Corporate Sustainability in the Fashion Industry

Abstract

3.6 billion metric tons of carbon dioxide emissions. 342 million barrels of petroleum to produce plastic-based fibers (Wired, 2022). And 92 million tons of textile waste (Igini, 2022). This all stems from the fashion industry on a yearly basis. Climate change is the most pressing issue in our society today and as it progresses, comes a heavier emphasis on sustainability and environmental consciousness. Effective ESG (Environmental, Social, and Corporate Governance) has been shown to affect overall profit by 60% (Henisz, 2019). With this, companies are taking advantage of and capitalizing on the new sustainability “trend”, marketing themselves as corporately responsible and committed to environmental causes. 
 As we are dependent on the fashion industry for clothing and contributing to the immense impact of global warming, consumers need to be educated on the true nature of the fashion industry and the extent of its impacts. As such, this research paper will provide comprehensive information for consumers to navigate through the fashion industry and ultimately be more mindful in their purchasing decisions. This project explores the role of the government, corporations, and consumers in modern sustainability practices and dives into the fashion industry, building upon the abstract concepts discussed. This includes evaluating the business models of the fashion industry in response to market trends and discussing how it impacts overall environmental sustainability. The research paper concludes by thoroughly proposing best practices firms can adopt to improve upon their corporate responsibility, simultaneously bettering the environment and business performance.