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Burberry, Ltd.: Is It Okay to Burn Unsold Goods?
Rachel Miller, Reilly Gibbons, and James S. O’Rourke IV
University of Notre Dame, USA
Volume 13: 2020, pp. 19-28; ABSTRACT
In July 2018, luxury goods retailer Burberry’s long-standing practice of destroying unsold goods to maintain brand value became an object of public attention and disapproval. News outlets blasted Burberry for burning $37 million of unsaleable products from the previous year’s inventory. Burberry CEO, Marco Gobbetti, now must decide how to maintain exclusivity and brand value without destroying reputation and goodwill.
