Press "Enter" to skip to content

Posts published in “Business/Finance”

Beauty Supply Store Owners Judian and Kadeian Brown on Forefront of Growing Business Opportunity for Black Women: Hair Care

Kadeian Brown, left, and Judian Brown own Black Girls Divine Beauty Supply and Salon, off Church Avenue in Flatbush, Brooklyn. (Kirsten Luce for The New York Times)

Not much seems unusual about Judian Brown and Kadeian Brown’s storefront in a tidy plaza off Church Avenue in Flatbush, Brooklyn, a neighborhood where every block seems to have its own African hair-braiding salon.

Posters of African-American women with long, sleek hair fill the window. Round jars of shea butter belly up to slender boxes of hair dye on the shelves. Wigs perch on mannequin heads.

What makes Black Girls Divine Beauty Supply and Salon’s visitors do a double-take is the skin color of the proprietors. “I go, ‘Look at all the faces on the boxes,’ ” said Judian Brown, recalling other shopkeepers’ and customers’ surprise when they realize she is not an employee, but the owner. “Who should be owning these stores?”

The Brown sisters’ is one small shop in a multibillion-dollar industry, centered on something that is both a point of pride and a political flash point for black women: their hair. But the Browns are among only a few hundred black owners of the roughly 10,000 stores that sell hair products like relaxers, curl creams, wigs and hair weaves to black women, not just in New York but across the country. The vast majority have Korean-American owners, a phenomenon dating back to the 1970s that has stoked tensions between black consumers and Korean businesspeople over what some black people see as one ethnic group profiting from, yet shutting out, another.

A growing awareness of this imbalance has spurred more black people to hang out their own shingles. The people producing the products have changed, too: As “going natural” — abandoning artificially smoothed hair in favor of naturally textured curls and braids — has become more popular and the Internet has expanded, black entrepreneurs, most of them women, are claiming a bigger share of the shelves in women’s medicine cabinets.

“We’re aware of where our dollars are going, we’re aware of the power of our dollars, we’re aware of the cultural significance of the way that we choose to wear our hair,” said Patrice Grell Yursik, the founder of Afrobella, a popular natural-hair blog. “There’s been a lot of taking back the power, and a lot of that is from the Internet.”

Pharrell’s Making the Ocean Happy with Fashion Line Using Environmentally Conscious Recycled Plastics

G-Star RAW Presents RAW For The Oceans SS15 CollectionMother Earth is certainly “Happy” with Pharrell Williams. The music genius, fashion icon (remember that Arby’s hat), NBC’s “The Voice’s” new judge and king of all things cool has teamed up with “G-Star RAW,” “Bionic Yarn” and “Parley for the Oceans” to make a splash at New York’s Fashion Week.
This past weekend, Pharrell led New York underwater for the ocean night event to unveil the second season in his co-designed collection. Ready for the 2015 Spring/Summer season, this collection is dedicated to helping Mother Earth’s oceans as well as revolutionizing the denim industry.
Pharrell took to the stage to present the environmentally conscious collection. The clothing line seeks not only to make a statement on style, but also to fight plastic pollution in our oceans by using technical innovation. Pharrell said, “Denim is one of the most cherished fabrics on Earth–and one of the most traditional. With ‘RAW for the Oceans,’ we have created its next generation.”
The collection is a creative collaboration among “G-Star,” “RAW for the Oceans” and “Bionic Yarn.” “Bionic Yarn” develops and manufactures premium yarns and fabrics made with fibers derived from recycled plastic bottles. They have joined forces to innovate denim while making a serious impact on plastic bottles. Plastic bottles, you see, often end up in our oceans. The collaboration hopes to address the fast-growing threat of plastic pollution by retrieving plastic debris from the beaches and oceans and recycling it into yarn and fabric. The collaboration also urges awareness for the pollution problem and encourages people to support the cause by becoming a part of the solution.
article by Melissa Unger via act.mtv.com

Hawks Owner Bruce Levenson To Sell Team After Telling NBA About Racially Charged 2012 Email

Screen Shot 2014-09-09 at 6.44.19 PM ATLANTA (AP) — Less than one month after the Clippers’ sale ended Donald Sterling’s ugly downfall, another NBA team is on the market following a racially charged disclosure from its owner.
Atlanta Hawks co-owner Bruce Levenson said Sunday he is selling his controlling interest in the team, thanks in part to an inflammatory email he wrote two years ago.
Levenson said he wrote the email in an attempt “to bridge Atlanta’s racial sports divide.” Instead, he offered his divisive comments, including his theory that Hawks black fans kept white fans away.
Levenson said he regrets the email sent to the team’s co-owners and general manager Danny Ferry in 2012 as “inappropriate and offensive.” In a statement released by the team, Levenson said he sent the email due to his concerns about low attendance and a need to attract suburban whites.
He says he later realized the email made it seem white fans were more important. He voluntarily reported the email to the NBA.
“I have said repeatedly that the NBA should have zero tolerance for racism, and I strongly believe that to be true,” Levenson said in the statement. “That is why I voluntarily reported my inappropriate email to the NBA.
“After much long and difficult contemplation, I have decided that it is in the best interests of the team, the Atlanta community, and the NBA to sell my controlling interest in the Hawks franchise.”
Screen Shot 2014-09-09 at 6.44.30 PMNBA Commissioner Adam Silver said Sunday the league will work with the Hawks’ ownership group and CEO Steve Koonin, who now will oversee all team operations.
Silver said the league’s independent investigation “regarding the circumstances of Mr. Levenson’s comments” in the email was ongoing when he was told Saturday night of Levenson’s plan to sell his share of the team.
Silver said he supported Levenson’s decision.
“As Mr. Levenson acknowledged, the views he expressed are entirely unacceptable and are in stark contrast to the core principles of the National Basketball Association,” Silver said. “He shared with me how truly remorseful he is for using those hurtful words and how apologetic he is to the entire NBA family — fans, players, team employees, business partners and fellow team owners — for having diverted attention away from our game.
“I commend Mr. Levenson for self-reporting to the league office, for being fully cooperative with the league and its independent investigator, and for putting the best interests of the Hawks, the Atlanta community, and the NBA first.”
Sterling was forced to sell the Los Angeles Clippers after a recording surfaced in April of the owner scolding his girlfriend for bringing black men to Clippers games. Steve Ballmer officially became the team’s new owner on Aug. 12.

Chris Rock Lands $12.5 Million Deal with Paramount for His New Film "Top Five"

Top Five Toronto Film Festival

Paramount is about to finalize what will likely be the biggest deal of this year’s Toronto Film Festival: a whopping $12.5 million for the Chris Rock comedy “Top Five.”  The studio, which is acquiring worldwide rights to the movie, has also agreed to spend $20 million on marketing.

The Scott Rudin-produced film, which Rock stars in and directs about a day in the life of a comedian movie star, premiered in Toronto on Saturday night and sparked a fierce bidding war among several studios.
The film’s budget was north of $10 million.  Buyers interested in the film included CBS Films, Sony, Open Road and Relativity.
Part of the concern for potential buyers is that with a substantial promotional commitment and Rock’s limited international following, the film would be almost wholly dependent on its domestic box office in order to make a profit. However, the film was enthusiastically received by audiences at Toronto and knowledgeable insiders say it has real commercial potential.
Paramount makes sense because the studio’s chief, Brad Grey, has a longstanding relationship with Rock.
article by Brent Lang and Ramin Setoodeh via Variety.com

Nike Megadeal Secures Kevin Durant’s Place With Shoe Brand

Kevin_Durant
It may have taken them longer than usual, but Nike knows a good thing when it sees it regarding Kevin Durant.
According to reports, the shoemaker put an end to speculation of the NBA star jumping ship to Under Armour by presenting a deal with an overall value that could rise to $300 million or more if his business continues to rise.
Under Armor’s deal with Durant, which he was on the verge of signing, involved an offer between $265 million and $285 million. Considering a possible transition to the Washington Wizards when he becomes a free agent after the 2015-16 season, Oklahoma City Thunder fans were a bit on edge about the move to Under Armour.
Sources tell ESPN that Nike countered it’s rival’s deal with its high-value offer to Durant and the belief that it will keep the Oklahoma City Thunder star for the next 10 years. Durant’s current seven-year deal with Nike for a guaranteed $60 million is expiring.  Initially, the company, offered Durant about $20 million a year in a deal that was far from what he had in mind. Hence, the appeal of Under Armor.
ESPN reports that Nike officials told Durant and his team at Jay Z‘s Roc Nation Sports on Saturday that it would step up enough to allow Nike to keep him in its robust stable of basketball endorsers that includes LeBron James and Kobe Bryant.  Although the exact Nike offer for Durant isn’t known, sources revealed to ESPN that Durant should make more — in base and royalties — than the Thunder will pay him over the next two seasons ($41.2 million).
Despite the big payday, sources close to Durant say the decision of which company he would align with weighed on him. A return to Nike, the sources noted, comes with a sense of relief because Durant can still make significant money without being associated with the risks of Under Armour’s fledgling shoe business.
SportsOneSource, a market retail-tracking firm, noted that Durant’s signature “KD” shoes made $175 million at retail this past year. Although Nike had used the “KD” logo since 2008, the company was granted the trademark for the brand in January.
With Durant staying with Nike, Under Armour now finds itself back at square one. The shoe company, which acquired Golden State Warriors guard Stephen Curry away from Nike last year, missed out on Los Angeles Clippers forward Blake Griffin, who returned to the Jordan brand.
Read more at http://www.eurweb.com/2014/09/nike-megadeal-secures-kevin-durants-place-with-shoe-brand/#QiAm4yXxrVsROQP9.99

Macy’s Settles Racial Profiling Probe With New York State for $650,000

176518936-sign-hangs-above-macys-in-the-magnificent-mile-shopping
(SCOTT OLSON/GETTY IMAGES)

Macy’s is coughing up $650,000 to settle accusations of racial profiling against its store in New York City’s Herald Square, the Associated Press reports.

The retail giant signed on to an agreement on Tuesday with the attorney general of New York. Macy’s agrees to adopt new policies against profiling, train its employees, treat customer complaints seriously and better record any detentions made, the newswire reports.
Macy’s is also required to post a “customer’s bill of rights” in English and Spanish in all of its stores in the state as well as on its website.
“It is absolutely unacceptable—and it’s illegal—for anyone in New York to be treated like a criminal simply because of the color of their skin,” New York Attorney General Eric Schneiderman said in light of the settlement.
According to AP, the investigation into the store’s treatments of its customers of color began in February 2013, following several complaints from black and Latino customers, among others. Some of the complaints dated back as far as 2007, detailing customers’ claims they were detained at the stores even though they had not stolen or tried to steal anything.
Some customers who were not fluent in English were not allowed to make phone calls, were denied an interpreter and were made to sign trespass notices that they did not understand, AP notes.
“To be clear, our company’s policies strictly prohibit any form of discrimination or racial profiling, and any occurrence of such behavior will not be tolerated in our organization,” Macy’s reiterated in its own statement. “Moving forward, our company will be initiating a series of measures including enhanced training and education for our loss prevention and sales associates. We also will be adopting an expanded role for our security monitor to help ensure that we have the right policies and procedures in place, and that we are constantly reviewing our compliance with them.”
This news comes shortly after luxury retailer Barneys New York agreed to a settlement, this time for $525,000, to deal with its own accusations of racial profiling.
Read more at ABC News.
article by Breanna Edwards via theroot.com

Intel, 50 Cent Pair Up on Headphones That Can Measure Your Heart Rate

Curtis "50 Cent" Jackson attends an autograph signing event at SMS Audio.
Curtis “50 Cent” Jackson attends an autograph signing event at SMS Audio. (Marcel Thomas | FilmMagic | Getty Images)
Chipmaker Intel and SMS Audio, the consumer electronics company founded by 50 Cent, are partnering to launch a pair of heart-rate-measuring headphones.
The SMS Audio BioSport In-Ear headphones have an optical light sensor in the earbuds that, combined with other sensors, infer the wearer’s heart rate during both intense exercise sessions and regular, continuous wear.
Unlike LG’s heart-rate monitoring earphones, the Intel-SMS earphones pull power from your smartphone’s audio jack, which means there’s no additional charging required. And rather than requiring the user to go through a proprietary app, these earphones integrate directly with popular app RunKeeper. The companies say there are likely more app integrations coming.
The BioSport In-Ear headphones will launch sometime in the last quarter of the year. Pricing has not been announced.
For SMS Audio, the partnership with tech giant Intel and the new product are part of an effort to gain traction in a crowded headphone market. NPD analyst Ben Arnold has said that, while the premium headphone market has grown 16 percent over the past year, SMS Audio’s dollar share has shrunk to less than one percent. The company’s headphones, which range in price from $70 to more than $200, have gotten mixed reviews.
For Intel, it’s another step in the wearables market. At the International CES earlier this year, Intel revealed a variety of small-device prototypes, seemingly intent not to miss the early wearable wave the way it did with mobile.  In May, Intel showed off a “smart” shirt, embedded with sensors and conductive fibers, that it expects could ship sometime next year.
And just yesterday, the company announced it had teamed up with the Michael J. Fox Foundation to launch wearable devices that would monitor and gather data around Parkinson’s disease. That data will be shared with researchers, who will study the effects of Parkinson’s medications on motor skills.
By Lauren GoodeRe/code.net.

Barneys Agrees to Pay $525,000 to Settle Racial Profiling Allegations after Civil Rights Review

NYC PAPERS OUT. Social media use restricted to low res file max 184 x 128 pixels and 72 dpi
(Photo Credit: CHRISTIE M FARRIELLA/FOR NEW YORK DAILY NEWS)

Barneys New York has agreed to pay $525,000 to settle allegations that the upscale retailer deliberately targeted minorities entering its Madison Ave. flagship store.
State Attorney General Eric Schneiderman’s investigators heard from customers and former employees that a pattern of racial profiling began last year when the high-end store tried to crack down on a dramatic spike in shoplifting and credit card fraud.
Complainants told Schneiderman’s civil rights division that the store’s security team — known as the “loss prevention unit” — made a habit of keeping watch over black and Hispanic shoppers in disproportionate numbers.
“This agreement will correct a number of wrongs,” said Schneiderman, “both by fixing past policies and by monitoring the actions of Barneys and its employees to make sure that past mistakes are not repeated.”


Trayon Christian, 19, says he was accused of fraud after buying a $349 Ferragano belt at Barneys in April 2013.
Trayon Christian, 19, says he was accused of fraud after buying a $349 Ferragano belt at Barneys in April 2013. (Aaron Showalter/New York Daily News)

Kayla Phillips, 21, was accused  of credit card fraud after buying a $2,500 Celine bag February 2013.
Kayla Phillips, 21, was accused  of credit card fraud after buying a $2,500 Celine bag February 2013.

In a 27-page settlement document signed by both parties Friday, Schneiderman released a series of findings from a nine-month review based on interviews with nearly a dozen complainants in the so-called shop-and-frisk case, including shoppers and former employees.
They alleged that black and Hispanic customers were unfairly targeted when they entered the pricey store at 660 Madison Ave.
The store’s own data showed that from October 2012 through October 2013, black and Hispanic shoppers were detained “at rates far greater than their percentage of the store’s customer base.”
The review began this past October in response to a series of Daily News articles exposing numerous complaints about racial profiling at Barneys and Macy’s.
Schneiderman’s review of Macy’s continues, but Barneys executives last week agreed to the settlement.
As part of the deal, Barneys agreed to pay the $525,000 in fines and legal expenses, to hire an “anti-profiling consultant” for two years, to update its detention policy and to improve training of security and sales personnel.
article by Greg A. Smith via nydailynews.com

Doc McStuffins Merchandise Garners $500 Million in Sales, Record for Toy Line Based on African-American Character

Natalie Elisabeth Battles, 3, of Arkansas, with her Doc McStuffins toys. She sometimes wears a doctor’s coat to preschool. (Credit: Jacob Slaton for The New York Times)

Jade Goss, age 2, looks as if she just stepped out of the wildly popular “Doc McStuffins” cartoon.  “She has the Doc McStuffins sheets. She has the Doc McStuffins doll. She has the Doc McStuffins purse. She has Doc McStuffins clothes,” said Jade’s mother, Melissa Woods, of Lynwood, Calif.

“I think what attracts her is, ‘Hey, I look like her, and she looks like me,’ ” Ms. Woods said of the character, an African-American child who acts as a doctor to her stuffed animals.

With about $500 million in sales last year, Doc McStuffins merchandise seems to be setting a record as the best-selling toy line based on an African-American character, industry experts say.  Its blockbuster success reflects, in part, the country’s changing consumer demographics, experts say, with more children from minority backgrounds providing an expanding, less segregated marketplace for shoppers and toymakers.

DocMcStuffinsBut what also differentiates Doc — and Dora the Explorer, an exceptionally popular Latina character whose toy line has sold $12 billion worth of merchandise over the years, Nickelodeon executives say — is her crossover appeal.  “The kids who are of color see her as an African-American girl, and that’s really big for them,” said Chris Nee, the creator of Doc McStuffins. “And I think a lot of other kids don’t see her color, and that’s wonderful as well.”

Nancy Kanter, general manager of Disney Junior Worldwide, which developed “Doc McStuffins” — and who suggested the character be African-American in the first place — said Doc’s wide-ranging fan base could be gleaned from a spreadsheet. “If you look at the numbers on the toy sales, it’s pretty obvious that this isn’t just African-American families buying these toys,” Ms. Kanter said. “It’s the broadest demographics possible.”

BUSINESS: 20 Black Angels Worth Knowing For Minority Startups

FUBU Founder and "Shark Tank" Investor Daymond John
FUBU Founder and “Shark Tank” Investor Daymond John

Daymond John helped revolutionize urban fashion in the 1990s as founder, president, and CEO of FUBU (“For Us, By Us”). He guided the iconic brand into a multimillion-dollar business, placing it at the same table with such designer sportswear labels as Donna Karan New York and Tommy Hilfiger.
These days, John is known for being a “shark” on the hit reality series “Shark Tank”. Every Friday night, some seven million viewers tune in to the ABC show that features a panel of investors, or “sharks,” that consider offers from aspiring entrepreneurs seeking capital. John, a member of the cast since the show’s premiere in 2009, along with four other prominent chief executives listens to business pitches (a contestant’s one-hour pitch is edited down to a 10-minute segment) from everyday people hoping to take their company or product to new heights. Using their own money, the sharks have invested more than $20 million, having completed more than 30 deals with an average valuation of $250,000. John is the show’s second leading investor.
Studies show that African American-owned firms are less likely to receive angel investment. In the first half of 2013, only 8.5% of startups pitching to angels were minority-owned; 16% were women-led, according to a report by the Center for Venture Research at the University of New Hampshire. Only 15% of those minority-owned businesses successfully got funded, while 24% of the female entrepreneurs received angel investments. Moreover, ethnic minorities account for less than 5% of the angel population.