I came across these facts/statistics in the video "A Day Without Dignity," a video about the effects of donating clothing to developing countries.
Fact 1: Handing out free goods out-competes local markets.
Fact 2: Used-clothing imports to Africa caused 50% of the increase in unemployment between 1981 and 2000.
Fact 3: Between 1992 and 2006, 543,000 Nigerian textile workers lost their jobs due to imported clothes donations.
Obviously, TOMS and other companies like them are extremely well-intentioned, but there are huge ramifications to giving away goods.
Social enterprise seems to be a much more effective way to create healthy communities.
Here's a good blog post with more fleshed out thoughts on TOMS.
