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The objective of this paper is to examine the relationship between business model innovation, corporate sustainability, and the underlying organisational values. Moreover, the paper examines how the three dimensions correlate with corporate financial performance. It is concluded that companies with innovative business models are more likely to address corporate sustainability and that business model innovation and corporate sustainability alike are typically found in organisations rooted in values of flexibility and discretion. Business model innovation and corporate sustainability thus seem to have their origin in the fundamental principles guiding the organisation. In addition, the study also finds a positive relationship between the core organisational values and financial performance. The analysis of the paper is based on survey responses from 492 managers within the Swedish fashion industry.

The circular economy model has recently gained a lot of attention worldwide from scientists, business people and authorities. The importance of the transition towards a more circular economy has also been noticed in the European Union. The new regulations provide the enabling framework for the circular economy to flourish. At the same time, although there is no standardized approach to creating a circular economy, while defining appropriate policies, care must be taken that they are suitable for particular industries. The limits of the present linear economy model (take-make-waste) are extremely apparent when examining the textile and clothing industry. The transition to a circular economy requires significant changes in both production and consumption models. This article uses a literature review and industry examples to identify and evaluate challenges faced by the clothing and textile industry in adapting to the circular economy model.

PurposeDigital innovation and circular business model innovation are two critical enablers of a circular economy. A wide variety of digital technologies such as blockchain, 3D printing, cyber-physical systems, or big data also diverges the applications of digital technologies in circular business models. Given heterogeneous attributes of circular business models and digital technologies, the selections of digital technologies and circular business models might be highly distinctive within and between sectorial contexts. This paper examines digital circular business models in the context of the fashion industry and its multiple actors. This industry as the world’s second polluting industry requires an urgent circular economy (CE) transition with less resource consumption, lower waste emissions and a more stable economy.Design/methodology/approachAn inductive, exploratory multiple-case study method is employed to investigate the ten cases of different sized fashion companies (i.e. large, small medium-sized firm (SME) and startup firms). The comparison across cases is conducted to understand fashion firms' distinct behaviours in adopting various digital circular economy strategies.FindingsThe paper presents three archetypes of digital-based circular business models in the fashion industry: the blockchain-based supply chain model, the service-based model and the pull demand-driven model. Besides incremental innovations, the radical business model and digital innovations as presented in the pull demand-driven model may be crucial to the fashion circular economy transition. The pull demand–driven model may shift the economy from scales to scopes, change the whole process of how the fashion items are forecasted, produced, and used, and reform consumer behaviours. The paths of adopting digital fashion circular business models are also different among large, SMEs and startup fashion firms.Practical implicationsThe study provides business managers with empirical insights on how circular business models (CBMs) should be chosen according to intrinsic business capacities, technological competences and CE strategies. The emerging trends of new fashion markets (e.g. rental, subscription) and consumers' sustainable awareness should be not be neglected. Moreover, besides adopting recycling and reuse strategies, large fashion incumbents consider collaborating with other technology suppliers and startup companies to incubate more radical innovations.Social implicationsAppropriate policies and regulations should be enacted to enable the digital CE transition. Market patterns and consumer acceptances are considered highly challenging to these digital fashion models. A balanced policy on both the demand and supply sides are suggested. The one-side policy may fail CBMs that entail an upside-down collaboration of both producers and consumers. Moreover, it is perhaps time to rethink how to reduce unnecessary new demand rather than repeatedly producing and recycling.Originality/valueThe pace of CE research is lagging far behind the accelerating environmental contamination by the fashion industry. The study aims to narrow the gap between theory and practice to harmonise fashion firms' orchestration and accelerate the transition of the fashion industry towards the CE. This study examines diverse types of digital technologies in different circular business models in a homogeneous context of the fashion industry with heterogeneous firm types.

Purpose - The purpose of this paper is to investigate why developing country suppliers are adopting socially sustainable practices and how the implementation process is both impeded and enabled. Design/methodology/approach - A multi-case study approach is adopted based on four ready made garment (RMG) industry suppliers in Bangladesh and the Bangladeshi buying houses of two large UK retailers. The primary mode of data collection is exploratory face-to-face interviews with 14 senior representatives. Findings are later interpreted using the transaction cost economics (TCE) theory lens. Findings - One factor motivating implementation is labour retention - a skilled labour shortage means employees will migrate to other factories if suppliers do not improve certain social standards. Barriers to implementation include a misalignment between the requirements of western codes of conduct and the cultural and socio-economic context in Bangladesh. Enablers include a shift from auditing and monitoring to more open dialogue and trust between buyers and suppliers. The paper also reveals evidence of mock compliance, e.g. suppliers keeping two sets of timesheets, and of the complexities of social sustainability. For example, while some initiatives are unanimously positive, removing child labour from RMG industry suppliers has simply diverted it to other, less regulated and more hazardous industries such as construction. Research limitations/implications - An early, exploratory contribution is provided. The work could be extended, e.g. to other stakeholders such as third-party auditors and Non-Governmental Organisations (NGOs). Practical implications - Being aware of the motivations, barriers and enablers will help multi-national corporations (MNCs) promote good practice and anticipate the challenges they are likely to face in improving the social sustainability of their supply chains. Use of TCE leads to suggesting MNCs need to move beyond immediate suppliers and incorporate tier-two suppliers in implementation efforts. Social implications - Social sustainability improvements should benefit vulnerable workers, help suppliers develop longer term relationships with MNCs, and contribute to economic growth. Originality/value - Most prior studies have been in the context of developed countries and focused on the perspective of the buying firm only.

Why and how do marginalized consumers mobilize to seek greater inclusion in and more choice from mainstream markets? We develop answers to these questions drawing on institutional theory and a qualitative investigation of Fatshionistas, plus-sized consumers who want more options from mainstream fashion marketers. Three triggers for mobilization are posited: development of a collective identity, identification of inspiring institutional entrepreneurs, and access to mobilizing institutional logics from adjacent fields. Several change strategies that reinforce institutional logics while unsettling specific institutionalized practices are identified. Our discussion highlights diverse market change dynamics that are likely when consumers are more versus less legitimate in the eyes of mainstream marketers and in instances where the changes consumers seek are more versus less consistent with prevailing institutions and logics.

Purpose The purpose of this paper is to examine what the term sustainable fashion means from the perspective of micro-organisations, experts, and consumers. Design/methodology/approach This research is qualitative in nature, utilising a multi-methods case study approach (semi-structured interviews, semiotics, questionnaires). Grounded analysis was applied to analyse the data. Findings Findings indicate that interpretation of sustainable fashion is context and person dependent. A matrix of key criteria provides the opportunity to find common elements. Research limitations/implications Due to the nature of this research the sample size is limited and may not be generalised. Data were collected in the UK and are limited to a geographical region. Practical implications An important implication is that defining sustainable fashion is vital in order to avoid challenges, such as greenwashing, which were faced in other industries that have a longer history in sustainable practices. Micro-organisations should take advantage of identifying key sustainable fashion criteria, which will enable them to promote their fashion collections more effectively. Social implications The criteria identified provide assurance for consumers that sustainable fashion is produced with social aspects in mind (fair wages, good working conditions). Originality/value The paper proposes a matrix that allows micro-organisations to clearly identify their collections as sustainable.

Purpose The purpose of this paper is to provide an empirical evidence about the relationship between practices of supply chain management (SCM) and operational performance (OP). Design/methodology/approach Based on a comprehensive literature review, a set of SCM practices has been identified and selected to develop a conceptual model as well as to establish their relationship to companies’ OP. The measurement scales of the practices were developed in four steps: identification and development of initial instrument; personal interviews and Q-sort; large-scale data collection; and large-scale analysis in order to ensure unidimensionality, reliability and validity. Structural equation modeling was used to validate the model with the data were collected in Vietnamese garment enterprises. Findings The study consolidated relationships between the SCM practices and OP. According to the research results, these practices have a “resonant” influence on OP that can explain 52.6 percent variance of this output concept. In particular, customer focus and supplier management both direct and indirect impact on OP while top management support and process control/improvement only have indirect and direct influences on OP, respectively. Research limitations/implications There are some limitations that can guide academics to new lines of future research: to extend the scope of the survey to include different countries and new situations, so results can be generalized; to consider the impacts of the SCM practices on the entire supply chain performance; and to explore additional factors that can further explain OP, such as operational environment, capital, technology, human resource, etc. Practical implications The authors suggest that the SCM practices should be implemented as an integrated system rather than independent practices, in which they interact with each other and improve OP. Originality/value The empirical results of this study provide an evidence to consider the SCM practices as reliable predictors for OP. According to the research, these practices interact with each other and have both direct and indirect effects on OP. In other words, through the mutual interaction among the SCM practices, they have the “resonant” influence on improving OP. Moreover, the proposed research model analyzing the relationship among SCM practices and OP and its validation using the Vietnam garment industry provided valuable insights both from theoretical and practical perspectives.

Small individual sellers and retailers use live streaming as a direct selling channel to demonstrate and sell their products. This study proposes a framework that examines the influence of live streaming attributes on customer trust and intentions to watch and purchase fashion clothing. Drawing on prior literature, we examine an extensive list of 20 live streaming attributes including product attributes, seller attributes, and other related attributes. The study is performed on 476 Thai consumers with diverse demographics. Results show that product quality and price transparency significantly influence customer trust and intentions to watch and purchase, while seller's image of being trustworthy and the quality of seller's Facebook page only show weak relationships. Another finding is that seller pre-announcing their broadcast timing will encourage higher intention to watch. And as expected, the trust in seller positively influences trust in product. These findings suggest opportunities for sellers to focus their attention on important live streaming attributes to develop trust with their customers and increase their customer intentions to watch and purchase. The study concludes with discussion on managerial implications and future work on live streaming commerce for fashion clothing products.

PurposeChatbots represent one of the most relevant trends within the communication settings and the management of relationships with consumers. New generations, such as millennials are favourable to interact with chatbots instead of human service assistants as they recognise the benefit linked to the technological advancements. Based on these premises, the paper intends to investigate what are the main factors affecting the quality of millennials–chatbots relationships and the new generations’ attitude and intention of using them within a specific industry such as the fashion one.Design/methodology/approachIn order to achieve the aim, an online survey based on Likert-scale items from previous research has been implemented to test developed hypotheses. Construct reliability and discriminant validity of the hypothetical research model has been tested. Additionally, a partial least square analysis technique has been used with a bootstrapping technique for evaluating the significance level of path analysis.FindingsA total of 191 responses have been collected. Most of millennials have familiarity with the concept of chatbot (52.4%). Perceived ease of use (PEOU) and perceived usefulness (PU) of chatbots positively influence the attitude towards using them by millennials. Attitude towards using chatbots positively influence the behavioural intention to use chatbots. Finally, also perceived trust and perceived risk affect the behavioural intention to use chatbots.Research limitations/implicationsThis study enriches the stream of research focused on investigating the acceptance of new technologies and their use for the development of high-quality relationships with customers. This study presents some limitations: the research model has been tested by using a convenient sample; then the study has been tailored for investigating millennials' perceptions in a specific industry; finally, the study focused on relational variables as determinants of using chatbots.Practical implicationsThis study provides professionals operating in the fashion industry with practical and managerial insights relating to the perceptions collected among a precise customer cluster represented by millennials.Originality/valueThe paper investigates millennials' perceptions about chatbots within a specific industry related to the fashion system. Additionally, the paper explores at what extent relational variables such as trust and risk could affect the quality of millennials–chatbots relationship.

Do purchasing practices support or undermine the regulation of labor standards in global supply chains? This study offers the first analysis of the full range of supply chain regulatory efforts, integrating records of factory labor audits with purchase order microdata. Studying an apparel and equipment retailer with a strong reputation for addressing labor conditions in its suppliers, the authors show that the retailer persuaded factories to improve and terminated factories with poor labor compliance. However, the authors also find that purchase orders did not increase when labor standards improved. If anything, factories whose standards worsened tended to see their orders increase. Contrary to the conventional wisdom, this “missing middle” in incentives for compliance appears unrelated to any cost advantage of noncompliant factories. Instead, lack of flexibility in supplier relationships created obstacles to reallocating orders in response to compliance findings.