Navigating New York Fashion Week: Emerging Brands Face Challenges Amidst Economic and Cultural Shifts

As New York Fashion Week (NYFW) unfolds, the atmosphere is charged with both creativity and tension. Emerging brands are grappling with a complex landscape shaped by political and economic uncertainties in the United States. The intersection of cultural relevance and commercial viability has never been more critical, especially for underrepresented founders striving to turn influence into sustainable income.

The Impact of Political Climate on Emerging Brands

The rollback of corporate diversity, equity, and inclusion (DEI) initiatives, particularly following the Trump administration’s executive orders, has significantly altered the terrain for emerging brands. This shift has been particularly detrimental to businesses led by Black, Indigenous, and People of Color (BIPOC) founders. The fashion industry is witnessing a stark transformation: Pride collections have shifted from vibrant rainbow palettes to muted tones, and major retailers like Target have retreated from their diversity commitments. DEI professionals are now rebranding themselves, distancing from discussions around race and gender to secure contracts in a changing environment.

The economic pressures are equally daunting. High-profile closures, such as the cosmetic brand Ami Colé, which shuttered despite being featured in over 600 Sephora stores, highlight the precarious position of Black-owned beauty brands. Additionally, tariffs imposed on imports from China and Vietnam have disproportionately affected these businesses, with salon owners reporting price hikes for hair extensions from $190 to $290 per package. This has forced many to either pass the costs onto customers or absorb the losses themselves.

Resilience Through Support Networks

Despite these challenges, organizations like RaiseFashion are making strides to support underrepresented designers. By providing grants, pro-bono advisory services, and networking opportunities, RaiseFashion is adapting its approach to meet the current moment. The nonprofit has successfully supported alumni who have secured collaborations with major brands like Louis Vuitton and Abercrombie & Fitch, demonstrating that pathways to success remain viable, albeit requiring innovative strategies.

Rachel Scott, founder of the brand Diotima and recently appointed Creative Director of Proenza Schouler, serves as a prime example of this success. Scott joined RaiseFashion’s masterclass program four years ago, where she received crucial strategic support and grant funding.

Felita Harris, RaiseFashion’s executive director and co-founder, recently hosted a panel during NYFW featuring industry leaders such as Carey Krug, Chief Marketing Officer of Abercrombie & Fitch, and Halah AlQahtani, Senior Director at Glossier Inc. The panel, moderated by Sheena Butler-Young from the Business of Fashion (BoF), addressed the pressing challenges faced by emerging brand founders and creatives.

Insights from Industry Leaders

The panel, titled “From Visibility to Viability: How Emerging Brands Turn Cultural Capital into Business Success,” explored how emerging brands can navigate the current landscape. Halah AlQahtani emphasized the difficulties faced by new businesses in securing funding, noting that less than 1% of venture capital funding goes to Black founders, a trend that continues to decline.

Marc Farrell, founder and CEO of Ten To One Rum, remarked on the cautious atmosphere in 2025, stating, “Everyone is trying to make sense of a new world order.” He believes that this challenging environment will ultimately lead to the emergence of iconic brands, much like those that have risen from past adversities.

Carey Krug highlighted the importance of inclusivity in fostering cultural relevance, stating that larger organizations must support emerging designers to cultivate diverse voices within the industry.

Building Sustainable Business Strategies

The conversation also touched on the necessity of developing robust business strategies beyond compelling storytelling. AlQahtani pointed out that while many emerging brands have strong consumer interest, they often lack the funding and resources needed to succeed. She noted that gaining entry into major retailers like Sephora requires significant inventory and capital, which can be a daunting hurdle for smaller brands.

Jalem Getz, founder of the technology agency Fluency, encouraged emerging entrepreneurs to embrace their unique stories while also focusing on the economics of their businesses. He emphasized that consumers often associate higher prices with greater value, suggesting that brands should not shy away from establishing healthy profit margins.

Leveraging Minimal Resources for Competitive Advantage

In a world where many entrepreneurs feel pressured to present a perfect product, Farrell advised against waiting for perfection. He encouraged creators to share their work early and seek guidance, as this can save time and prevent unnecessary heartache.

Halah AlQahtani echoed this sentiment, urging founders to be discerning about how they raise capital. She emphasized that building a brand today can be achieved with minimal budgets, allowing for agility and responsiveness to customer needs.

Embracing Authenticity Without Limitations

The panelists also discussed the importance of embracing one’s authentic story without allowing identity to become a limiting factor. Krug shared a poignant conversation with her CEO, who emphasized that while her identity as a woman is significant, it should not define her role as a CEO. This perspective encourages leaders to hold themselves to the same standards as their peers, regardless of gender.

Farrell added that while it is essential to acknowledge one’s identity, it should not be the sole narrative. He encouraged founders to redefine their purpose and quality beyond racial or ethnic labels, emphasizing the importance of a broader customer base.

Conclusion: A Path Forward for Emerging Brands

As New York Fashion Week continues, the challenges faced by emerging brands are evident. However, the resilience and creativity of these founders, supported by organizations like RaiseFashion, offer a glimmer of hope. By navigating the complexities of the current landscape, embracing their authentic stories, and developing sustainable business strategies, these brands can carve out a path to success. The future of fashion may very well depend on their ability to adapt and thrive amidst adversity.