Swatch has issued an apology and retracted an advertisement featuring a model making a gesture that critics likened to the derogatory "slanted eyes" stereotype associated with Asian people. The ad quickly gained traction on Chinese social media, provoking calls for a boycott of Swatch products. In a statement, the company acknowledged the backlash and pledged to address the concerns seriously: "We sincerely apologize for any distress or misunderstanding this may have caused." However, the apology did little to placate critics, with many users expressing that Swatch's concern appears more focused on its bottom line than on genuine respect for cultural sensitivities. One commenter voiced discontent, stating, "You can apologize, but I will not forgive," while others called for a full boycott due to perceived discrimination against the Chinese market, where Swatch derives about 27% of its revenue. Swatch's situation reflects a broader trend in which brands have faced backlash for culturally insensitive representations, as seen in previous boycotts against global brands like H&M and Nike over similar issues. With the recent economic downturn in China, Swatch's market position could be severely affected by this incident, reminiscent of past controversies that led to significant reputational damage and financial loss for brands operating in the region.

In a climate increasingly intolerant of cultural insensitivity, Swatch's experience serves as a critical reminder for global brands navigating diverse markets.