Da Impresa Radicata nel Territorio a Rete Globale. La Ristrutturazione del Gruppo Benetton
[Towards a Global Network. Competition and Restructuring of the Benetton]
AbstractThis paper investigates the strategy changes of the Benetton Group who have been facing severe intense competition in the international fashion market since the mid nine-ties. New competitors, in particular the European brands Zara, Mango and H&M, have challenged the Benetton position in the Italian and European clothing market, pushing the Group from Ponzano towards adopting politics of cost reduction through globalisation of its suppliers. Benetton has always been considered a vertically integrated producer which controls (in different ways) the whole value chain from textile raw materials to consumer sales. Until 2000, Benetton produced its goods in its own factories and through a vast network of national sub-contractors mainly specialising in the sewing phase. Today, Benetton has drastically changed its strategy, almost completely abandoning Italy with a chain of value organised around a dual supply chain: fast productions are delegated to closer locations (Eastern Europe and Northern Africa) while locations further afield are commissioned for more standardised products and accessories (Asia). This article also discusses the impact these choices of productive de-localisation abroad have made on the Treviso apparel district, where Benetton's traditional subcontractors have been drastically curtailed. Benetton restructuring marks the transition to a new net-work of competences between agents.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 12553.
Date of creation: 01 Nov 2008
Date of revision:
Publication status: Published in Economia e società regionale 3.103(2008): pp. 58-84
Global value chains; Benetton; Apparel; Clothing; District;
Other versions of this item:
- Giuseppe Tattara & Paolo Crestanello, 2008. "Da impresa radicata nel territorio a rete globale. La ristrutturazione del gruppo Benetton," ECONOMIA E SOCIETÀ REGIONALE, FrancoAngeli Editore, FrancoAngeli Editore, vol. 2008(3).
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- L67 - Industrial Organization - - Industry Studies: Manufacturing - - - Other Consumer Nondurables
- L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-01-10 (All new papers)
- NEP-HIS-2009-01-10 (Business, Economic & Financial History)
- NEP-MKT-2009-01-10 (Marketing)
- NEP-SEA-2009-01-10 (South East Asia)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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- Finger, J M, 1976. "Trade and Domestic Effects of the Offshore Assembly Provision in the U.S. Tariff," American Economic Review, American Economic Association, American Economic Association, vol. 66(4), pages 598-611, September.
- Mariarosaria Agostino & Jeffrey B. Nugent & Domenico Scalera & Francesco Trivieri & Anna Giunta, 2011. "Firm Productivity, Organizational Choice and Global Value Chain," Working Papers, Basque Institute of Competitiveness 2011R09, Basque Institute of Competitiveness.
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