Legal Issues: Lifestyle Brands

As an aspiring entrepreneur looking to developing my own brand first impressions are vital.  You want to make sure your company comes out of the gate with a great reputation and the consumers on your side.  That being said this week I researched 3 legal issues other lifestyle companies ran into and how it tarnished their reputation.

1^st off is the ever controversial subject of “ethics” and business.  Nike provides a great example of what not to do to keep the consumers on your side.  A few years back it came out that Nike was using underpaid labor in China to make their shoes.  And not just any underpaid labor, child labor.  The resulting public outcry and Nike’s initial flippant response left Nike’s reputation tarnished and falling stocks.  For me this is a stern warning to keep your business honest because at some point your dirty secrets will come out.

A 2nd example that I discovered was the Supreme vs. Married to the Mob.  Supreme is a lifestyle brand located in NYC with its reach covering into Europe.  A popular choice among rappers, artists and the like, Supreme has set itself apart as a strong brand and stronger business.  That being said a couple years ago Supreme took competitor Married to the Mob to court for their "Supreme B!tch" line of tshirts.  The resulting 10 million dollar lawsuit left Supreme tarnished and looking like a spoiled bunch of children.  Although it makes sense for a brand to protect itself it does not make sense for a lifestyle company to chase every possible trademark infringement around as it only ends up damaging themselves.

Finally a 3rd example of legal issues a lifestyle brand can face is Adidas and their "shackle sneaker" line.  Adidas released a line of sneakers with shackles that hook to your ankles when you wear them.  While I give Adidas credit for being creative the backlash from the general public was terrible.  After being called racists, biggots and other terrible things the company pulled the line.  The incident provides a solemn warning to companies about being conscious to not step on any toes.  While sometimes it makes sense to be edgy a company must always remember to be respectful less they receive a public lashing.