The concept of power is widespread and it can be easily observed in supplier-retailer studies because in asymmetric exchange relationships, retailers are the powerful side and they are able to set the rules of the game (Hingley et al., 2015). A number of researchers in supply chains (Nyaga et al., 2013, Rindt and Mouzas, 2015) have explored power asymmetry. In asymmetric supplier-buyer relationships, the powerful partner applies its power in two main areas: the strategic and operational areas of the weaker party. This means that the weaker party accepts the control of the powerful party in its business activities in both areas (Johnsen and Ford, 2008). This paper investigates how small suppliers deal with buyer power within the sustainable fashion supply chain. The term sustainable fashion supply chain in this paper reflects Seuring and Muller's (2008, p. 1700) definition who defined the sustainable supply chain 'as the management of material, information and capital flows as well as cooperation among companies along the supply chain while taking goals from all three dimensions of sustainable development.' The paper takes an interaction approach (IMP Group,1982) to develop a better understanding of the application of power by retailers and contributes to Munksgaard, Johnsen and Patterson (2015) call for further research into buyer-supplier relationships. This need for further research is particularly warranted in the area of fashion supply chain relationships in relation to increasing exertion of power by retailers (Oxborrow and Brindley, 2014). The fashion supply chain is characterised by powerful retail buyers and small fashion suppliers. Major retail buyers increasingly appear to gain relative power which adds extra pressure on small supplier firms to sustain their relationships (Hines and McGowan, 2005).
PurposeEsty and Winston (2006) assert that businesses need to adopt 'eco-advantage.' This paper aims to explore the viability of SMEs achieving 'eco-advantage' by considering their understanding of sustainability issues, how they adopt and innovate in terms of sustainability and the benefits and obstacles they face. MethodologyThe research approach is exploratory, comprised of 15 SME embedded cases based in the UK. The cases are participants in short interventions in sustainable product and process design as a part of a university knowledge transfer project, representing the overall case. Cases are based on interviews with company participants and collaborating academics, supplemented by documentary and observational evidence. FindingsThe results build on the work on 'eco-advantage' (Esty and Winston, 2006), highlighting marketing, rather than compliance issues as a catalyst for change. The newly aware SME enters a development process which involves cumulative capabilities, gaining a nascent inner confidence, which includes espousing wider sustainable values and attempts at influencing internal and upstream practices in four dominant ways: use of alternative materials, enhancing recyclability (Sharma et al, 2010), local sourcing, and product to service shift (Maxwell and van der Vorst 2003), though few fully embrace strategic ecological and economic advantage. Obstacles include ephemerality of benefits (Shearlock et al, 2000) and practicalities of implementing internal and supply chain innovations. ImplicationsThe results reveal the scope and challenges for SMEs to adopt more sustainable practices, encompassing innovations and a broad set of capabilities. Further research points to the need to monitor benefits as well as inputs in evaluating sustainability improvements and consider longitudinal business sustainability issues. ValueThe paper informs the emerging debate on sustainability in SMEs, providing a rich source of data to enhance the provision of business support and knowledge transfer activities, where a more holistic and customised approach is required to realise the real environmental and economic benefits accrued from implementing sustainable improvements.P r e -p r i n t Research paper
Purpose: Since the 1990's the fashion industry has reflected the issues generally arising in the manufacturing sector, namely rapid and deep structural changes, the development of new supply chain relationships, ICT impacts and increasing globalisation with the attendant issues of ethical sourcing, off-shoring, new emerging markets and recessionary ripples. This paper focuses on one particular aspect of the fashion industry, namely the apparel sector and in particular 'fast fashion' to explore the issues arising for the SMEs in the supply chain Approach: The research adopts a qualitative methodology and is longitudinal in nature, spanning 5 years from August 2006. The first stage of the research is reported here, where a series of focussed interview scenarios were conducted over an eighteenth month period. The sample of 12 SMEs was a convenience one, drawn from the 30 participants who took part in a business to business event in Leicester, a geographical location which acts as a microcosm of the apparel industry. Interviews were used to elicit narrative data about was what was actually happening in these apparel supply chains. Findings:The apparel supply chain has changed significantly due to recessionary ripples and structural changes. The SMEs have had more success in managing the upstream rather than the downstream relationships and relationships between buyer and suppliers continue to be fractious. Innovation has occurred but is hampered by the relationships that persist. Culture has proved to be a key dimension Implications: There is a lack of research on supply chains, especially, apparel supply chains that focus on reality rather than best practice. The relationships that are exerted in the supply chain and the cultural aspects that influence them have also lacked academic focus.Value: Adds empirical data to the paucity of theoretical work in the area by the construction of a model that articulates the key factors (relationships, innovation and culture) that operate within cluster supply chains. It also identifies the unequal relationships and how SMEs devise strategies to cope or not, to some extent dependent on their culture.
Purpose The apparel industry has acted as a microcosm of global industrial change, exemplified by changes in structure, relationships and technologies. The purpose of this paper is to identify the risk drivers, the changing supply strategies and the relationships suppliers are developing or exiting from, notably because of the increasing power of retailers in the fast fashion sector. Design/methodology/approach The research adopts a qualitative, case study methodology of the Leicester (UK) based suppliers who operate in the fast fashion market. Findings Rich narrative data shows that the apparel supply chain has changed. The small and medium size enterprises (SMEs) have had more success in managing the upstream rather than the downstream, supported by their move towards a more design driven system. This willingness has been motivated by their wish to "own" the relationship with the buyer but this has not always resulted in greater power or returns and relationships have continued to be fractious. Research limitations/implications There is a lack of research on supply chains, especially, apparel supply chains that focus on reality rather than best practice. This paper addresses the power relationships that are exerted in the supply chain and the cultural aspects that influence them, which have hitherto lacked academic focus. Originality/value Adds empirical data to the theoretical work in the area, specifically, the shape of SME supply chains and the nature of risk in supplying fast fashion. It identifies the unequal power base of the supply chain and SMEs strategies for coping, or not, to some extent dependent on their culture
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