read more
Dior accused of racism. The disputed ad has been removed 
read more
Armani increases sales by 20%.
Italian police carried out an inspection of some of Dior's suppliers to LVMH who produce luxury handbags in Milan. Prosecutors said Dior paid $57. for the production of handbags, which retail for $2,780.
According to Reuters, Dior did not take "appropriate measures to check the actual working conditions or technical capabilities of the contracting companies." The news agency reported that workers slept at the plant so they could produce the bags around the clock.
Armani does the same, reports nypost.com. A designer from Milan paid the supplier $270 each. for making bags, which he then sold retail for approximately $2,000. After a preliminary investigation, judges placed the Dior and Armani production plants under judicial administration for one year, accusing them of exploiting workers.
Expensive Dior and Armani handbags are made by craftsmen migrating for work, who earn $2-3. per hour.
– The main problem is the mistreatment of people. Moreover, unfair competition pushes law-abiding companies out of the market, says Fabio Roia, president of the court in Milan, in an interview with Reuters.
The media pay attention to the wealth of the owners of famous brands. According to the Bloomberg Billionaires Index, LVMH CEO Bernard Arnault is the third richest person in the world, and his daughter Delphine Arnault holds the well-paid position of CEO of Dior.
