How Technology Works in the Fashion Industry - Research Paper Example

How Technology Works in the Fashion Industry Introduction Project The creative leveraging of the ‘spirit of the times’and using it as inspiration for timely, unique, and marketable fashions remains the key to survival for the fashion industry. Increased competition in the industry caused by globalization of the fashion market, however, has made the design and development of financially successful products more difficult (Rudolph, 2012: p32). Technology has emerged as one way of making the fashion industry more efficient, thus improving its bottom line and keeping them competitive. In the fashion industry, the designers and retailers have the responsibility to make new products based on their translation of cultural influences, as well as effectively deliver these products to the consumer (Rudolph, 2012: p32). The proposed research study, therefore, will be developed to enhance understanding of the fashion industry in the post-modern context. Specifically, it will seek to understand how technology has influenced the fashion industry. The last few decades have been possibly the most dynamic for the fashion industry, particularly as technological innovations have made fashion items of all types more accessible to a wider array of consumers (Dawson & Mukoyama, 2014: p20). However, this has also posed a major challenge for retailers in relation to increased competition. From the use of retail catalogues in the mid-1800s, to the use of TV commercials and magazines, to the use of the internet and social media, the fashion industry has always adapted to cultural inclinations in society. With a focus on the retail function in the fashion industry, the study will conduct these investigations using the case study approach to qualitative research inquiry. Questionnaires will be administered to fashion retail managers and executives with the aim of eliciting their opinions and preferences regarding how technology has influenced the retail function in their specific businesses and in the industry as a whole. Research Background Boone and Kurtz (2012: p37) note that the entirely new culture of technology that emerged in the latter years of the 20th century and into the 21st century has truly traversed the economic and physical environments, reaching across economic, cultural, and national borders. Hamilton’s meta-theory divides culture into the social structure, technology, and ideology layers, in which technology refers to a specific culture’s physical artefacts. On the other hand, the social structure refers to how groups come together to complete crucial tasks, while ideology refers to the intellectual force that underlies the specific culture’s behaviour. In this case, changes occurring in the technology layer have a dramatic effect on the other layers of the culture. The fashion industry involves all individuals and companies taking part in the production, creation, sale, and promotion of items with specific functional and aesthetic properties, as well as those triggering reactions in the consumer related to need and desire and adopted by the consumer for only a limited period (Boone & Kurtz, 2012: p37). This industry operates in the industrial society context, which is characterised by a willingness to accept and encourage radical shifts and changes resulting from the deliberate effort of humans, as well as from the influence of anonymous social forces. For fashion retail managers to remain financially successful in such an environment, therefore, they must continue to carefully cultivate the need and desire for the new product. To achieve this, Birtwistle and Moore (2014: p40) argue that the fashion retailer must transfer an abstract force to the new product, which is similar to the force that made the outgoing product gain popularity. The fashion industry today has continued to endure because it is a reflection of change in society, while it also affects the cultural environment that it exists in. As a result, it is important to understand how technology, as the newest force of change in a global world, works in the fashion industry (Birtwistle & Moore, 2014: p40). Research Aim The main aim of the proposed research study will be to investigate development of the fashion industry in the technology age, as well as well as the effect that technology has had on the retail function in the fashion industry. Research Objectives To assess the impact of technology on the supply chain aspect of the fashion retail industry. To assess the impact of technology on the branding process in the fashion retail industry. To assess the influence of technology on the behaviour of consumers in the fashion retail industry. Literature Review and Theoretical Framework Technology and the Supply Chain Nagurney and Yu (2012: p537) state that the modern supply chain in the fashion industry reflects how the industry views the consumer, organising it in a way that satisfies consumer demand. Evolution and changes in supply chain management over the past 20 years have transformed the way in which fashion retailer’s interface with their customers and suppliers, manage the process of demand satisfaction, and conduct business. Given the short fashion season window, fashion retailers have had to take greater control over their supply chains. The supply chain in the fashion industry has increasingly become a business-wide issue, with technology’s increased role in fashion retail meaning the beginning of the end for localised installs and disparate systems (Caniato et al, 2013: p945). As retailers centralise and structure their data centres, the supply chain has extended to become a major driver of modern consumerism. Consumers are now able to engage with fashion retail brands via a range of means, especially as internet technology has opened up the number of channels available to the consumer. Thus, while consumers may still buy their fashion products from street stores, the initial information will be increasingly gathered from further up the supply chain. Tambo (2014: p831) further argues that for the fashion industry to meet the increasingly complex demands of a globalised society there is need to create a single world-view facilitated by distributed order management systems and solutions, which provide supply chains with flexibility needed to execute fulfilment. A holistic perspective on inventory is important for fashion companies looking to be competitive in a multi-channel environment. Customers who shop online, for example, expect to see an extensive inventory and stock visibility in the retail store, which has required retailers to locate out-of-stock items across the entire supply chain (Tambo, 2014: p831). Generally, the ability of consumers to shop online has necessitated increased inventory visibility across the entire supply chain in the fashion industry. Technology and Branding Wigley et al (2013: p253) generally recognise that the use of technology in branding is under-researched; specifically noting that internet branding is still in its formative stage and that while recent research studies on the use of technology in fashion branding have offered useful insights, they still generally only offer practical tips, case studies, and debate. Levy (2014: p187), on the other hand, states that branding principles have undergone minimal change as a result of technological innovations, arguing that use of technology in branding still needs to integrate with and build on branding carried out via other channels. This is because long-term branding involves the creation of value by providing consistent and compelling offers, which are backed by positive client experience that encourages them to return by satisfying their needs (Levy, 2014: p187). In turn, this provides fashion companies with the opportunity to create brand relationships, delivering return business and, in turn, consolidating their brand position and making it harder for the competition to challenge this position. Theng et al (2013: p414) suggest that internet technologies offer an appropriate channel for the development and sustenance of customer relationships, with loyalty marketing strategies like effective customer service and two-way dialogue emerging as an essential brand-building aspect. However, Wigley et al (2013: p255) also note that this loyalty depends on trust by the consumer, which is even more critical in the virtual environment created by internet technologies than in the real world due to lack of personal interactions. Therefore, their suggestion is that internet technologies are only one of several channels that contributes to brand relationship, rather than being the most important channel. It is still important to note that relationship building, service delivery, and marketing communication can all be delivered simultaneously using the internet technology channel (Theng et al, 2013: p414). However, overall, there is little agreement as to the real value of technology on the branding process in the fashion industry. Technology and Consumer Behaviour According to Grewal et al (2012: p3), perhaps the most important consumer behaviour model relates to the decision-making process of consumers, which provides a solid framework for the investigation of technology as it relates to the consumer of fashion products. The consumer goes through five major phases in buying fashion products; need recognition, searching for information, alternatives evaluation, purchase, and evaluation of the purchase. In each of these stages, Das (2015: p331) notes that internet technology can be used to influence the consumer’s decision-making process and, ultimately, consumer behaviour. As traditional modes of advertising evolve to become more personalised, new technology has raised the awareness of consumers as to what is available in the fashion market. With the consumer now able undertake real time research on fashion items from any location, technology has disrupted information searches to the extent that fashion retailers are now required to actively avail information to the consumer (Das, 2015: p332). Comparison engines resulting from internet technology advances, according to Kim et al (2014: p6), have become ubiquitous in the fashion retail industry, making evaluation of alternatives available to the consumer more competitive. In the purchase stage as well, channels via which consumers can buy fashion products have also evolved from online purchasing to smartphone apps and optimised websites, further increasing the alternatives for the consumer in their decision-making process. Moreover, evaluation of fashion items after purchasing, specifically through comments on review sites, social media, and forums are also providing an opportunity for monitoring of consumer behaviour and decision-making process. As a result, a deeper comprehension of consumer purchasing and online habits has become increasingly important to the constant learning by fashion retailers about consumer behaviour (Damminga et al, 2012: p112). However, while there is a wide selection of literature on how fashion retailers can use technology to learn about consumer behaviour and increase sales, there is little research on how the technology actually impacts on consumer behaviour and decision-making process. Theoretical Framework The proposed research study will apply the social impact model, which demonstrates that social impact is attributable to various social forces, including immediacy of an event, strength of the impact source, and the number of sources that actually exert this impact (Harter et al, 2011: p19). Essentially, this model is emphatic on the fact that the impact of significant forces in society increases with a similar increase in the number of sources. By definition, social change involves a succession of occurrences that act to replace the existing patterns in society over time with new ones. The process of social change, as well as the impact that this change has, portends significant implications for the society and its related activities. Social impact theorists believe that various popular indulgences like fashion are a reflection of social, political, economic, and cultural changes (Harter et al, 2011: p19). Moreover, these cultural indulgences also symbolise and express modernity and the spirit of the times. Research Methods Methodology The proposed research study will use the qualitative approach, which explicitly assumes that no single reality exists and, therefore, relies on theory to guide the research process with emerging data suggesting subsequent steps (Bryman & Burgess, 2013: p22). Because there is limited precious knowledge and research on the impact of technology on supply chains, branding, and consumer behaviour in the fashion industry, a qualitative methodology will encourage an inductive perspective that also allows for the development of new theory in fashion retail. Because fashion retailers and consumers impose meaning to fashion items and the fashion environment, rules that may be applicable in studying non-human phenomena may not apply in this case (Bryman & Burgess, 2013: p22). The qualitative approach particularly fits the research problem, which seeks to understand ‘how’ technology works in the fashion industry, rather than the quantitative approach that would have been a better fit if the problem involved investigating the ‘when’ or ‘what” of technology in the fashion industry. Research Design The case study research design will be used in the proposed research study because it allows for the examination of in-depth, purposive or judgmental samples for enhanced understanding of a specific phenomenon, in this case technology in the fashion industry (Yin, 2014: p14). Given the broad nature of this research field, it is important to narrow down the research field to a few researchable examples. Moreover, little is known about the impact of technology on such aspects as consumer behaviour and branding. These challenges are best solved using the case study research design, which Yin (2014: p17) describes as an excellent approach for understanding complex issues by contextually analysing limited conditions or events, as well as their relationships, in detail. Furthermore, this research design extends experience to what has already been discovered from previous research, while also providing an opportunity for the researcher to examine contemporary situations in real life and allowing application of theories and concepts to the contemporary phenomena. Data Collection The proposed study will rely on primary data, which consists of original data that is collected and collated by the individual researcher. According to Brace (2012: p38), primary data is usually collected after gaining insight on the phenomena under study through a review of primary data collected in the past or secondary research, of which the latter will be collected as part of the literature review in the proposed study. Primary data can be collected through various means, although, for this study, questionnaires will be the main data collection instrument. Questionnaires are especially suited for case study research because they provide data-gathering ability to collect qualitative information from individual participant units regarding their opinions, beliefs, knowledge, or attitudes towards or about the phenomenon being investigated (Pickard, 2013: p44). In essence, the questionnaire method of collecting data to be used for this study involves the generation of information through written responses as the primary strategy. One advantage that using questionnaires for this research study will bring is that it is possible to address specific issues in the research process because the research design is under the researcher’s control, which means that it can be altered to fit specific research needs (Brace, 2012: p40). Sampling Procedure As aforementioned, the case study research design usually requires the use of a purposive sample. Purposive sampling is a form of non-probability technique of sampling, where the units being investigated are based on the professional judgment of a researcher (Yang, 2010: p51). In using purposive sampling, the participant units for the study will be selected on the basis of the researcher’s knowledge about the population under study and the study’s purpose. Thus, the subjects will be selected based on a unique characteristic, which in this case is that they are involved in the fashion industry and use technology in their activities within the industry. The target population to be selected using purposive sampling will be retail managers from fashion companies, specifically to understand how technology affects branding and the supply chain, as well as specific consumers of fashion items who use various technologies in order to understand the impact of technology on consumer behaviour. In this case, it is expected that the questionnaires will be distributed to (n=7) retail managers and (n=20) fashion consumers. Eligibility criteria will be based on the use of technology in their activities in the fashion industry for both groups of participants. Conclusion Possible Research Limitations Technology is a very wide field for one researcher to explore and as a result of time constraints, it is not possible to cover or explore every aspect. As such, the research will only explore major channels and platforms of technology in the fashion industry, such as blogs, social networking sites, and radio frequency identification technologies. The population research sample may also be too small, although this is again as a result of time, as well as financial, constraints. Moreover, although the research study will investigate how technology affects consumer behaviour, it will not go deeper into how technology affects the consumer’s decision-making process. This is because this aspect may be outside the scope of this paper, although it would have been useful nonetheless given the dearth of information about technology and consumer behaviour. Expected Research Outcomes It is expected that the results of the proposed research study will show that technology enables more effective integration of the fashion retail supply chain, in turn making physical brick and mortar retail stores more relevant. It is also expected that the results will show the importance of technology in the supply chain as being the enhancement of customer service, rather than only being an end to the retailers bottom-line. Another expected outcome of the proposed study is that technology currently has limited impact on the branding aspect of fashion retailers, specifically because it is only one of many channels that are involved in branding. However, as technology becomes a more integral part of the fashion industry, its role in branding will grow. Finally, the results should also show that technologies are important in creating a positive fashion shopping experience for consumers, therefore influencing their buying behaviour. Anticipation Contribution This study will enhance understanding of the role that technology plays, and will continue to play in the future, in relation to fashion retail, while also expanding on fashion retail theory. With regards to the latter contribution, the study will especially expand on the social impact model, particularly in relation to the impact of social change on fashion, whereby the social change in this case involves the increased uptake of technology globally. For the managerial function of fashion retail, the study will enhance understanding of how technology can be used to centralise supply chains and ensure satisfaction of consumer needs in real time, which is important in an increasingly competitive, global market. More importantly, it will also enhance the understanding of how technology can be used to influence consumer behaviour, which will help managers to increase sales. References Birtwistle, G., & Moore, C. M. (2014).Fashion retailing. Bradford: Emerald Group Pub. Boone, L. E., & Kurtz, D. L. (2012). Contemporary marketing. Mason, Ohio: Thomson South-Western. Brace, I. (2012). Questionnaire design: How to plan, structure and write survey material for effective market research. London: Kogan Page Bryman, A., & Burgess, R. G. (2013). Qualitative research. London: SAGE. Caniato, F., Caridi, M., & Moretto, A. (2013). Dynamic capabilities for fashion-luxury supply chain innovation. International Journal of Retail & Distribution Management, 41(11/12), 940-960 Damminga, C., Wu, J., & Johnson, K. K. (2012). The effect of lifestyle and shoppable fashion product displays on consumers’ approach and avoidance behaviour. Journal of Global Fashion Marketing, 3(3), 108-118 Das, G. (2015). 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