Lululemon Athletica: An Ethical Fashion Brand?

Case Details Case Introduction 1 Case Introduction 2 Case Excerpts

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Lululemon’s initial vision was to “be a community hub to provide guests with knowledge, tools, and the components for people to live longer, healthier, and more fun lives.” Later on, Wilson realized that he needed a vision that was scalable and came up with “elevate the world from mediocrity to greatness.” According to Wilson, “Mediocrity can be defined in many ways. To paint you a picture, mediocrity is doing an ‘okay job,’ having a relationship that ‘works,’ being just ‘a little’ overweight, or having a job that ‘pays the bills’. Mediocrity is putting up with things the way they are with no firm plan to change the situation by a specific date. Mediocrity is following a predetermined and unfulfilling path...

Business Ethics Case Studies | Case Study in Management, Operations, Strategies, Business Ethics, Case Studies
Business Ethics Case Studies | Case Study in Management, Operations, Strategies, Business Ethics, Case Studies
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In collaboration with renowned fabric manufacturers, Lululemon developed unique fabrics named ‘Luon’ and ‘Silverescent’. Luon consisted of 86% nylon and 14% lycra. This preshruck fabric was stretchy and absorbed sweat. At the same time, it was soft, comfortable, and breathable. Subsequently apparel in different types of luon like brushed luon, reversible luon, heathered luon, and light luon were introduced by Lululemon. The Silverescent line had fiber enmeshed with silver that prevented odor causing bacteria in the clothes.


Lululemon had always projected itself as a sustainable organization with strong Corporate Social Responsibility (CSR). The company believed that to achieve its vision, ‘elevate the world from mediocrity to greatness’, it was necessary to ensure the social, environmental, and economic wellbeing of the organization as well as the communities where it was present. (Refer to Exhibit III for the sustainability vision of Lululemon)...


In 2005, Lululemon found itself embroiled in a controversy because of an ad it posted in the magazine, Yoga Journal. The ad showed a fake newspaper article with adults dressed in diapers, with bonnets and pacifiers, at sewing machines...


Exhibit I:Logo - Lululemon

Exhibit II:Logo - Lululemon Income Statement

Exhibit III:Logo - Lululemon Sustainability Vision

Exhibit IV:Logo - Vendor Code of Ethics (VCoE)

Exhibit V:Logo - Lululemon – Stock Price Chart