Do Won Chang immigrated to Los Angeles from South Korea in 1981 with his wife Jin Sook and $11,000 in savings. He spoke no English. Despite having been a teacher in Korea, he couldn’t find professional work in America. He worked as a janitor, pumped gas, and cleaned floors for three years, living in a cramped apartment and struggling to survive. He watched wealthy people and noticed something: they worked in fashion. In 1984, with no retail experience and barely enough English to communicate, he and Jin Sook opened a tiny 900-square-foot clothing store in Los Angeles. They called it ‘Fashion 21.’
The Turning Point
The first store struggled initially, but Do Won noticed that fast fashion was working in Europe with brands like Zara and H&M. He realized American teens wanted trendy clothes quickly and cheaply. While traditional retailers took months to design and manufacture, he could turn around styles in weeks by copying runway trends and producing them cheaply overseas. The breakthrough came when they rebranded to ‘Forever 21’ and expanded aggressively. Their formula: trendy designs, rock-bottom prices, and massive stores that felt like treasure hunts. Young women loved the constantly changing inventory.
The Strategy
Do Won’s strategy was fast fashion on steroids: copy trends immediately, price aggressively, and expand relentlessly. He kept the business family-owned and private, avoiding investor pressure and maintaining total control. He leased massive retail spaces in prime locations, creating ‘forever 21 experiences’ rather than just stores. He also targeted young women aged 18-35 who wanted to look fashionable without spending much. His supply chain was ruthlessly efficient—designs went from runway to store floor in 2-3 weeks. He constantly refreshed inventory, making customers return frequently to find new items.
The Results
At its peak in 2015, Forever 21 generated $4.4 billion in annual revenue, operated 800+ stores globally, and was valued at $6 billion. Do Won and Jin Sook Chang became billionaires, one of the greatest immigrant success stories in American retail. Though Forever 21 later filed for bankruptcy in 2019 due to changing retail trends and e-commerce disruption, the Changs’ journey from janitor to billionaire remains inspirational. They proved that immigrants with no connections, limited English, and humble beginnings can build retail empires through hard work and smart strategy.
