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Is Luxury Finally Set for a Sustainability Reckoning?

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09.10.2024

Amid growing disillusionment with luxury brands, a series of Italian investigations linking major players like Dior and Armani to sweatshop labour is putting new pressure on the sector’s most powerful asset: brand image.
By Sarah Kent, The Business of Fashion (BoF)


Key insights
▪ An Italian investigation has linked luxury brands Dior and Armani to sweatshop labour, threatening their most precious asset: brand image.
▪ More fashion companies are expected to get swept up in the probe in the coming months and Italy’s Competition Authority has launched its own investigation into whether the brands misled consumers with commitments to ethics and craftsmanship.
▪ The scrutiny comes at a challenging time for the sector as the market cools and punchy price hikes amid reports of declining quality put pressure on the perceived value of luxury goods.
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