Ivanka Trump’s Firm To Be Shut Down As She Focuses On White House Affairs

In order to focus on her role at the White House, she was shutting her fashion line, said Ivanka Trump, daughter of U.S. President Donald Trump. Ivanka is associated with the White House in an informal capacity where she oversees projects for advancing working women.

There have been criticisms of conflicting toles of the family members of Trump ever since he won the elections in November 2016 because of the huge portfolio of real estate and consumer goods businesses of the family that have a heavy dependence on the Trump brand name.

The closure of the brand is being viewed as a victory for a boycott of Trump-tied businesses that began late in the 2016 campaign by critics of the president.

“After 17 months in Washington, I do not know when or if I will ever return to the business, but I do know that my focus for the foreseeable future will be the work I am doing here in Washington,” Ivanka Trump, 36, said in a statement on Tuesday.

The day to day management of her clothing company was given up Ivanka Trump in 2017 following severe criticisms of potential conflicts of interest. She also put the assets of the company in a trust that is managed by family members.

No renewal of licensing contracts would be done, said her company and added that those already in place would be allowed to get completed. The fashion label sold mid-priced women’s clothing, shoes and accessories. After the shutting down of the company, the 18 employees employed since the last 11 years would lose their jobs.

Their assortment of Trump-branded products have either been dropped or sharply scaled back by retailers including Nordstrom Inc, Hudson’s Bay Co and Sears Holdings Corp since Trump’s election. Those decisions were however blamed on poor sales instead of political messages.

The products of Ivanka Trump’s brand are continued to be carried on retailers including Nordstrom Inc, Hudson’s Bay Co and Sears Holdings Corp, said the company in a statement.

In the 12 months to June, there has been a drop of almost 55 per cent compared to the same period a year earlier, in the online sales of Ivanka Trump’s brand, claimed a report in the Wall Street Journal citing information from Rakuten Intelligence which is engaged in gathering of email receipts from 5.5 million U.S. consumers.

The family brands have bene drawn into political fights by the combative style of Trump on the campaign trail and as president.

There was even criticism that most of the products that Ivanka Trump’s company sold were sourced from outside of the US even though trump has been advocating domestic manufacturing. China is the primary source for most of the products of the company that are outsourced, according to media reports. And China is now the target of most of the tariffs that Trump is imposing.

The news of closure of Ivanka’s firm was termed as a victory by “Grab Your Wallet,” – the most organized boycott of Trump-related businesses.

“This is the biggest possible win for Grab Your Wallet,” the group’s co-founder, Shannon Coulter, a San Francisco marketing executive, said.

(Adapted from Reuters.com)

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