Why are Shein and Temu so cheap? That’s how their sales model works

For years, Shein has been the subject of criticism and distrust. Many consumers have avoided the store because of its negative reputation, its apparent lack of transparency and prices that seemed too good to be true. However, the experience accumulated by a growing user community has begun to reveal a more balanced picture: Shein can be a viable alternative for those looking for functional products without spending too much. Why so many distrust…

The labels on clothing not only reflect the origin and the materials of manufacture, but also reveal a silent struggle between two business models in the fashion sector: that of traditional retailers, with more than a century of history and high fixed costs, and that of Chinese e-commerce platforms, which operate with a flexible structure and almost without inventories. The price difference between them is the result of this operational gap, and…