H&M Opportunities and Threats
Opportunities
H&M contributes to numerous causes that make them a socially conscious company. The clothing producing business has become very environmentally conscious and most importantly, price conscious. H&M has committed to having a corporate responsibility to social and economic issues, which was the cause of them creating a meticulous sustainability policy. Sustainability describes practices and policies that reduce environmental pollution and do not exploit people or natural resources in meeting the lifestyles needs of the present without compromising the future (Kadolph). H&M holds their suppliers to the same standards that they have established as a corporation. H&M conducts audits that not only check for working conditions and child labor, but also focuses on water treatment, chemical handling, and waste management. H&M has created a list of chemicals that would not be tolerated in the factories and before the factory can begin manufacturing H&M products, they must sign the Chemical Restrictions Compliance Commitment to confirm their compliance with the restricted chemicals list. H&M began using organic cotton in 2004, incorporating it in 5% of baby and children garments and now have lines made up of 100% organic cotton. (H&M Website) The farmers that supply organic cotton to H&M also has a restricted chemical list that they must adhere to, just like the factories. This is an aspect of H&M that they have a substantial advantage over other companies with their commitment and expansion to organic cotton line. They have increased the use of organic cotton by 50% each year since 2004 and goaled to reach 15,000 tonnes, or 16,530 tons, used for their clothing by 2013. H&M participates in numerous organizations that request clothiers abide to more environmentally safe practices, like the Fur Free Alliance. H&M is also one of 73 companies that have signed the United Nations Water Mandate, which stresses the correct
H&M contributes to numerous causes that make them a socially conscious company. The clothing producing business has become very environmentally conscious and most importantly, price conscious. H&M has committed to having a corporate responsibility to social and economic issues, which was the cause of them creating a meticulous sustainability policy. Sustainability describes practices and policies that reduce environmental pollution and do not exploit people or natural resources in meeting the lifestyles needs of the present without compromising the future (Kadolph). H&M holds their suppliers to the same standards that they have established as a corporation. H&M conducts audits that not only check for working conditions and child labor, but also focuses on water treatment, chemical handling, and waste management. H&M has created a list of chemicals that would not be tolerated in the factories and before the factory can begin manufacturing H&M products, they must sign the Chemical Restrictions Compliance Commitment to confirm their compliance with the restricted chemicals list. H&M began using organic cotton in 2004, incorporating it in 5% of baby and children garments and now have lines made up of 100% organic cotton. (H&M Website) The farmers that supply organic cotton to H&M also has a restricted chemical list that they must adhere to, just like the factories. This is an aspect of H&M that they have a substantial advantage over other companies with their commitment and expansion to organic cotton line. They have increased the use of organic cotton by 50% each year since 2004 and goaled to reach 15,000 tonnes, or 16,530 tons, used for their clothing by 2013. H&M participates in numerous organizations that request clothiers abide to more environmentally safe practices, like the Fur Free Alliance. H&M is also one of 73 companies that have signed the United Nations Water Mandate, which stresses the correct
Cited: Ward, Andrew. 27 January 2011. Cotton Price and Strong Krona Take Toll at H&M. Financial Time. Retrieved from www.ft.com/cms/s Wei, Michael. 15 November 2010. Clothing Costs Rise on ‘Terrifying’ Cotton Prices. Bloomberg News. Retrieved from www.bloomberg.com/news/2010-11-16 Kadolph, Sara. 2010. Textiles (11th Edition). Saddle River, NJ; Prentice Hall. Can’t figure out how to cite website without an author