An image symbolizing sustainable and ethical product creation through the use of technology and eco-friendly materials
Posted on by tya

[Marketing Seed 124: Is a “Cheap and Truly Good” Product Possible? (Part 2)]

An image symbolizing sustainable and ethical product creation through the use of technology and eco-friendly materials

Is Low Cost Without Exploitation Becoming a Reality?

🧩 Recap from Last Time: The Costs Hidden Behind “Cheapness”

In the previous [Marketing Seed 123], we focused on the “invisible costs” not reflected in the price, such as:

  • Labor exploitation

  • Environmental burden

  • Lack of ethicality

So, is the ideal of “cheap and good, but without exploitation” just a mere illusion? This time, we will answer that question while introducing real-world examples.

🌱 How Technology is Changing the “Definition of Cheapness”

First, we should note the changes in cost structures brought about by technological innovation. 📌 For example, the use of automation and AI in the manufacturing industry. According to data from the German research institute Statista, as of 2022, about 45% of the global manufacturing industry has implemented automation technologies. This has expanded production models that do not rely heavily on labor costs. As a result, it has become possible to keep costs down while maintaining quality. Furthermore, streamlining supply chains and optimizing logistics are also contributing to the departure from the “cheapness = low-wage labor” paradigm.

🧵 Case 1: Uniqlo and the Power of Technology

Uniqlo, a global brand originating from Japan, is known as a prime example of “affordable and high-quality” apparel. Behind this reputation are initiatives such as:

  • In-house material development (e.g., HEATTECH, AIRism)

  • Economies of scale through global, large-volume ordering

  • Loss reduction through the visualization and improvement of production processes

Moreover, in 2023, the company strengthened the traceability (disclosure of production history) of all its products, enhancing the credibility of being “affordable yet ethical.”

🌍 Case 2: Patagonia’s “Built to Last” Philosophy

The outdoor brand Patagonia redefines “cheapness” not by its “price tag,” but by its “long-term value.” “The products are a bit pricey. But they last for 10 years.” = Ultimately, it’s cheap. Characteristics of the company:

  • Use of organic materials with low environmental impact

  • Provision of repair services (Worn Wear program)

  • Product design that considers the entire life cycle

Furthermore, they practice a business model that pursues a balance between profit and ethics, such as donating 1% of their annual sales to environmental protection organizations.

🧃 Case 3: IKEA’s “Friendly Pricing Design”

IKEA, the giant furniture retailer, is also a company challenging the compatibility of low prices and sustainability.

  • Reducing transportation costs through flat-pack designs

  • Using sustainable materials (FSC-certified wood, recycled plastics)

  • Switching store electricity to renewable energy (about 60% as of 2022)

As of 2024, IKEA has set a goal to make its entire product line “climate positive” by 2030.

🤔 Is the Realization of This Ideal Just an “Exception”?

A question arises here: “Aren’t these companies just a few ‘highly conscious’ exceptions?” “Is there really a possibility for this to spread across the ‘entire market’?” This question is extremely important. Because if “ethical affordability” is limited to a few companies, consumers’ choices will continue to narrow.

However, looking at recent trends, signs of change are definitely appearing.

  • About 67% of Gen Z “reflect a company’s social stance in their purchasing decisions” (Deloitte: 2023 survey).

  • In the US, the number of B Corp certified companies has roughly tripled over the past five years.

  • In Japan, initiatives emphasizing ethical consumption and local production for local consumption are expanding.

In other words, ethical choices are evolving from “exceptions” to “standard options.” Reference Article: Deloitte “2025 Gen Z and Millennial Survey”

📝 Summary: “Affordability” Without Exploitation Has Already Begun

  • Technological innovation and supply chain improvements make it possible to balance low prices and quality.

  • Companies like Patagonia and Uniqlo exist and are actually succeeding.

  • New models are expanding to replace the “cheapness = short lifespan = exploitation” structure.

  • Changes in consumer values are boosting this trend.

📣 Preview for Next Time: Can “Purchasing Power” Change the Future? The Roles of Consumers and Buyers

In the next [Marketing Seed 125], we will delve into how consumer choices and corporate buyers’ decisions are changing the direction of the entire market.

  • What does it mean that “buying” is like voting?

  • If buyers change, will the products on the shelves change?

  • What are the “invisible mechanisms” supporting ethical consumption?

Please look forward to it! 😊

From the Marketing Seed Series: Seeds of Marketing 29: On Location and Weather – Battling the Unpredictable Forces of Nature