Professional Salesmanship

Assignment 2

According to the articles I read about American Apparel Inc., the CEO of the company,
Dov Charney, violated company policies, including misusing company funds and failing
to stop the defamation of at least one former employee who had accused him of sexual
harassment. CEO Dov Charney is accused of sexual harassment by his employees and
inappropriate and unprofessional acts in the office.

The behaviors shown by CEO Dov Charney are just as illegal or unrighteous as the probe
revealed that Charney, who founded the hipster clothing brand, was using company funds
to book flights for his parents. He also sometimes provided corporate apartments to
friends and stayed in them himself when he wasn't on company business. In my opinion,
he should not just take money from the company even though he is the CEO or he has
the largest share of the company. And it is wrong to use another company's funds to build
one's own brand. And if he wants to make the people he loves happy, he should use his
own money that is not related to company business.

Dov Charney's name is widely associated with American Apparel. Everything Charney
does, whether it's good or negative, has a direct impact on the brand's sales. Charney's
use of foul language, his use of the restroom in his underpants, his flirtation with staff

Keeping pictures of people in their underwear is not beneficial to the business.

Additionally, he has been accused of sexual harassment by numerous of his young
female employees. The company's reputation in the eyes of the public and media is
weakened by all these unethical and unprofessional actions.

The company's belief that consumers do not mind being marketed to as long as the
images represent their casual views about sex doesn't seem accurate. Customers,
especially those who are parents of teenage girls, are questioning the company's
marketing approaches. And the marketing strategy of the company is really wrong
because they want to make money, so they release advertising or pictures that show that
it is not pleasant to look at.
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Not only should they remove Dov Charney as CEO, he should also pay the money
obtained from the company and also remove the power from the company because the
bad things that happened can happen again. If possible, remove him as a shareholder of
the company. It is necessary for the company to change its marketing strategy to address
the ethical concerns of its customers, especially the parents of young teenagers. because
I believe that there is more that can be done to make what they sell popular. Overall, the
organization has to work on improving the alignment of the elements that make up its
brand image. In this manner, it is hoped that sales would rise, the company's reputation
will improve after being linked to sexual harassment, and it will avoid going bankrupt.

ARTICLE:https://www.reuters.com/article/us-american-apparel-charney-
idUKKBN0EW08B20140621

https://www.cnbc.com/2015/06/24/american-apparel-details-allegations-of-sexual-
misconduct-by-ousted-ceo.html