The New Standard That Others Will Follow
There is clearly much more overhead, capital investment and training involved in manufacturing in the USA, as some critics point out. But at American Apparel we passionately leverage art, design and technology to advance our business process and we are conﬁdent we'll prove that vertical integration is a viable business model that can work even better than the status quo model of continuous outsourcing. It’s not just about made in the USA. More importantly, it is about designing a business that does not, at its fundamental core, rely on the relentless pursuit of low cost labor to survive. As wages and transportation costs increase worldwide, we believe our business model of vertical integration to be the path of least resistance. For the record, American Apparel supports free and fair trade, and almost half of the company's 250 stores are outside the USA, allowing the company to export hundreds of millions of dollars of US-made apparel annually.