American Apparel is going out of business after years of financial struggles. The company, which was founded in 1997, has been struggling for years to turn a profit. In 2015, American Apparel filed for bankruptcy and was acquired by Canadian company Gildan Activewear. Since then, American Apparel has been trying to turnaround its business, but has been unable to do so.
The company has been struggling with declining sales, high costs, and changing consumer tastes. American Apparel has also been embroiled in several controversies, including allegations of sexual harassment and assault by its founder, Dov Charney.
American Apparel has been trying to turnaround its business by closing stores, cutting costs, and launching a new marketing campaign. However, these efforts have not been successful and the company has been unable to return to profitability.
In November 2018, American Apparel announced that it would be closing all of its stores and going out of business. This is a major blow to the company’s employees, many of whom are young people who rely on their jobs at American Apparel.
The company’s demise is a cautionary tale about the challenges of doing business in the current retail environment. American Apparel was unable to adapt to changing consumer tastes and the increasing popularity of fast fashion retailers.
This is a major setback for the company’s employees, who will now be out of a job. It is also a blow to the U.S. retail industry, which has been struggling in recent years.