{"id":1650,"date":"2019-06-04T17:16:23","date_gmt":"2019-06-04T20:16:23","guid":{"rendered":"https:\/\/fsantosteste.com\/circular-economy-in-the-luxury-retail-space-expectations-vs-reality\/"},"modified":"2024-03-16T09:54:28","modified_gmt":"2024-03-16T12:54:28","slug":"circular-economy-in-the-luxury-retail-space-expectations-vs-reality","status":"publish","type":"post","link":"https:\/\/www.knewin.com\/en\/blog\/circular-economy-in-the-luxury-retail-space-expectations-vs-reality\/","title":{"rendered":"Circular Economy in the Luxury Retail Space: Expectations vs Reality"},"content":{"rendered":"\n<p>The fashion industry is a $2.4\ntrillion-dollar industry that employs approximately 60 million people worldwide\nand, according to the <a href=\"https:\/\/unfashionalliance.org\/\">UN Alliance for\nSustainable Fashion<\/a>\nan organization committed to reducing the negative and social impact of fashion,\nthe industry also accounts for 8-10 percent of global carbon emissions.&nbsp; That is more than all international flights\nand maritime shipping combined.&nbsp; As\nclimate change awareness spreads, more companies are getting on board with\nbecoming part of a solution.&nbsp; This\nincludes luxury brands as they find ways to reduce the amount of resource\nconsumption and environmental impact.<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>What is a Circular Economy?<\/strong><strong><\/strong><\/p>\n\n\n\n<p>A Circular Economy is a\nregenerative economic system with the goal to minimize waste by re-using,\nrepairing and recycling and keeping resources in use for as long as possible,\nwithdrawing the maximum value from them while in use, then recovering and regenerating\nproducts and materials at the end of each utility life.&nbsp; <\/p>\n\n\n\n<p>Basically, manufacturers and brands\nneed to do two things; deal with the waste they create and use renewable\nenergy.&nbsp; Sounds easy enough but it can be\nquite challenging for some.&nbsp; Many companies\nare still using the traditional linear economy \u201ctake, make, waste\u201d of finite\nresources, which is causing a massive strain on our planet\u2019s natural resources,\ncreating environmental pollution and worsening climate change.&nbsp; <\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/knewin.com\/wp-content\/uploads\/2019\/06\/Linear-and-Circular-Economy-Diagram-1024x590.jpg\" alt=\"\" class=\"wp-image-1948\"\/><\/figure>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Industry\nand Cultural Reform<\/strong><\/p>\n\n\n\n<p>The fashion industry <a href=\"https:\/\/unfashionalliance.org\/\">loses about $500 billion of value every year<\/a> due to the lack of recycling and\nclothes that are thrown into landfill before ever being sold.&nbsp; Many initiatives revolve around companies\nholding themselves accountable for their waste in a variety of ways, such as increasing\nthe use of recyclable materials.&nbsp; <\/p>\n\n\n\n<p>Many organizations have been created\nto introduce, inform and instruct companies how they can begin the work towards\na more environmentally responsible process and ways to adopt the circular\neconomy.&nbsp; <a href=\"https:\/\/www.ellenmacarthurfoundation.org\/\">The Ellen MacArthur Foundation<\/a>\u2019s mission, for example, is to work\nwith business, government and academia to build a framework for an economy that\nis restorative and regenerative by design.&nbsp;\n<a href=\"http:\/\/www.positiveluxury.com\">Positive Luxury<\/a> is another example of an\norganization that encourages sustainability practices and partners with luxury\nbrands such as <a href=\"http:\/\/www.louisvuitton.com\">Louis Vuitton<\/a>, <a href=\"http:\/\/www.dior.com\">Christian\nDior<\/a>, <a href=\"http:\/\/www.yslbeautyus.com\">YSL\nBeaute<\/a>, <a href=\"http:\/\/www.aveda.com\">Aveda<\/a>, <a href=\"http:\/\/www.tagheuer.com\">Tag\nHeuer<\/a>, <a href=\"http:\/\/www.iwc.com\">IWC Schaffhausen<\/a> among many others, by promoting their Butterfly Mark\nwhich is awarded to brands for their measurable impact and commitment to\nsustainability and performs a periodic assessment process ensuring brands are\nproperly following sustainability guidelines.&nbsp;&nbsp;&nbsp;&nbsp; <\/p>\n\n\n\n<p>Companies like <a href=\"http:\/\/www.kering.com\">Kering<\/a> are taking measures to reduce their\nenvironmental footprint by promoting sustainable practices related to water\nconsumption, air and water pollution, waste, and land use.&nbsp; Fast fashion titans <a href=\"http:\/\/www.hm.com\">H&amp;M<\/a> and <a href=\"http:\/\/www.inditex.com\">Inditex<\/a> (the owner of Zara) are also pledging to\nadopt better sustainability practices with Inditex even affirming they \u201c<a href=\"https:\/\/wwd.com\/business-news\/retail\/fast-fashions-circular-economy-challenge-1202934416\/\">will not send anything to landfills in 2020<\/a>\u201d.&nbsp;\n<a href=\"http:\/\/www.therealreal.com\">TheRealReal<\/a>, an online luxury authenticated\nconsignment shop, is making gently used luxury fashion a real trend.&nbsp; <a href=\"http:\/\/www.chopard.com\">Chopard<\/a>, <a href=\"https:\/\/www.editorial-link.com\/sustainablefashion\/\">as mentioned in our sustainability blog post last year<\/a>, has also demonstrated industry\nleadership by using 100% ethical gold in their collections.&nbsp; <a href=\"http:\/\/www.chanel.com\">Chanel<\/a> banned exotic skins and Louis Vuitton\nintroduced waste reduction and recycling for leather, canvas, textiles, and gold\nplated metallics.&nbsp; <\/p>\n\n\n\n<p>Genuine luxury is something that\nsurvives and is able to be passed on to the next generations.&nbsp; Luxury brands are naturally more sustainable\nand have long set the standard in design, quality of materials, craftsmanship,\nand processes that stand the test of time.&nbsp;\nThe luxury industry has the power to make positive differences and play\nan exemplary role in building a circular model that benefits business,\nconsumers and the environment.&nbsp; <\/p>\n","protected":false},"excerpt":{"rendered":"<p>The fashion industry is a $2.4 trillion-dollar industry that employs approximately 60 million people worldwide and, according to the UN Alliance for Sustainable Fashion an organization committed to reducing the negative and social impact of fashion, the industry also accounts for 8-10 percent of global carbon emissions.&nbsp; That is more than all international flights and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":28240,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1650","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-nao-categorizado"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.0 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Circular Economy in the Luxury Retail Space: Expectations vs Reality<\/title>\n<meta name=\"description\" content=\"As climate change awareness spreads, more companies are getting on board with becoming part of a solution. 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