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Vertical Integration and Rapid Response in Fashion Apparel

Author

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  • James Richardson

    (College of Business Administration, University of Hawaii at Manoa, 2404 Maile Way, Honolulu, Hawaii 96822)

Abstract

Fashion apparel is a highly competitive business where product life is short and differentiation advantages are built on brand image and product styling that can be quickly imitated. Over the past two decades, competition on price and quality has intensified as low cost global manufacturing became available to even small competitors. Recently, competition has shifted to the arena of timing and know-how where vertically integrated firms gained the lead in implementing a set of process innovations known as ‘quick response,’ designed to shorten the production cycle. Less integrated firms have begun to erode that advantage, but the integrated firms that have linked quick response into retailing continue to have superior capabilities. These firms demonstrate the elements of organization needed to link flexible and fast cycle manufacturing with rapid learning about demand and customer satisfaction.

Suggested Citation

  • James Richardson, 1996. "Vertical Integration and Rapid Response in Fashion Apparel," Organization Science, INFORMS, vol. 7(4), pages 400-412, August.
    • Handle: RePEc:inm:ororsc:v:7:y:1996:i:4:p:400-412
    DOI: 10.1287/orsc.7.4.400
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