AMDP final

AMDP final

TO: Clark Hansen, CEO, AMDP

FROM: Ellen Woolf, R&D, AMDP

DATE: July 1, 2018

SUBJECT: Investment Opportunity

As head of the Resource and Development team at AMDP my weekly task is to find companies to invest in. The company must meet the AMDP standards, which include meeting the Triple Bottom Line, Corporate and Social Responsibility, Social Enterprise, and reducing Carbon Footprint. VETTA is one of few clothing companies focused on minimalism and sustainability, all while maintaining high fashion status and in turn, profit. After conducting in depth research, I believe VETTA will provide the greatest return on AMDP’s investment.

AMDP Standards

To provide a rubric of my analysis, I will clarify exactly what AMDP is looking for…

Triple Bottom Line expands the focus of the financial bottom line to the three P’s…

1. People- considering the well being of consumers, employees, and the general public
2. Planet- the company is sustainable and has a minimal environmental impact
3. Profit- the overall economic impact the company may have after subtracting all the inputs

Corporate Social Responsibility refers to conducting business in the best interest of employees, stakeholders, and consumers. It also includes being a responsible member within the community and active in charity.

Social Enterprise can be defined in a variety of ways, mainly the term refers to a company that tackles some social issue. According to the Social Enterprise Alliance, there are three models to approach these issues...

       1. Opportunity Employment- a company hires those who experience barriers to mainstream employment

       2. Transformative products or services- a company that creates products or services that create a social or environmental impact

       3. Donations- a company that donates responsibly, to non-profit organizations aimed at meaningful contributions to society (SocialEnterpriseAlliance).

Carbon Footprint is the total amount of carbon dioxide emissions given off by an organization over its lifetime. Though measuring the carbon footprint is difficult to do exactly, there are online resources to help measure one’s total output by asking about energy habits, travel habits, waste…etc. As carbon is released into the atmosphere at astronomical rates, a greenhouse effect occurs causing heat to remain under the ozone layer. This causes global warming and a domino effect on species and ecosystems, thus it must be reduced as much as possible.

About VETTA

VETTA is a New York based clothing company with designer lines referred to as ‘capsules.’ The capsules are inspired by a minimalist lifestyle. Each capsule has five versatile pieces that can be worn as 30 different outfits. Every piece works with the next, allowing the your closet to be clean and your mind to be at rest.

Many other designer clothing companies do not take the full circle impact into account. VETTA always considers the use of pesticides, water, and whether or not the materials are organically grown when choosing fabrics. Some of these materials include tercel, linen, organic cotton, lending modal ponte, and deadstock fabric (aka fabric not used by other designers) (VETTA). All of these are fabrics that are organically or sustainably grown.

To further their sustainability and corporate social responsibility, VETTA’s upper management often visits the NYC based factory where all materials are made. The factory is family run and many employees have worked there for over 30 years. The sweaters are created here in Los Angeles at a factory which is run on 70% solar power and shipping containers are made from recycled materials. Accessibility to all this information, ordering, and more is available at their user friendly website, giving customers, employees, and stakeholders full transparency.

Growth Opportunities

Other startups including apps and designers have attempted the minimal, sustainable approach to clothing but few have had returns on the level of the capsules. The VETTA company is not one to be slept on, and other companies know this. “I tried this fashion startup’s ‘capsule wardrobe’ of 5 pieces that can be worn 30 different ways- and it made my morning routine much easier” says Mara Leighton of Business Insider’s Insider Picks. The VETTA capsules have been featured in VOGUE, The Wall Street Journal, Forbes, WHOWHATWEAR, Business Insider, and several other fashion editorials.

“Cara Bartlett, a former buyer at Rue La La and Saks Fifth Avenue, had a closet full of clothes but constantly felt like she had nothing to wear. In 2016, she launched a Kickstarter campaign to start a capsule wardrobe label. In just one month, she tripled her goal of $30,000, and VETTA Capsule was born…” (FORBES).

Since the Kickstarter Campaign, successes have continued for the start up. In 2017 Vetta won the Saks Fifth Avenue Emerging Designers Showcase, earning them a place on the racks at Saks. Both the Kickstarter Campaign and the triumph at the Showcase happened in just one year (2017), with time this company could be one of fashion’s top sustainable options.

Final Thoughts

This company has taken off so now is the time for AMDP to jump on the gravy train! Its is affordable, sustainable, and chic. Millennials are increasingly concerned with the effects of their purchases on the environment. This company is a perfect way to give young people a way to buy closet essentials with the excess. With the tripling of her goal in her Kickstarter Campaign, it is obvious that other people have faith in Cara’s ability to turn a profit. The VETTA values align with those of AMDP and to support the success of this still emerging company would only serve to extend the values of AMDP.

Works Cited

Bartlett, Cara. “VETTA.” VETTA, www.vettacapsule.com/.

Leighton, Mara. “I Tried This Fashion Startup's 'Capsule Wardrobe' of 5 Pieces That Can Be Worn 30 Different Ways - and It Made My Morning Routine Much Easier.” Business Insider, Business Insider, 10 May 2018, www.businessinsider.com/vetta-kickstarter-capsule-collection-review-2018/.

McCoole, Veena. “Meet The Fashion Brands That Want You To Wear Less.” Forbes, Forbes Magazine, 2 July 2018, www.forbes.com/sites/veenamccoole/2018/06/30/meet-the-fashion-brands-that-want-you-to-wear-less/.

“Social Enterprise.” Social Enterprise Alliance, socialenterprise.us/about/social-enterprise/.