, if the question is hard, then the
innovation will come into play to find creative solution to the problem. If the company sets today’s
goal as sustainability, early movers will get the most out of it.. According to that, for this paper
‘Greenality’ was found in order to analyse it as a case study. This company has seen the social issues
as well as the ecological issues. There are two ways of implementing sustainability into companies as
it is discussed throughout the course. The companies either established with the sustainability idea
or the already developed company needs to take big risks and apply regulations in order to
implement sustainability into its root.

Greenality is a German based company established on 2008 in Stuttgart. The company is started as a
sustainable store in Stuttgart and for the people who prefer to buy online, there is also an online
store which they could see all products from various companies. According to the information that is
taken from their website Greenality (2020), the common feature of them all is that the garments are
reached to the store with fair-trade and some locally. Moreover, their products are bio and organic.

Sustainable Business Model Theory

In this part, Greenality company will be analysed by Business Model Theory as we learned in the
course.

Fashion sector is dealing with sustainability issues while making profit by selling fashion products. In
order to address problems in fashion sector, ecological and social issues should be consolidated into
their businesses by value creation. Thus, sustainable business model helps companies to solve the
rough problems fashion sector is dealing.

As we learned throughout the course, Business Model Theory consists of four phases which are value
proposition, business infrastructure, customer interface and financial model. Greenality integrates
social and ecological issues into the core of their business. They collaborate with companies which
produce cloths according to Fair Trade Initiative and supply their products into store with fair-trade.
This could be achieved in the country they are opened store in, which is in this case, Germany.
However, fair-trade could be expanded into other countries as well such as Bangladesh. Greenality
cares about both social and ecological issues. According to the number that is refreshed with every
purchase, Greenality provides an hour of education to the Bangladeshi child who could not get
enough education. By doing so, Greenality aims to help people who live in developing countries.

Circular Economy
One of the concepts of sustainable development is circular economy. As Sariatli (2017) explains, the
current economy is not sustainable and rely on ‘take-make-dispose’ phenomenon in order to survive.
With the help of Circular Economy, resource productivity and eco-efficiency are increased which will
help to accomplish sustainable development as we learned in the course. With this new concept, 3R
which is ‘reduction, re-use, recycle’ instead of ‘take-make-dispose’ aims to closing the loop in fashion
sector so the resources will be long-lasting and used efficiently.

One example could be having, is a second-hand shop on the website which help people to return
their clothes which they do not want to use anymore but someone else could use. In this way, the
loop could be closed so that they also help people who might not know what they do with their
excessive number of clothes. Moreover, with every garment that is sold on the website, one garment
could be given away to the children who need clothes. With this idea both social and ecological
issues could be improved.

Another example could be collecting recyclable clothes which could not be used anymore. This could
be accomplished with 100% Organic cottons or anything that is disposable. Sharing the number of
garments which is recycled online would embrace people to give away disposable clothes which
could not be used any more. In this way, ecological issues could be decreased and the mission which
the company currently has could be expanded.

Alliance Rather Than Solo-Runs

Generally, companies compete but not corporate (Jørgensen and Pedersen, 2019). This was how it
was in linear economy and not sustainable environment. However, new concepts are being
introducing into business lives each and every day. As sustainable business models are developing,
corporation is the answer to survive for many (Peloza and Falkenberg 2009, as cited in Jørgensen and
Pedersen, 2019). Every company achieve profitability by specializing certain topic. As a company it is
really hard to be good at everything and taking part of every steps through customer would be close
to impossible. Therefore, companies should be partner up with other companies with other
specialties in order to improve the whole process from bottom to the top (Jørgensen and Pedersen,
2019).

Outcomes Of The Case

For the case study, Greenality was analysed according to Sustainable Business Model Theory, Circular
Economy and Alliance which has been learned throughout the online course. It can be summarized
as, Greenality is established with the idea of sustainability and they proposed value in order to tackle
ecological and social issues. However, there is always room for improvement. Greenality could
improve their mission with the implementation of circular economy into its root and even they are
making an alliance with the companies in Bangladesh, they could expand their alliance with other
companies as well.

CONCLUSION
Brands are pursuing a raft of initiatives to adopt recycled textiles, regeneratively
farmed cotton and mushroom-based leather, but giving fashion’s major materials a
sustainability makeover still requires billions of dollars’ worth of investments and
deeper, longer-term commitments to scale. BoF breaks down some of the key
innovations, the companies leading the charge and the barriers to change.

The Clean Tee:

It is known as the most sustainable T-shirt on the planet. It has been invented by the
company of Nomadix. Its particular properties - it has been totally made from
recycled textile waste, without adding water or dye.

Detox Fashion
Greenpeace International Detox Fashion Campaign for a toxic free production
Started in2011 with 70 fashion companies Assessment criteria Transparency
disclosure of information about suppliers and hazardous chemicals they discharge,
Per and Poly-fluorinated chemicals elimination substituted with safer alternatives

The future challenge to the fashion industry is to understand the threats and take
appropriate action to safeguard its future, protect the environment and improve the
lives of its customers, workers and suppliers around the world Conclusion.