Nabil Luqman

0f9d2dd4f71434084e2b6094de1865e23abb37bb9f28ca51feeabee679ec9be2

Social

fashion

Dior

exploitation

handbags

cheap labour

luxury brands

bad practices

overpriced

Have you ever glanced at yourself or your partner and wondered, "Why do we need such expensive handbags or even luxury goods?"
It's common for people to link luxury with specific brands, but sometimes we need to remind ourselves that life's enjoyment isn't defined by luxury labels. In today's society, heavily influenced by social media, there's a widespread 'cult chasing' mentality where people of all financial backgrounds strive to possess luxury goods just to fit in.
These brands often include names like Dior and Louis Vuitton, seen as the ultimate symbols of luxury for many.
No doubt, seeing a brand's logo or its distinctive pattern instantly suggests someone has a refined taste in high fashion and knows the allure of luxury. Or, at least, that's the impression they aim to convey.
Italian Court Exposes Luxury Giants Over Labour Exploitations
Lately, the fashion industry has been buzzing with revelations from an Italian court exposing two Italian luxury powerhouses for paying minimal production costs on handbags that fetch thousands of dollars at retail.
<img style="display: block; margin-left: auto; margin-right: auto;" src="https://r2.myc.my/02c250838f518c164b725a120d4dc9f557e9d33ec4244610ccf61d7a51835a7d" />
Italian prosecutors in Milan launched an investigation against Louis Vuitton Mo&euml;t Hennessy (LVMH) subsidiary Dior's use of third-party suppliers in recent months, uncovering exploitation of workers who produced handbags for a fraction of their retail price. According to a Reuters report based on documents from the June investigation, Dior paid a supplier $57 to manufacture the handbag model code PO312YKY, which retailed for $2,780, excluding raw materials like leather. The prosecution document noted that Dior's unit failed to implement "appropriate measures to verify the actual working conditions or technical capabilities of the contracted companies."
The Dior investigation centred on four small suppliers in the Milan area, employing a total of 32 staff, including two immigrants lacking legal status and seven working without proper documentation. Italian authorities conducted inspections at Pelletteria Elisabetta Yang SRL, New Leather Italy SRLS, AZ Operations SRLS, and Davide Albertario Milano SRL between March and April.
Pelletteria Elisabetta Yang and Davide Albertario Milano were identified as direct suppliers to Manufactures Dior SRL. Pelletteria Elisabetta Yang invoiced Manufactures Dior 752,881 euros for the fiscal year 2023/24, while Davide Albertario invoiced 737,623 euros for 2024. The investigation revealed that workers lived and worked in substandard hygiene and health conditions that did not meet ethical standards.
According to the 34-page ruling, workers were required to reside at the workplace to ensure round-the-clock availability. Data on electricity consumption indicated continuous production cycles, even during holidays. Furthermore, safety features on machinery were reportedly removed to increase operational speed.
<img src="https://r2.myc.my/1e477f30f2f57f60ca1b031b8f006ed016494cfc6197d0de6d6c29b29ab17bb9" /> Imagine raking in all the profit only for you to have your manufacturers live and work in these types of conditions. 
How Was The Response From LVMH, Dior As Well As Armani?
<img src="https://r2.myc.my/457a09afc0e48f498f356d38e94ffcca4f98abfc585d8d694f33d3a5a75d6a68" />
After the incident, LVHM did not immediately respond to requests for further comment. However, court documents revealed that Dior had submitted a memo highlighting its supply-chain improvements. Given LVHM's extensive brand connections, the investigation extended to contractors of Giorgio Armani, where the luxury company was similarly accused of inadequate supplier oversight.
Armani reportedly paid contractors $99 per bag for production, which was later sold for over $1,900 in stores. An Armani Group spokesperson later stated:
"The company has always implemented control and prevention measures to mitigate the risk of abuses in our supply chain."
As a result of these findings, judges in Milan have ordered both companies' units to be placed under judicial administration for a year, permitting them to continue operations during this period.
Has Became A Regular Manufacturing Practice
<img src="https://r2.myc.my/13d55e642c092451d562e448403f0ad5d651d5e7af00299616ddbfd715a135a4" /> Left: A factory in Italy versus; Right: A factory in China.
As Italy hosts thousands of small manufacturers responsible for over 50-55% of global luxury goods production, the luxury industry's supply chain has faced heightened scrutiny from consumers and investors seeking to mitigate reputation risks. In response, fashion labels have reduced reliance on subcontractors and brought production in-house, impacting Italy's leather goods industry concentrated in Tuscany, which includes many firms established by Chinese immigrants.
The prosecution underscored that these practices have unfortunately become industry norms, with many luxury giants disregarding labour regulations in pursuit of higher profits.
"It's not an isolated issue limited to specific production batches, but a widespread and entrenched manufacturing approach," stated the court document.
They emphasized mistreatment of workers, violations of labour laws concerning health, and safety, and prolonged working hours for minimal compensation. Another major concern highlighted was unfair competition disadvantaging law-abiding firms, and allowing non-compliant brands to gain market dominance.
Are Luxury Brands Worth It And What Alternative Do We Have For An Authentic Product?
Luxury brands often feature extensive product lines where the perceived value is heavily influenced by the brand name rather than transparent information about the materials used.
For instance, Volkan Yilmaz, popularly known as Tanner Leatherstein (@tanner.leatherstein) on TikTok, gains recognition for his detailed examinations of luxury leather goods. His approach involves dissecting expensive leather products in his videos to assess their quality, craftsmanship, and overall worth. His content offers valuable insights into the true composition and production standards behind luxury items, challenging the conventional understanding based solely on brand prestige.
<blockquote class="tiktok-embed" style="max-width: 605px; min-width: 325px;" cite="https://www.tiktok.com/@tanner.leatherstein/video/7133743434057223470" data-video-id="7133743434057223470">
<section><a title="@tanner.leatherstein" href="https://www.tiktok.com/@tanner.leatherstein?refer=embed" target="_blank" rel="noopener">@tanner.leatherstein</a> Destroying my LOUIS VUITTON bag Pt. 2 Watch to see the cost breakdown and how we&rsquo;ll remake this bag with artisan leather. <a title="leather" href="https://www.tiktok.com/tag/leather?refer=embed" target="_blank" rel="noopener">#leather</a> <a title="leathertok" href="https://www.tiktok.com/tag/leathertok?refer=embed" target="_blank" rel="noopener">#leathertok</a> <a title="leathertiktok" href="https://www.tiktok.com/tag/leathertiktok?refer=embed" target="_blank" rel="noopener">#leathertiktok</a> <a title="leathercraft" href="https://www.tiktok.com/tag/leathercraft?refer=embed" target="_blank" rel="noopener">#leathercraft</a> <a title="leatherbag" href="https://www.tiktok.com/tag/leatherbag?refer=embed" target="_blank" rel="noopener">#leatherbag</a> <a title="fashion" href="https://www.tiktok.com/tag/fashion?refer=embed" target="_blank" rel="noopener">#fashion</a> <a title="fashionhacks" href="https://www.tiktok.com/tag/fashionhacks?refer=embed" target="_blank" rel="noopener">#fashionhacks</a> <a title="fashiontok" href="https://www.tiktok.com/tag/fashiontok?refer=embed" target="_blank" rel="noopener">#fashiontok</a> <a title="fashiontiktok" href="https://www.tiktok.com/tag/fashiontiktok?refer=embed" target="_blank" rel="noopener">#fashiontiktok</a> <a title="designerbags" href="https://www.tiktok.com/tag/designerbags?refer=embed" target="_blank" rel="noopener">#designerbags</a> <a title="designerfashion" href="https://www.tiktok.com/tag/designerfashion?refer=embed" target="_blank" rel="noopener">#designerfashion</a> <a title="louisvuitton" href="https://www.tiktok.com/tag/louisvuitton?refer=embed" target="_blank" rel="noopener">#louisvuitton</a> <a title="luxurybag" href="https://www.tiktok.com/tag/luxurybag?refer=embed" target="_blank" rel="noopener">#luxurybag</a> <a title="♬ original sound - Tanner Leatherstein" href="https://www.tiktok.com/music/original-sound-7133743431830178606?refer=embed" target="_blank" rel="noopener">♬ original sound - Tanner Leatherstein</a></section>
</blockquote>

<script async="" src="https://www.tiktok.com/embed.js"></script>

In one of his videos, he dismantled his own Louis Vuitton bag to reveal the true cost breakdown of producing a luxury item. It was disheartening to find that the leather used was described as "mediocre," derived from common cow hides readily available in the market. The coated canvas, though durable, consisted of a thick layer of plastic atop a base fabric&mdash;not genuine leather, which left him unsatisfied compared to working with authentic leather bags. The redeeming features were the high-quality metals and zippers sourced from reputable manufacturers.
Ultimately, he estimated the production cost of the bag, factoring in his expertise, to be approximately $170, even accounting for the premium pricing of components like YKK zippers and hardware.
For those seeking quality and value in luxury brands, he recommended exploring options from Coach or Bottega Veneta instead.
<blockquote class="tiktok-embed" style="max-width: 605px; min-width: 325px;" cite="https://www.tiktok.com/@tanner.leatherstein/video/7221957496796187947" data-video-id="7221957496796187947">
<section><a title="@tanner.leatherstein" href="https://www.tiktok.com/@tanner.leatherstein?refer=embed" target="_blank" rel="noopener">@tanner.leatherstein</a> @coach sent this Tabby 26. Let&rsquo;s take a closer look.👜✂️ <a title="coach" href="https://www.tiktok.com/tag/coach?refer=embed" target="_blank" rel="noopener">#coach</a> <a title="coachny" href="https://www.tiktok.com/tag/coachny?refer=embed" target="_blank" rel="noopener">#coachny</a> <a title="coachbag" href="https://www.tiktok.com/tag/coachbag?refer=embed" target="_blank" rel="noopener">#coachbag</a> <a title="coachtabby" href="https://www.tiktok.com/tag/coachtabby?refer=embed" target="_blank" rel="noopener">#coachtabby</a> <a title="tabby26" href="https://www.tiktok.com/tag/tabby26?refer=embed" target="_blank" rel="noopener">#tabby26</a> <a title="inmytabby" href="https://www.tiktok.com/tag/inmytabby?refer=embed" target="_blank" rel="noopener">#inmytabby</a> <a title="leather" href="https://www.tiktok.com/tag/leather?refer=embed" target="_blank" rel="noopener">#leather</a> <a title="leathertok" href="https://www.tiktok.com/tag/leathertok?refer=embed" target="_blank" rel="noopener">#leathertok</a> <a title="leathertiktok" href="https://www.tiktok.com/tag/leathertiktok?refer=embed" target="_blank" rel="noopener">#leathertiktok</a> <a title="leatherexpert" href="https://www.tiktok.com/tag/leatherexpert?refer=embed" target="_blank" rel="noopener">#leatherexpert</a> <a title="tannerleatherstein" href="https://www.tiktok.com/tag/tannerleatherstein?refer=embed" target="_blank" rel="noopener">#tannerleatherstein</a> <a title="fashion" href="https://www.tiktok.com/tag/fashion?refer=embed" target="_blank" rel="noopener">#fashion</a> <a title="fashiontok" href="https://www.tiktok.com/tag/fashiontok?refer=embed" target="_blank" rel="noopener">#fashiontok</a> <a title="bagtok" href="https://www.tiktok.com/tag/bagtok?refer=embed" target="_blank" rel="noopener">#bagtok</a> <a title="fashionreview" href="https://www.tiktok.com/tag/fashionreview?refer=embed" target="_blank" rel="noopener">#fashionreview</a> <a title="bagtiktok" href="https://www.tiktok.com/tag/bagtiktok?refer=embed" target="_blank" rel="noopener">#bagtiktok</a> <a title="pursetok" href="https://www.tiktok.com/tag/pursetok?refer=embed" target="_blank" rel="noopener">#pursetok</a> <a title="leatherbag" href="https://www.tiktok.com/tag/leatherbag?refer=embed" target="_blank" rel="noopener">#leatherbag</a> <a title="♬ original sound - Tanner Leatherstein" href="https://www.tiktok.com/music/original-sound-7221957476785343278?refer=embed" target="_blank" rel="noopener">♬ original sound - Tanner Leatherstein</a></section>
</blockquote>

<script async="" src="https://www.tiktok.com/embed.js"></script>

<blockquote class="tiktok-embed" style="max-width: 605px; min-width: 325px;" cite="https://www.tiktok.com/@tanner.leatherstein/video/7149289373077409070" data-video-id="7149289373077409070">
<section><a title="@tanner.leatherstein" href="https://www.tiktok.com/@tanner.leatherstein?refer=embed" target="_blank" rel="noopener">@tanner.leatherstein</a> BOTTEGA VENETA, Arco Mini, worth it? <a title="bottegaveneta" href="https://www.tiktok.com/tag/bottegaveneta?refer=embed" target="_blank" rel="noopener">#bottegaveneta</a> <a title="fashionreview" href="https://www.tiktok.com/tag/fashionreview?refer=embed" target="_blank" rel="noopener">#fashionreview</a> <a title="luxuryfashion" href="https://www.tiktok.com/tag/luxuryfashion?refer=embed" target="_blank" rel="noopener">#luxuryfashion</a> <a title="womensfashion" href="https://www.tiktok.com/tag/womensfashion?refer=embed" target="_blank" rel="noopener">#womensfashion</a> <a title="veneta" href="https://www.tiktok.com/tag/veneta?refer=embed" target="_blank" rel="noopener">#veneta</a> <a title="bottega" href="https://www.tiktok.com/tag/bottega?refer=embed" target="_blank" rel="noopener">#bottega</a> <a title="bottegabag" href="https://www.tiktok.com/tag/bottegabag?refer=embed" target="_blank" rel="noopener">#bottegabag</a> <a title="leather" href="https://www.tiktok.com/tag/leather?refer=embed" target="_blank" rel="noopener">#leather</a> <a title="leathertiktok" href="https://www.tiktok.com/tag/leathertiktok?refer=embed" target="_blank" rel="noopener">#leathertiktok</a> <a title="leathertok" href="https://www.tiktok.com/tag/leathertok?refer=embed" target="_blank" rel="noopener">#leathertok</a> <a title="fashion" href="https://www.tiktok.com/tag/fashion?refer=embed" target="_blank" rel="noopener">#fashion</a> <a title="fashiontok" href="https://www.tiktok.com/tag/fashiontok?refer=embed" target="_blank" rel="noopener">#fashiontok</a> <a title="fashionhacks" href="https://www.tiktok.com/tag/fashionhacks?refer=embed" target="_blank" rel="noopener">#fashionhacks</a> <a title="luxuryhandbag" href="https://www.tiktok.com/tag/luxuryhandbag?refer=embed" target="_blank" rel="noopener">#luxuryhandbag</a> <a title="luxurybag" href="https://www.tiktok.com/tag/luxurybag?refer=embed" target="_blank" rel="noopener">#luxurybag</a> <a title="fyp" href="https://www.tiktok.com/tag/fyp?refer=embed" target="_blank" rel="noopener">#fyp</a> <a title="fashionforyou" href="https://www.tiktok.com/tag/fashionforyou?refer=embed" target="_blank" rel="noopener">#fashionforyou</a> <a title="luxuryshopping" href="https://www.tiktok.com/tag/luxuryshopping?refer=embed" target="_blank" rel="noopener">#luxuryshopping</a> <a title="fashiontips" href="https://www.tiktok.com/tag/fashiontips?refer=embed" target="_blank" rel="noopener">#fashiontips</a> <a title="unboxing" href="https://www.tiktok.com/tag/unboxing?refer=embed" target="_blank" rel="noopener">#unboxing</a> <a title="handbag" href="https://www.tiktok.com/tag/handbag?refer=embed" target="_blank" rel="noopener">#handbag</a> <a title="♬ original sound - Tanner Leatherstein" href="https://www.tiktok.com/music/original-sound-7149289379247278891?refer=embed" target="_blank" rel="noopener">♬ original sound - Tanner Leatherstein</a></section>
</blockquote>

<script async="" src="https://www.tiktok.com/embed.js"></script>

After witnessing this, it might be prudent to reconsider your choices when selecting premium brand purchases. Hopefully, this revelation will prompt major brands to cease exploiting labour for cost-cutting measures and rely less on their reputation alone within the industry.
What are your thoughts on this? Let us know in the comments. 
&nbsp;
*Sources: Visual and Reference Credits to Social Media &amp; various cross-references for context.
FOMO much? Follow our <a style="color: #ff0000;" href="https://www.facebook.com/mycclub/">Facebook</a> and <a style="color: #ff0000;" href="https://www.instagram.com/myc_news/?hl=en">Instagram</a> for more updates.

Now you Cheapskates have a Great Excuse why you're not spending USD 2k to buy your girlfriend a LV Bag ..

abc35cb4a9b377748f4838fc7e23d51f3516163e676568c7010195b3a89f103a

Italian Court Exposes Luxury Brands Who Have “Made In China” Production Costs

Italian Court Exposes Luxury Brands Who Have “Made In China” Production Costs

Now you Cheapskates have a Great Excuse why you're not spending USD 2k to buy your girlfriend a LV Bag ..

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