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Internationalization patterns in fashion retail distribution: implications for firm results

Author

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  • Alejandro Mollá-Descals
  • Marta Frasquet-Deltoro
  • Maria-Eugenia Ruiz-Molina

Abstract

Fashion retailers have been intensively involved in internationalization processes, leading to an upsurge of some global fashion brands. Notwithstanding, internationalization processes may differ across retailers and also their results in their overseas ventures. This paper aims at shedding additional light on fashion retail internationalization, proposing two objectives: first, it aims at identifying several internationalization patterns in fashion retailing. Second, after identifying several retailer profiles, we test for significant differences in their financial results. With chi-square automatic interaction detection analysis, we identify four groups of retailers whose internationalization patterns, as well as their profits, cash flows and solvency ratios differ significantly. Therefore, internationalization does not always guarantee a good performance for fashion retailers.

Suggested Citation

  • Alejandro Mollá-Descals & Marta Frasquet-Deltoro & Maria-Eugenia Ruiz-Molina, 2010. "Internationalization patterns in fashion retail distribution: implications for firm results," The Service Industries Journal, Taylor & Francis Journals, vol. 31(12), pages 1979-1993, October.
    • Handle: RePEc:taf:servic:v:31:y:2010:i:12:p:1979-1993
    DOI: 10.1080/02642069.2011.540754
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