Building apparel manufacturing competitiveness through policy–a system dynamics approach
Journal of Fashion Marketing and Management
ISSN: 1361-2026
Article publication date: 26 May 2020
Issue publication date: 18 June 2020
Abstract
Purpose
The purpose of this paper is to examine the role of Government via its industrial policy aimed at building competitiveness in apparel manufacturing in a developing country.
Design/methodology/approach
A conceptual framework that proposes the causal relationships between policies and competitiveness is applied to the apparel manufacturing sector in Trinidad and Tobago. The study utilises primary data from interviews and observations, and secondary data sources inclusive of industry and fashion companies reports. Data analysis of four vertical policies is performed via the use of system dynamics modelling and simulation.
Findings
The four vertical policies were found to impact three interrelated elements in the apparel manufacturing sector: the market, apparel products and productive resources. Policies that intentionally focussed on improving market attractiveness benefited wide segments of the industry. However, policies that focussed on product and resource attractiveness that were designed as direct support for selected firms had a lower impact on overall industry competitiveness than those that had an industry-wide focus.
Research limitations/implications
A single industry in a small developing island state limits the generalisability of the research findings. Additionally, non-reporting of export data and aggregation of industry data limits the conclusions that can be drawn regarding the impact of the vertical policies on the apparel industry. 10; 10;
Practical implications
Policy-makers should consider the scope of the vertical policies in terms of the number of firms in the industry to benefit, and the need for complementary horizontal policies for creating enabling environments for competitiveness.
Originality/value
The paper proposes a conceptual framework to capture relationships between vertical policy and competitiveness.
Keywords
Citation
Wilson, S. (2020), "Building apparel manufacturing competitiveness through policy–a system dynamics approach", Journal of Fashion Marketing and Management, Vol. 24 No. 2, pp. 277-302. https://doi.org/10.1108/JFMM-10-2019-0243
Publisher
:Emerald Publishing Limited
Copyright © 2020, Emerald Publishing Limited