1. Opening
(The team is gathering in the conference room. Ethan is already seated, reviewing some notes. Isabella walks in first, followed by Sophie and Min-ju)
Min-ju: Ethan, you’re always the first one in the room. What’s your secret? Coffee at 5 AM?
Ethan: (laughing) Not exactly. More like the fear of being late. And besides, I like having a few minutes to mentally prepare.
Sophie: (setting down her bag) That makes sense. I try to do the same, but somehow, I always find myself running out the door.
Ethan: (grinning) That’s because Parisians don’t believe in rushing.
Sophie: We believe in fashionable rushing. (laughs)
Min-ju: (Smiling) Alright, since we’re all here, shall we? Let me start with a surprising statistic. According to McKinsey’s latest report, 67% of luxury consumers now consider sustainability when making a purchase decision. Five years ago, that number was less than 30%. The shift is undeniable. The question is: will TRR Luxe ride this wave—or be left behind?
The luxury industry is evolving, and sustainability is no longer just an ethical choice—it’s a business imperative. Today's discussion will focus on our carbon neutrality roadmap, sustainable materials, and integrating ESG principles into our design and marketing. Let’s ensure that we’re shaping the future, not just reacting to it.
Sustainability, of course, is a broad concept. But to make real progress, we need to break it down into tangible actions. Let’s start with our carbon neutrality goals—because without addressing emissions, the rest of our sustainability efforts will only be half as effective.
2. Carbon Neutrality Goals & Execution Plan
Min-ju: We’ve pledged carbon neutrality by 2030, but our latest assessment shows that we're lagging. Isabella, where are the biggest challenges?
Isabella: Honestly? Raw material production is our Achilles’ heel. Fabric dyeing alone accounts for nearly 20% of our emissions. Our European factories have transitioned to renewable energy, but our Asian suppliers are still reliant on coal-based power.
Ethan: That’s concerning. Are there viable alternatives, or are we looking at a complete overhaul of our supply chain?
Isabella: There are options, but they come at a cost. We could shift to partners using solar or hydro-powered plants, but prices would increase by about 15%.
Sophie: If we position it well, that premium could be justified. High-end consumers are willing to pay for sustainability—but they need to understand the value. We should consider a ‘carbon-neutral luxury’ certification.
Ethan: (leaning forward) Hold on—how exactly does that certification work? Are we talking about third-party verification, or something we develop in-house?
Min-ju: Good question. Ideally, we’d get a third-party certification, similar to what brands like Gucci and LVMH are working towards. There are global certifiers that verify a company’s carbon footprint reduction and offset efforts.
Isabella: But doesn’t that require extensive auditing? We need to be prepared for that level of scrutiny.
Sophie: Exactly. If we claim carbon neutrality, we must show consumers proof. That’s why I suggest a hybrid approach—third-party verification combined with our own ‘TRR Luxe Climate Positive’ label.
Ethan: That way, we control messaging while ensuring credibility. I like it. But does creating our own label mean anything legally?
Min-ju: As long as we’re transparent about what it represents. The goal is to communicate our sustainability efforts clearly while we work toward official certification.
Sophie: Right. The TRR Luxe Climate Positive label could be our internal stamp for collections that meet our strictest sustainability criteria. It reassures consumers before we get third-party certification.
Isabella: That makes sense. But third-party certification is not just a label—it involves a full carbon accounting process. We’d need to track every part of our supply chain.
Min-ju: Exactly. They would look at direct and indirect emissions, meaning we need full transparency from our suppliers. That’s where it gets tricky.
Ethan: Some of our suppliers might not be thrilled about sharing that level of detail.
Isabella: That’s what I’m worried about too. Some smaller factories might resist, especially if they don’t have solid tracking systems in place.
Sophie: Then maybe we start with just one collection. We pilot a recognized third-party certification with a limited release and use that to learn what works before expanding. We should also ensure that any certification partner aligns with our transparency and ethical standards.
Min-ju: I like that. It minimizes risk while proving our commitment. We should carefully vet potential certification bodies to avoid reputational risks.
Isabella: I’ll talk to our key suppliers and see who’s open to participating in a pilot project. I'll also check which certification programs they already comply with to streamline the process.
Min-ju: Good. And let’s research multiple certification options before committing—we need to be confident that our sustainability efforts are both credible and truly impactful.
