Shein

Shein (formerly known as SheInside, also known as Roadget Business) is a provider of a global e-commerce fast fashion platform. The company develops and sells women's, men's and children's clothing, shoes and accessories, as well as home and beauty products, mainly under its flagship brand SHEIN. It works through a mobile application and regional sites.

History

2022: Attraction of $1 billion with a total valuation of $100 billion

In early April 2022, Chinese online clothing retailer Shein raised $1 billion and was valued at $100 billion. This makes the company more expensive than H&M and Zara combined. The startup's investors included General Atlantic funds, as well as Tiger Global Management and Sequoia Capital China.

According to the Wall Street Journal, Shein held a funding round at the end of March 2022. At the same time, on April 3, 2022, Bloomberg wrote that Shein was only negotiating with potential investors to raise capital.

Attraction of $1 billion with a total valuation of $100 billion

Shein is known for selling inexpensive clothes and lifestyle items, adding more than 2 thousand styles daily. The company operates on a business model - on demand, which means that clothing items are produced in small batches and become mass only if they become hits. Shein's aggressive social media tactics include a paid partnership with celebrities such as Addison Ray and Madelain Petsch, which helps the brand attract Generation Z buyers.

However, Shein's rapid growth was not without controversy. In addition to the environmental impact associated with fast fashion, the company is accused of stealing design. In 2021, designer Mariama Diallo accused Shein of copying the design of her clothing line Sincerely Ria. Customers also complained about the poor quality of Shein clothing, and customers themselves filed more than 1.1 thousand complaints against Shein with the Bureau for Improving the Quality of China's Business.

As part of the investment round, which took place in June 2021, the company reported that its capitalization is in the billions. And according to the latest estimate of PitchBook Data, which was carried out back in 2020, the cost of the online clothing retailer Shein was $15 billion.^[1]

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