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Firm entry and institutional lock-in: an organizational ecology analysis of the global fashion design industry

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  • Rik Wenting
  • Koen Frenken

Abstract

Few industries are more concentrated geographically than the global fashion design industry. We analyze the geography and evolution of the fashion design industry by looking at the yearly entry rates at the city level. In contrast to other industry studies, we find that legitimation processes operate locally and competition processes globally. This result points to the rapid turnover of ideas in the fashion design industry on the one hand and the global demand for fashion apparel on the other hand. We attribute the decline of Paris in the post-war period to "institutional lock-in," which prevented a ready-to-wear cluster to emerge despite the presence of the haute couture cluster. An extended organizational ecology model provides empirical support for this claim. Copyright 2011 The Author 2011. Published by Oxford University Press on behalf of Associazione ICC. All rights reserved., Oxford University Press.

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  • Rik Wenting & Koen Frenken, 2011. "Firm entry and institutional lock-in: an organizational ecology analysis of the global fashion design industry," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 20(4), pages 1031-1048, August.
    • Handle: RePEc:oup:indcch:v:20:y:2011:i:4:p:1031-1048
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    1. Luciana Lazzeretti & Francesco Capone, 2017. "The transformation of the Prato industrial district: an organisational ecology analysis of the co-evolution of Italian and Chinese firms," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 58(1), pages 135-158, January.
    2. Ron Boschma & Koen Frenken, 2015. "Evolutionary Economic Geography," Papers in Evolutionary Economic Geography (PEEG) 1518, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised May 2015.
    3. Victo José da Silva Neto & Tulio Chiarini & Leonardo Costa Ribeiro & Igor Santos Tupy, 2022. "The global geography of digital platforms: towards platforms international locational determinants," Textos para Discussão Cedeplar-UFMG 650, Cedeplar, Universidade Federal de Minas Gerais.
    4. Malin Arve & Claudine Desrieux & Romain Espinosa, 2023. "Entrepreneurial intention and resilience: An experiment during the Covid‐19 lockdown," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(2), pages 698-715, March.
    5. Han Chu & Robert Hassink, 2023. "Advancing spatial ontology in evolutionary economic geography," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 16(3), pages 391-404.
    6. Gong, Huiwen & Hassink, Robert, 2016. "What drives the geographies of creative industries? From literature review to research agenda," Papers in Innovation Studies 2016/9, Lund University, CIRCLE - Centre for Innovation Research.
    7. Paige Clayton & Maryann Feldman & Benjamin Montmartin, 2024. "Entrepreneurial finance and regional ecosystem emergence," Small Business Economics, Springer, vol. 62(4), pages 1493-1521, April.
    8. Andrea Morrison & Ron Boschma, 2019. "The spatial evolution of the Italian motorcycle industry (1893–1993): Klepper’s heritage theory revisited," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 28(3), pages 613-634.
    9. Pattaresa Neawnan & Komsan Suriya, 2012. "Factors driving fashion design industry: Key success factors of Thai designers’ brands," The Empirical Econometrics and Quantitative Economics Letters, Faculty of Economics, Chiang Mai University, vol. 1(2), pages 71-80, June.
    10. Castaldi, Carolina, 2018. "To trademark or not to trademark: The case of the creative and cultural industries," Research Policy, Elsevier, vol. 47(3), pages 606-616.
    11. Gornostaeva, Galina, 2023. "The development of digital commerce in the fashion industry: The typology of emerging designers in London," Technological Forecasting and Social Change, Elsevier, vol. 186(PA).
    12. Ron Boschma & Ron Martin, 2010. "The Aims and Scope of Evolutionary Economic Geography," Chapters, in: Ron Boschma & Ron Martin (ed.), The Handbook of Evolutionary Economic Geography, chapter 1, Edward Elgar Publishing.
    13. Thomas Brenner & Johann Peter Murmann, 2017. "Using Simulation Experiments to Test Historical Explanations: The Development of the German Dye Industry 1857–1913," Economic Complexity and Evolution, in: Andreas Pyka & Uwe Cantner (ed.), Foundations of Economic Change, pages 433-459, Springer.
    14. Francesca Imperiale & Roberta Fasiello & Stefano Adamo, 2021. "Sustainability Determinants of Cultural and Creative Industries in Peripheral Areas," JRFM, MDPI, vol. 14(9), pages 1-23, September.
    15. Ron Boschma, 2015. "Do spinoff dynamics or agglomeration externalities drive industry clustering? A reappraisal of Steven Klepper’s work," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(4), pages 859-873.
    16. Richard Florida & Charlotta Mellander & Kevin Stolarick, 2010. "Music Scenes to Music Clusters: The Economic Geography of Music in the US, 1970–2000," Environment and Planning A, , vol. 42(4), pages 785-804, April.
    17. Ron Boschma, Lars Coenen, Koen Frenken, Bernhard Truffer & Lars Coenen & Koen Frenken & Bernhard Truffer, 2016. "Towards a theory of regional diversification," Papers in Evolutionary Economic Geography (PEEG) 1617, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jul 2016.
    18. Hao Ren & Rongrong Wang & Suopeng Zhang & An Zhang, 2017. "How Do Internet Enterprises Obtain Sustainable Development of Organizational Ecology? A Case Study of LeEco Using Institutional Logic Theory," Sustainability, MDPI, vol. 9(8), pages 1-21, August.
    19. Rik Wenting & Oedzge Atzema & Koen Frenken, 2011. "Urban Amenities and Agglomeration Economies? The Locational Behaviour and Economic Success of Dutch Fashion Design Entrepreneurs," Urban Studies, Urban Studies Journal Limited, vol. 48(7), pages 1333-1352, May.

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