Dumbest moments in business

Companies continue to make some pretty stupid mistakes, and this year didn't disappoint. Here are the worst moments of 2013.

Lululemon's pants fiasco

dumbest moments in business lululemon

It was bad enough that Lululemon (LULU) was forced to recall 17% of its women's pants in March due to an unacceptable "level of sheerness." But when you have a faulty product, it's usually best not to imply your customers are too fat to wear them.

That's essentially what co-founder Chip Wilson did. Lululemon had worked to get new pants on the shelves quickly after the recall, but customers complained about excessive pilling, particularly in the thighs. So in a November interview, Bloomberg Television's Trish Regan asked Chip and Shannon Wilson about the issues.

Chip had a simple answer: "Some women's bodies just don't work for it."

"They don't work for the pants?" Regan replied incredulously.

A clearly discomfited Shannon jumped in to explain that extenuating circumstances like "sitting on a cement ground" might damage the pants. She shot Chip a sidelong glance, which he seemed to ignore. Chip later apologized for the comments and announced in December that he's stepping down as company chairman. - J.P.

Watch: Lululemon's see-through apology

- Last updated December 18 2013 06:38 AM ET
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