Many people have heard of the power of price leadership. This is when a company, normally the more dominant company, drives down the price forcing the competition to follow. . In order to combat the price leadership of North Face and Eddie Baur, Patagonia a smaller firm chose to adopt a different type of leadership. They choose to create a different market for their product. In turn, creating a new customer base.
In the world, there are 2.1 billion tons of waste a year. In addition, 80% of fashion products end up in landfills. Recently the markets have adjusted to the idea of fast fashion, fast fashion is the quick turn over of clothing. By 2030 this way in fashion will be under serious threat.
Patagonia was soured and realized there was a new market of people who cared more about the environment than brand names. They spend 1 percent of all sales revenue on environmental projects.. Their ideology is that they produce high-quality long-lasting products. Furthermore they also offer repairs in an effort to reduce waste.
In response, North Face followed Patagonias lead and adapted their brand. They championed their campaign of reducing greenhouse gas. This does not mean it’s environment friendly. They made an economic promise that they did not truly stand by, They used the small measure to gain publicity and add to their marketing campaign. How do we change the perception, and make companies responsible for the environment and the world?
Elodie's blog 