Inditex partners with MIT to promote sustainability research
Select language to see a machine translation of this article. The original language of the Article is English and the translation is provided for your convenience.

Inditex partners with MIT to promote sustainability research

Spanish fast-fashion king Inditex has spent the last few years working towards two major goals. The first is sustainability, the second is ecommerce. These strategic shifts were necessary for the company, which expanded massively as an early-adopter (and unquestioned market-leader) in the fast fashion trend. Sustainability is important to Inditex not just because it’s important in the general sense, but because fast fashion business models can easily become wasteful. Adopting a more sustainable approach has helped the company to operate more efficiently and align itself with prevailing customer sentiment amongst its relatively young audience.

Inditex’s share price has appreciated by 17% so far year to date

04 04 inditex

Source: Yahoo Finance

Inditex has announced that it’s got a new partner on its journey to sustainability: the Massachusetts Institute of Technology (MIT). MIT is a world-leading university, and will be contributing the impressive levels of brain power it commands towards a joint research program on sustainability that will run for years.

Inditex has offered the Institute $4 million to fund this research, with $1 million being allocated to the Inditex Materials Science and Engineering Fund in MIT’s department of Materials Science and Engineering to “promote research into circular economy, logistics, and supply chain management.” A further $1 million dollars will be given to the MIT Sloan School of Management (The Inditex Operations Research and Management Fellowship Fund), $1.2 million will go to the Institute of Data, Systems and Society, and $450,000 will for the MIT-Spain Inditex Sustainability Seed Fund. The remainder will renew Inditex’s scholarship program for MIT students.

Inditex partners with a number of other universities in its native Spain – but there’s no doubt that its agreement with MIT could serve to be instrumental in the reinvention of the fast fashion business model.

Disclosure

Dominion holds Inditex in its Global Trends Luxury Fund.


If you would you like to receive the Newsfeeds daily, please click here to sign up now!

Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
0.0/5 rating (0 votes)

Disclaimer
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.