Unveiling Corporate Social Responsibility in Global Fashion: Insights from Supply Chain Management
DOI:
https://doi.org/10.34190/ecmlg.21.1.4169Keywords:
Corporate social responsibility, responsible behaviour, fast fashion, sweatshop, supply chain management, stakeholdersAbstract
The global fashion industry is one of the largest contributors to environmental degradation and ethical concerns, yet consumer awareness regarding fast fashion and sweatshop labor remains relatively low. This limited awareness is reflected in the scarcity of research focused on Corporate social responsibility (CSR) implementation within fashion supply chains. Addressing this gap, the present study examines the attributes, tools, and challenges of CSR implementation in the supply chains of the world’s ten most valuable fashion brands in 2022. This research identifies key drivers influencing fashion companies to adopt CSR practices across their supply chains, distinguishing between external pressures—such as regulatory requirements, media scrutiny, and consumer expectations—and internal motivations, including brand differentiation, competitive advantage, and risk mitigation. The study further explores the divergent CSR approaches taken by luxury brands, which emphasize exclusivity and craftsmanship, versus fast fashion firms, which prioritize cost efficiency and public image enhancement. Our findings indicate that while CSR initiatives yield significant benefits, including enhanced brand reputation, increased customer loyalty, and supply chain resilience, companies face substantial barriers in their implementation. These include fragmented regulatory landscapes, inconsistencies in supplier compliance, and risks of greenwashing, where firms engage in misleading sustainability claims without substantive environmental or social impact. Additionally, the complexity of global supply chains poses challenges in enforcing uniform CSR standards across diverse regions with varying economic and legal conditions. The insights presented in this study provide valuable guidance for fashion industry leaders, top management, and policymakers striving to enhance CSR strategies. By fostering a more transparent and accountable approach to sustainability, fashion brands can align corporate objectives with broader environmental and social responsibilities. The study underscores the necessity of genuine, long-term CSR commitments rather than superficial measures aimed at reputation management. Our conclusions offer practical recommendations for strengthening CSR governance and improving sustainable supply chain practices in the fashion sector.