American Apparel What Is The Future Of The US Youth Boom?

What is the future of this scandalous American Apparel youth boom in the United States? Many people are familiar with the short skirts and tights, but nearly 5 years ago, brand disputes and scandals continued.

Recently, American Apparel Inc. said that brand funds were not enough to support the next year. In the future, it is planned to save 300 million dollars by shutting down poor performing stores, reducing store size and layoffs.

At the same time, a new autumn series will be released for revenue.

Markets hate uncertainty, and investors are less willing to get involved in legal issues.

At present, Dov Charney, the founder of the brand, is carrying out complicated litigation with its former owner, the related organization and personnel of its own brand American Apparel.

The brand also claims that the company is working to raise additional capital.

But Lloyd Greif Greif, from Greif & Co of Losangeles financial investment company, said that September is the school season, which is the off-season clothing industry, and who will buy its new autumn series.

What American Apparel needs most is external investment, but it is so cloudy and uncertain.

There are too many risks in the brand, and no one is willing to invest.

In 2011, Charney was accused of sexual assault by former company employee Irene Morales, demanding damages of $250 million.

After Charney, he repeatedly became a defendant for various reasons.

So last June, the board of directors of American Apparel decided to recall the position of Dov Charney.

The board said, "we are worried that a leader who does not play the game by reason will hinder the success of the business."

In the letter of dismissal, the board of directors of the company also raised private funds in addition to the scandal of sexual harassment of Dov Charney.

However,

We did not give up the desire to win the company.

In the face of the merciless kicking out company, in June of this year, Dov Charney Charney went to court on the basis of the board's libel and violation of unfair competition law, including American Apparel and major shareholders of American Apparel, and the current board members.

At present, the result of litigation has not yet been announced.

However,

Undoubtedly, it has been a great blow.

After the news of the recent layoffs, the reform has led to a fall in share prices and no improvement has been seen.

American Apparel board's Hollywood public relations Allan Mayer once said, "the reputation of American Apparel in the past stems from the contradiction between the part of the brand's deviant and the idealist part, so that it has gained a unique position in culture."

Today, too many scandals and disputes have made the American Apparel deviant part too heavy, even the brand itself can not be absorbed, consumers are even more unsatisfied.