why is shein so cheap
Blogs

Why is SHEIN So Cheap? #1 Fast Fashion in the Retail Industry Scandal

June 8, 2023

In the ever-evolving world of fashion, SHEIN Fast Fashion has emerged as a major player in the industry. As we delve into this phenomenon, it’s crucial to understand how fast fashion has evolved over time and paved the way for ultra-fast online retailers like SHEIN. This has led to consumers wondering where is SHEIN located and why is SHEIN so cheap? SHEIN is located in Nanjin, China and is expanding its global shipping to reach nearly every possible customer.

From exploring the historical context of fast fashion and its key players such as Zara, to examining how e-commerce platforms have disrupted traditional retail channels, this blog post will provide an in-depth analysis of SHEIN’s rise to prominence. We’ll also discuss their innovative real-time strategy that leverages advanced algorithms for predicting trends ahead-of-time, giving them a competitive edge through lower prices.

However, with rapid growth comes potential drawbacks – particularly concerning environmental impacts and sustainability issues surrounding overproduction and consumer habits. Finally, we’ll consider the longevity and future prospects of SHEIN fast fashion by comparing it with long-lasting brands like Blundstone while discussing possible consequences associated with pursuing real-time fashion strategies.


Fast Fashion Phenomenon

why is shein so cheap

Zara and other brands were pioneers of the fast fashion phenomenon, leveraging advances in textile production to create mass-produced garments at lower costs. In order to compete in this market, SHEIN had to ensure cost effectiveness, and that also answers the question, “why is SHEIN so cheap?”

However, traditional retail practices slowed down the process, leading to a need for a more efficient supply chain.

  • Innovation in textile manufacturing during the Industrial Revolution led to mass-produced garments at lower costs.
  • Fashion trends began changing more rapidly, driving consumer demand for new styles at affordable prices.
  • Retailers acted as go-betweens between manufacturers and purchasers, leading to a more drawn out and expensive process.

Zara revolutionized the industry by implementing a vertically integrated business model that allowed them to control every aspect of their supply chain, from design to distribution, enabling them to react quickly to market trends and offer customers new styles within weeks.


This approach inspired other companies like H&M and Forever21 to adopt similar strategies focused on speed-to-market while keeping prices low.

The demand for fast fashion persists despite its potential environmental and labor-related issues, making it a major player in the industry. Fast fashion continues to grow, and it remains a dominant force in the fashion industry.

Other than the question, why is SHEIN so cheap, one should also wonder, is SHEIN clothing and fast fashion capable of being a sustainable and long lasting trend?

Why is SHEIN So Cheap? Ultra-Fast Fashion Takes Over Online

why is shein so cheap
Image Source: Shein

The internet has transformed the fashion industry, allowing companies to sell directly to consumers and cut out the middleman, resulting in record speeds and cost savings.

  • Eliminating middlemen from the supply chain
  • Reducing overhead expenses and increasing production rates

Online retailers like SHEIN, Boohoo, and ASOS have taken advantage of this approach, outpacing traditional fast fashion brands like Zara and H&M. They offer trendy clothing options within days – sometimes hours – of runway or social media appearances.

Direct-to-consumer sales also allow these brands to manage inventory levels more effectively, quickly adapting to real-time consumer demand without risking excess stock. Without multiple brick-and-mortar stores to maintain, it becomes clear as to why is SHEIN is so inexpensive.

SHEIN’s Rise to Fashion Fame

Chris Hsu, an IT and SEO expert, founded SHEIN in 2012, and with his tech-savvy skills, turned it into a global fashion giant projected to earn $10 billion by 2023.

  • Tech and marketing know-how: Hsu’s expertise in technology and digital marketing helped SHEIN skyrocket to success.
  • From Daily Apparel to SHEIN: Starting as Daily Apparel, SHEIN quickly became a leader in fast fashion, offering trendy designs at affordable prices.

SHEIN’s offline collaborations with celebs like Katy Perry have also helped the brand dominate the fast-fashion industry.

Real-Time Fashion Strategy

why is shein so cheap
Image Source: Shein

SHEIN’s innovative approach to fashion sets them apart from their ultra-fast counterparts by using advanced algorithms to predict trends and offer lower prices.

  • Anticipating trends with advanced algorithms: SHEIN leverages big data and machine learning to analyze customer preferences, social media activity, and market trends to create designs that cater to consumer demands almost instantly.
  • Competitive advantage through lower prices: By cutting out middlemen and streamlining production processes, SHEIN offers trendy items at a fraction of the cost compared to traditional retailers, attracting price-conscious shoppers.

Constant innovation has led SHEIN on an upward trajectory within the fast fashion world, but addressing potential environmental impacts and sustainability concerns is crucial for their continued growth.

Environmental Impacts & Sustainability Concerns

why is shein so cheap

Despite impressive growth rates, concerns arise about sustainability given that SHEIN produces low-quality items with short lifespans which contribute significantly towards waste generation worldwide.

The fashion industry has been met with criticism for its adverse effects on the environment, such as generating items of inferior quality in large amounts, polluting from production techniques, and inefficiently using resources.

  • Overproduction of low-quality items: SHEIN prioritizes speed and affordability over durability, resulting in clothing that quickly becomes worn out or goes out of style.
  • Pollution from production processes: The manufacturing process for cheap textiles can release harmful chemicals into the air and waterways.
  • Inefficient use of resources: Producing large quantities of disposable clothing consumes vast amounts of energy and raw materials.

Beyond these environmental issues, there are also concerns about promoting addictive shopping habits among consumers.

By offering trendy clothes at rock-bottom prices, companies like SHEIN may encourage customers to buy more than they need – further exacerbating sustainability problems.

Research shows that the average American throws away around 81 pounds of clothing per year, much of it due to fast fashion’s influence on consumer behavior.

Longevity and Future Prospects

why is shein so cheap
Image Source: Shein

While SHEIN has achieved remarkable success in a short period, questions remain about their ability to stand the test of time, especially when compared to brands like Blundstone that have thrived for over a century with their timeless and durable products.

Comparison with Long-Lasting Brands Like Blundstone

  • Durability: Unlike SHEIN’s low-quality items, Blundstone is known for their long-lasting boots that withstand years of wear and tear.
  • Sustainability: By focusing on quality rather than quantity, Blundstone promotes more environmentally friendly practices compared to fast-fashion companies like SHEIN.
  • Loyal Customer Base: The longevity of brands such as Blundstone can be attributed to their strong customer loyalty based on consistent product quality and style.

Potential Consequences of Pursuing Real-Time Fashion

The pursuit of real-time fashion may lead to negative consequences in the long run, such as an increased amount of waste generated due to disposable clothing items being discarded after only a few uses, and promoting addictive shopping habits among consumers who constantly seek new trends at affordable prices without considering the environmental impact or durability aspect.

FAQs

SHEIN: Affordable Fashion or Environmental Disaster?

SHEIN claims to offer trendy clothing at low prices, but their fast fashion practices have come under fire for their negative impact on the environment.

Accusations Against SHEIN: Unethical Practices and Copycat Designs

SHEIN has been accused of promoting unsustainable shopping habits, violating labor rights, and copying designs from other brands without permission.

Is SHEIN Shutting Down? No Official Announcement Yet

Despite facing controversies, SHEIN continues to operate globally, and there is no official news of the brand shutting down.

SHEIN Lawsuits: Copyright Infringement and Unpaid Customs Duties

SHEIN has faced legal action over allegations of copyright infringement and unpaid customs duties in some countries according to Business Insider.

SHEIN Conclusion

why is shein so cheap
Image Source: Shein

SHEIN Fast Fashion has disrupted the retail industry with its lightning-fast online fashion offerings and lower prices, thanks to advanced algorithms predicting trends ahead-of-time.

However, concerns have been raised about the environmental impact and sustainability of SHEIN’s overproduction of low-quality items and promotion of unsustainable shopping habits. Despite its impressive growth, SHEIN’s pursuit of real-time fashion may have long-term consequences for the brand.

Fast Fashion appears to be another mark in the ongoing retail trends of 2023 and beyond. The real question is, will consumers continue to be driven by cheap clothes, or will they step up and control their purchasing and trashing of clothes, to help better sustain the environment?