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Corporate Comparison

Abercrombie & Fitch and American Eagle Outfitters are two corporate entities that compete for the college and high school markets. Abercrombie and Fitch is an American retailer that emphasizes on casual wear for teen consumers age between 18 and 22 years of age. It commenced business in the nineteenth century. Currently, it is dominating the American teen wardrobe with over three hundred outlets in the United States, and anticipating for international expansion. Founded by David Abercrombie and Ezra Fitch in Manhattan Borough, it started as an influential business of sporting and expedition goods.  Manhattan store was closed in 1977 after the company had filled the chapter 11 bankruptcy. Oshman’s Sporting Goods revitalized the name in after purchasing the already non-operational company’s name and mailing list. It was later launched as a mail order store concentrating on novelty items and hunting wears. More outlets were opened in Beverly Hills, Dallas and New York. In light of the market share controlled by Abercrombie, this paper discusses the history of Abercrombie and sexuality and racism in relation to it. On the other hand, American Eagle Outfitters commenced its operations in 1977 as a subsidiary of Retail Ventures, Inc. Jerry and Mark Silverman are accredited with the founding of the company. The company targets consumers of both sexes of between the ages of 14-25. The company deals with products such as Henley shirts, low-rise jeans, and graphic T-shirts. More comparison between Abercrombie and Fitch and American Eagle Outfitters follows beneath.




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Abercrombie & Fitch


American Eagle Outfitters

Headquarters Location



New Albany, Ohio



Pittsburgh, Pennsylvania

Company Mission Statement



Commitment to provision of comfortable and long lasting clothes that are adorable


Satisfaction in a Job Well Done

Total Number of Employees 85,000 39,900
        a.     Domestic Employees 21540 11245
        b.    International Employees 63460 27755
Number of Locations

United States


United Kingdom





Puerto Rico



Total stores 325 (2011 June)

929 American Eagle Outfitters store

148 Aerie stores

9 77 kids stores (2011 June)


Diversity Policy




Since the start of the company, the company has realized remarkable improvements in their in-store staff. As of 2010 the company had in their staff,  in-store workforce, as a whole is 50.22% people of color

The company’s in-store models are 48.44% people of color.

The company’s in-store managers-in-training are 41.04% people of color.

In leadership and associate management,

the company had Executive Diversity Council – a leadership committee mostly comprised of Senior Vice President’s and above from a cross-section of business segments, including:, Store Operations, Human Resources, Sourcing and their Swiss office is charged with providing support for the initiative for the entire company.

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Stores Diversity Council – a stores unique leadership group, consist of District Managers and Recruiters that are tasked with auditing and implementing the company’s initiative at the store level.

Distribution Center Diversity Council – a distribution center specific management cluster that is characterized by Human Resource leaders and line managers and tasked with implementing company’s strategy throughout the distribution facilities.

The company was slammed by serious lawsuits concerning its diversity policy, since 2004, the company envisioned a broad based diversity policy that reflected the society’s ethnic formations. Firstly, the company has a performance measurement and hiring scheme that ensures gender and ethnic balance within the company’s workforce. There is an internal complaint commit to address racial complains among other employee challenges. The company also has a vice president specifically tasked to handle diversity matters. 40% of colored people are included in the company’s marketing department. The company has a stores diversity commit to ensure that all employees at stores reflect the company’s diversity policy. American Eagle Outfitters is a member of the international labor rights forum. This is a body responsible for advocating for employees rights globally.

Ethics Statement or

Code of Conduct





The company has recognized that success in a form of business requires four basic principles. These are honesty, integrity, compassion, and intellect. Abercrombie and Fitch company and its operating subsidiaries stick to the highest standards of integrity and apply the fairly and always in there entire business throughout the world. Every employee or associate has a duty to protect and strengthen the reputation of the business in his or her dealings with the customer, suppliers, associates, investors, competitors, and government agencies. Every employee must observe the law; fully consider company’s rights, ethical responsibilities when handling company’s clients in all operations.

The company has a clear code of conduct in its dealings. The company strictly adheres to the policy of dealing with only contractors and vendors who share and demonstrate their believe their commitment to ethical and responsible business principles including protection for the rights of persons, respect for the environment and promotion of equal opportunity. The code of conduct is strictly enforced within the company circles. It is also communicated to all workers and posted prominently in their place of work in the language that they can best understand. The company is clearly against child labor, forced or involuntary labor, discrimination among other ways of inhumane treatment. The company strongly advocates for fair treatment to all, freedom of association and promotion of health and safety.


Examples of Social Responsibility





To recognize the interests of the community, the company has done some humanitarian projects in the past. The company has come up with a scheme to donate $ 10 million for the construction of a trauma center at national wide children’s hospital at Columbus Ohio. In the recent years, the company has done a couple of products under its corporate responsibility initiative. In November 2007, the company launched American eagle better world initiative. It was a one-year program aimed at supporting organizations that were strategic to their customers. Earlier in 2005 the company launched a campaign to raise $1 million to start a nonprofit organization that was to pair highly trained college graduates with preschool children struggling with early learning programs

Examples of Philanthropic Activities





In recent years, the company has engaged in a number of philanthropic projects. The company launched A& F in 2010 on its website. They aimed at informing the public about the efforts the company has undertaken to in areas of human rights, diversity, inclusion, philanthropy and sustainability. The company has annually fundraised at the home office that featured events like running, biking, walking, entertainment, and food. The company has engaged in some humanitarian programs in appreciation of the society. In 2008, The company donated some clothes and food to children homes. It has also sponsored some sporting activities like athletics in community events.

Summary of Each of the Company's Current Activities & Plans

Abercrombie and Fitch has embarked on an aggressive marketing campaign to it boost its market dominance and rejuvenate its self from the loss occasioned by the financial meltdown. The initiative will also see the company venture new markets to increase its market by 20% in two years. American eagle outfitter, on the other hand, is on an overseas expansion program. The company wants to increase its presence in Europe and other priority areas.

In conclusion, it should be noted that Abercrombie and Fitch has presented several lawsuits against American Eagle Outfitters because the latter copied their designs. In their defense, American Eagle Outfitters were of the opinion that the alleged designs could not be copyrighted in the United States. Thus, this made American Eagle Outfitters to trend their designs away from those by Abercrombie & Fitch. The difference emanates from the fact that the designs by American Eagle Outfitters are considered cost-efficient because they are retro/vintage. Designs by Abercrombie & Fitch are recognized internationally as “preppy” and high-grade.



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