Diversity Management Challenges within Abercrombie & Fitch

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Recommended: Implications on diversity in the workplace

Globalization of companies greatly aids in making companies more competitive as well as increasing their profit share. Globalization will usually bring employees or team members together from different financial backgrounds, religions, cultures and in some cases different sexual orientation. Companies must have the knowledge of diversity and if required, diversity programs in place to ensure equal treatment of all persons. When companies apply equal treatment of persons with diverse background, companies can become more profitable. If all persons within the company do not adhere to either the diversity requirements or the laws against discrimination, companies become vulnerable to discrimination lawsuits and poor public image.

One company currently experiencing challenges with diversity is Abercrombie & Fitch. Abercrombie & Fitch, a clothing retailer, markets their brand to the teen and young adult market. Publicly traded under the ticker symbol of ANF, Abercrombie & Fitch made $4.5 billion in gross profits during 2012. Abercrombie & Fitch recorded a gross profit of $4.15 billion in 2011. The décor of the stores, the aroma that fills the air inside of the stores and the sales staff appear strategically placed to entice both teen and young adult buyers to come inside and buy their items. Their most popular items include their branded denims and t-shirts with their “A&F” logo. Monitoring the halls of any middle school, high school or some college campuses will demonstrate the appeal of Abercrombie & Fitch’s brand to their target market.

Abercrombie & Fitch’s original market base did not include the teen or young adult buyers. The company’s origins began with selling camping and safari equipment to ...

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