Please help

Case Study: soleRebels A journey of African Green Shoe Brand

Co-founded by Bethlehem Tilahun Alemu in 2005, soleRebels is a family-owned brand and manufacturer of hand-crafted footwear based in Zenabwork village, Addis Ababa, in the Federal Democratic Republic of Ethiopia. soleRebels products include sandals, slippers, shoes and boots for men, women and children are not only comfortable and stylish; they are also durable and affordable. The company and its remarkable brand have expanded international market access for hundreds of Ethiopian artisans across Africa, the European Union (EU), North America and Asia. As a result, the socio-economic wellbeing of thousands of people in Zenabwork and in the rest of the country has been improved while the regions environment is being sustained.

Traditional knowledge

Ethiopia has had a long history of making traditional, quality, hand-made crafts based on recycled and raw materials. For centuries, craftsmen and women in the country have used manual looms (known as inzert in the local dialect) in order to spin plant fibers such as cotton, hemp and koba a plant species indigenous to Ethiopia. These fibers and materials, in turn, have been relied on to create attractive, durable and useful products such as shoes and clothing. Due to the countrys vast livestock culture, there has been an ever present resource for hides that innovators have relied on to develop new materials and everyday goods based on leather. Furthermore, since the advent of automobiles in the country, Ethiopian artisans have incorporated modern technologies such as the rubber of used car tires in order to manufacture various handmade goods including the soles of footwear or barabasso. These creative workers, however, have often developed their skills and plied their trade in smallscale units without ready or direct access to the national or global market. soleRebels has embraced the countrys craftsmen and women and utilized their rich and environmentally sustainable manufacturing tradition for handmade products to inspire new creations for a regional and international footwear market. As Ms. Alemu said, Its always good if you start something new. Its challenging [for] you [and it makes people] ask a lot of questions. Once you dare, its really good. Indeed, the SME has been able to revive and rejuvenate Ethiopias traditional crafts industry, expand and modernize its own product range and create well-paid jobs providing value-added, scaled production.

Research and development

From the beginning, soleRebels which is managed by By Ourselves Textiles PLC (better known as BOSTEX) relied on Ethiopias vast network of traditional craftsmen and women and on the creativity of its research and development (R&D) staff in order to produce handmade footwear.

Named after rebel soldiers in the country who were renowned for wearing sandals made of used car tires, the SME has also relied on Ethiopian tradition and social history as a foundation for economic development.

Originally established via a bank loan of 580,000 Ethiopian Birr (approximately US$33,000), the companys workshop in Zenabwork village began sourcing raw materials such as cotton from small-scale farmers in the country. With such raw materials, soleRebels has been able to manufacture a wide range of shoes for customers of all ages. Indeed, every meter of fabric used to manufacture the companys products has been spun on traditional, manual looms made of eucalyptus a fast-growing tree that is commonly used in Ethiopia for timber-based tools.

In addition, the footwear maker has continued the long tradition in the country of collecting, sorting and recycling the rubber of used car tires and leather from the hides of cattle in order to inspire new creations. Moreover, each sole of the companys footwear is hand-cut and stitched to the top half of the product by teams of craftsmen in the soleRebels workshop in order to ensure a natural fit that is comfortable, attractive and long-lasting.

By combining traditional shoe-making crafts and locally sourced raw materials enhanced with modern fashion sensibilities, the company had been able to create contemporary, valueadded products and brands for an international market. As of 2012, soleRebels was in the process of establishing a modernized R&D production facility (that would be staffed with inhouse product designers and artisans) in Addis Ababa. In the same year, the workshop in Zenabwork village employed 75 full time members and 120 part-time workers who produced 500 pairs of sandals and 200 pairs of shoes daily.

Branding and commercialization

In order to win new customers and retain loyal clientele, soleRebels has focused on creating attractive brands and ecologically viable, value-added and quality goods. To promote these products, the company has utilized multi-media campaigns and collaborations with international industry partners. For instance, the soleRebels brand which is inspired by the countrys long history of independence was launched in 2005 as a strategy for the SMEs entry into a competitive global footwear industry. By 2012, soleRebels had created several handmade brands and 900 unique models within its expanding portfolio of products. Some of the companys brands include coZEES (boots for women in 15 models and various colors); Slip-Ons (comfortable and easy-to-wear shoes in 232 types and several colors); sandals and flip-flops (in 294 models and myriad colors); Lace-Ups (or laced shoes, in 212 models and a variety of color combinations). Moreover, the company has made the strategic decision to develop an image for its products that is ancient yet young, independent and rebellious. By utilizing the symbolic power of the koba tree (a plant that has been indigenous to Ethiopia since time immemorial and resonates with the countrys history), the soleRebels logo/icon and slogan (roots; culture; tires) has conferred an image of durability and self-renewal whilst encapsulating the companys corporate ideals: deep and enduring roots that are selfgenerated, youthful and ever flourishing. As the companys co-founder said, Our model maximizes local development by creating a vibrant local supply chain while creating world class footwear that are loaded with style, comfort and appeal. The company, furthermore, has relied on Internet based commercialization tools in order to enhance its brand presence and reach a growing, global clientele. Since 2011, the soleRelebs brand has been commercialized via an interactive company website (a first for an Ethiopian company, according to the SME). In addition, the website not only allows soleRebels clientele to customize products according to color and foot size; it also permits the company to keep an eye on its stock while making real time adjustments to supply and demand fluctuations of its goods. The soleRebels website also attracts Internet savvy customers via its incorporation of high traffic social network websites such as Facebook, Google+ and Twitter In support of its branding and online commercialization strategy, soleRebels has focused its market entry on the eco-ethical (or ecologically and ethically sound) niche market in collaboration with established international partners. soleRebels entry into the international market has also benefited from the African Growth and Opportunity Act (AGOA) a trade and development law of the US government. AGOA allows businesses from certain countries, including soleRebels in Ethiopia, to export goods tax-free into the United States of America (USA). With a growing portfolio of well-made and ethically sourced and produced brands, the company has been able to enter the North American footwear market via a number of shops and Internet based outlets including Amazon.com Inc., Endless.com and Urban Outfitters Inc. Moreover, soleRebels has developed its market presence in the EU via a number of retailers including Spartoo.com, an established online shop founded in the French Republic (France). The SME has also expanded into the Asia-Pacific region via several retailing partners including Rakuten, one of the largest online shopping agents in Japan. As of 2012, soleRebels products were commercialized in several countries around the world including Canada, France, Japan, the Kingdom of Denmark, the United Kingdom and the USA. In order to enter and thrive in a competitive global footwear market, soleRebels has developed a robust intellectual property (IP) strategy secured via the IP system. To ensure its entry into the lucrative USA market, the company registered a trademark for Sole Rebels in 2010 at the United States Patent and Trademark Office (USPTO). In 2012, the soleRebels footwear was commercialized in several retail outlets (including the company's flagship store in Addis Ababa) and the company was negotiating franchise agreements with several stores in over 10 countries while projecting annual revenues of US$15 million by 2015. Indeed, the soleRebels brand is expected (by 2015) to have created over 600 jobs in countries outside of Africa a first for a brand from the continent, according to Ms. Alemu.

QUESTIONS

1) The case suggests that soleRebels practices sustainability integration in supply chain management. Analyse Sole Rebels journey so far from the circular economy perspective of sustainability integration.

2) Identify the drivers and barriers for soleRebels in incorporating sustainability in supply chain management processes and critically analyse the way they affect sustainability incorporation in the given case.