Shein says it’s able to make affordable apparel by monitoring user behavior to predict customer demand and producing items in small quantities. The Chinese e-commerce company known for its $5 T-shirts and $20 cocktail dresses controls 40% of the fast-fashion market share in the U.S., with an estimated $8 billion in sales in the country last year. Shein’s inventory turnover rate is twice as fast as other competitor retailers such as H&M and Zara.

WSJ explains how Shein has dominated the global fast-fashion market as it remains one of the least transparent fast fashion companies in the world.

0:00 Shein’s fast-fashion domination
1:02 Small batches and Shein’s online tech
2:24 Vast manufacturing network
4:26 Allegations of poor labor conditions
6:08 De minimis tax loophole
6:46 How Shein is managing its image

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