The Israel Palestine conflict is escalating and the spotlight is now on Versace, the famous Italian luxury fashion brand, as many worry they may be backing Israel while the Middle East is in crisis. However, as the world pays attention to the plight of those affected, interest in learning about Versaceās stance and any connections to Israel are growing.
Capri Holdingsā Alleged Support for Israel
As the conflict in Israel and Gaza deepens, fueling a humanitarian crisis, the parent company of Versace, Capri Holdings, appears to be ramping up support for Israel, according to email messages shared with The Associated Press. Capri Holdings is accused of extending aid to Israel by recently giving to the International Committee of the Red Cross (ICRC).
While some criticized the move, it only helps reinforce the impression among the company’s detractors that it cares little about the agony of Palestinians, and doesn’t seem to have any moral compass or ethical responsibilities. Critics say that Capri Holdings’ decision to back the ICRC in the Israel-Palestine conflict fit with a trend of putting political interests first at the expense of humanitarian principles.
The Financial Backing of Versace
By looking at Versace’s ownership structure we find that the company has made significant investments from institutional (professional) investors, who are known to support Israel’s interests. Of note, Vanguard Fiduciary Trust Co. has a large 9.930% while BlackRock Advisors LLC has 8.187%.
These massive financial investments with pro Israel entities are raising the question of how much Versace’s decisions are being shaped by foreign financiers. As these powerful investors have a large stake in what the future of Versace will be, some wonder whether or not the brand is truly independent of them and of their role in aiding Israel’s cause.
Source:
Versaceās recent humanitarianism and inclusive advertising may sell social conscience, but does the brand really care about Israel Palestine? Those calls come at a time when Versace and other luxury brands are feeling pressure to offer transparency and ethical accountability to consumers who demand to know where their money is going and who they’re potentially supporting.
Challenged by this very complex dynamics, Versace struggles to protect its brand value against the backdrop of the hostilities between the EU, the USA and Russia.