The Impact of Fashion and Style on Entrepreneurship and the Global and Iranian Economy

Today, fashion represents one of the largest industries in the world, creating millions of jobs worldwide; but what is the situation of this industry in our country?

The Global Impact of Fashion on the Economy and Employment

In the world, the fashion industry is recognized as an economic engine. Various reports indicate that this industry has directly and indirectly created millions of jobs. According to official statistics, in 2022, the global fashion industry generated over $1.5 trillion in revenue and directly employed over 60 million people worldwide. These figures highlight the importance and unique position of this industry in the global economy.

Despite global economic challenges, the fashion industry has demonstrated resilience. For instance, in 2022, despite the economic recession and rising inflation, the industry was able to come close to the economic profit record of 2021. Even in 2023, amidst ongoing and deeper challenges, this industry managed to outperform its long-term average. It is also a beneficial industry for the workforce, employing many individuals across all aspects of the fashion supply chain.

According to a report from the Joint Economic Committee of the United States, the fashion industry employs over 1.8 million people in America. Based on the Euratex report, over 1.3 million people in Europe are employed through the fashion industry. This data is from 2019 and includes individuals working in all areas of the fashion industry, from design to production and retail.

Fashion in Iran: Statistics on the Impact of This Industry

In recent years, the fashion industry in Iran has also seen significant growth and has become one of the important economic sectors. According to a report from the Iranian Statistics Center, in 2020, the fashion industry in Iran created over 50,000 direct jobs, and with the growth of e-commerce and online selling platforms, this number is increasing every day. Furthermore, the market value of fashion in Iran was estimated at approximately $3 billion in 2021, highlighting the importance of this industry to the country’s economy.

According to statistics released in 2022 by the Ministry of Industry, Mines and Trade, there are 1,000 active industrial units in the clothing sector in the country. In addition to these industrial units, around 700,000 to 1 million people are employed across the 100,000 active businesses in clothing production, and when including jobs in distribution, approximately 2 to 2.5 million people (based on official registered company statistics) are employed in the clothing industry.

Additionally, in 2022, economic growth in the textile industry was measured at 17.1% compared to 2021, which was the highest figure among all industrial sectors. On the other hand, the clothing sector recorded a 6% economic growth, approaching the targeted 8%.

The import of sewing machines last year was about $950,000, compared to about $550,000 in 2021; therefore, the value of sewing machine imports has grown by approximately 40%.

What Impact Have Major Fashion Brands in Iran Had on Entrepreneurship?

Among them, the Jeanswest brand has played a pivotal role as a leader in the fashion industry in Iran, significantly contributing to the development of this sector and job creation. With over 35 active branches and 80,000 square meters of retail space, Jeanswest has become one of the main leaders in Iran’s fashion market. This brand has established a special place in the Iranian market by focusing on quality and modern design.

Ava Octane, the owner of the Jeanswest, Bani Mod, and Bal Cafe brands, among others, plays a crucial role in the development of human resources and productivity in the fashion industry with over 2,600 active employees. This company has also significantly impacted the increase in the quality of domestic production in Iran through the import of up-to-date industrial machinery that meets global standards.

Mohammad Khordmand, the CEO of Ava Octane, believes that one should never stop moving forward and states: “We are compelled to keep moving and continue.” In an interview, he mentioned that the persistence and determination of the Ava Octane team have always been exceptional, and each crisis faced over the years has been seen as an opportunity. This approach has enabled Ava Octane to work for years with well-known brands like Jeanswest in the Iranian fashion industry, making it an integral part of this sector today.

Conclusion

The fashion industry, recognized as one of the largest global industries, has not only influenced lifestyles and cultures but also plays a vital role in the economy and job creation. In Iran, this industry has been accompanied by notable growth and has become an essential economic sector. The brand “Jeanswest,” with over 35 active branches, 80,000 square meters of retail space, and 2,600 employees, exemplifies the positive impact of this industry on Iran’s economy. It seems that supporting the fashion industry can serve as a strong and stable driver for the economic progress of our country.

Sources:

• Report from the Iranian Statistics Center (2020)
• Annual Global Fashion Industry Report (2022)
• McKinsey Report on Fashion Industry, 2024
• profiletree.com/global-fashion-industry-statistics
• isna.ir/xdPhvX