Clothing Calamity: A Crisis Case Study on Slave Labor Allegations Against Spanish Retailer Zara

ASU Author/Contributor (non-ASU co-authors, if there are any, appear on document)
Olivia Easly (Creator)
Appalachian State University (ASU )
Web Site:
Tina McCorkindale

Abstract: Spanish retailer Zara, owned by Inditex fashion retail group, was founded in 1975 on the philosophies of flexibility, efficiency, and sustainability. Now one of the largest fashion retailers in the world and the best-known fashion brand in Spain, Zara has transformed the industry and has been praised for its business model. In August of 2011, tragedy struck for Zara when over 30 of its outsourced factories in São Paulo, Brazil were discovered using slave labor practices. The company denied any involvement and blamed its supplier. A year and a half later, on the outskirts of Buenos Aires, Argentina, three outsourced factories were found to be forcing its employees, adults and children, to work in slave-like conditions. Zara again denied knowledge of the existing factories. A lawsuit was filed and is still pending. These crises had a severe impact on Zara's reputation. This crisis case study analyzed these two specific events. The content explored what happened, the warning signs, and how Zara and its stakeholders responded.

Additional Information

Honors Project
Easly, O. (2015) Clothing Calamity: A Crisis Case Study on Slave Labor Allegations against Spanish Retailer Zara. Unpublished honors thesis. Appalachian State University, Boone, NC.
Language: English
Date: 2015
Zara, Inditex, slave labor

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