Question: Vancouver-based retailer Lululemon experienced a problem with its $100 black Lululemon yoga pants. They were too sheer, they pilled easily, and customers were returning them.

Vancouver-based retailer Lululemon experienced a problem with its $100 black Lululemon yoga pants. They were too sheer, they pilled easily, and customers were returning them. Chip Wilson, founder of the company, in an interview with Bloomberg TV stated: “Quite frankly, some women’s bodies just actually don’t work. It’s really about the rubbing through the thighs, how much pressure there is over a period of time.” Numerous media outlets picked up the story and a firestorm of negative comments on social media ensued. Four days later, Wilson apologized on Lululemon’s Facebook page stating, “I’m sad for the repercussions of my actions. I’m sad for the people of Lululemon who I care so much about, who have really had to face the brunt of my actions…I’m sorry to have put you all through this.” What mistakes did Lululemon make in handling this situation? What lessons can be learned?

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The initial mistake was the founder of Lululemon blaming customers for the pilling thereby creating ... View full answer

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