• The Research Journal of the Costume Culture
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• v.16 no.4
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• pp.595-608
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• 2008

Although Korean apparel companies have transformed dramatically from contractors to sourcing companies thanks to the rapid growth of local market, relatively little work has been done identifying the determinants and the patterns of global sourcing activities of Korean companies. The purpose of this study was to outline a conceptual model that may be used to organize and guide global sourcing activities of Korean apparel manufacturers and retailers. The conceptual model identified four important factors, cost factor, strategic non-cost factor, firm's internal factor, and global factor, which affect global sourcing strategies and help predict how companies conduct various sourcing activities. The model also identified two sourcing patterns, outsourcing and intra-firm sourcing. In developing the model, literature review on how manufacturers and retailers in diverse areas including global apparel sourcing was conducted. Managerial implications and directions far future study were offered as well.

• Journal of the Korean Society of Clothing and Textiles
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• v.38 no.5
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• pp.718-732
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• 2014

This study investigates the effects of two organizational variables (market orientation and organizational innovativeness) and the interaction between these two variables on supply chain agility as well as examines the moderating effect of 1) firm size and 2) the extent of global sourcing. Employing a web-based e-mail survey method, the study issued 1,320 questionnaires to South Korea apparel manufacturing companies; data from 147 completed surveys were analyzed. Market orientation, organizational innovativeness, and the interaction between the two variables positively affect supply chain agility. Firm size and global sourcing do not have any significant moderating effects on the relationship between organizational characteristics and supply chain agility. Companies with high market orientation and high organizational innovativeness have more agile supply chains than companies with only market orientation or organizational innovativeness. Firms need to effectively enhance market orientation and organizational innovativeness simultaneously to enhance supply chain agility. The lack of a moderating effect from firm size suggests that all companies should promote a greater degree of market orientation and organizational innovativeness to enhance supply chain agility regardless of firm size.

• The Research Journal of the Costume Culture
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• v.15 no.3 s.68
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• pp.461-471
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• 2007

Many Korean apparel firms have been adopting the global sourcing to enhance their competitive advantages. The purposes of this study were to identify the current status of global sourcing adopted by Korean apparel firms and to provide useful information for the other apparel firms planning the global sourcing. The questionnaire survey was conducted to 65 Korean apparel firms. The firms selected for this study were women's, men's, unisex casual wear manufacturers which made their products at offshore factories. The results show that about half of them started global sourcing before 2000. Unisex casual wear firms were already doing the global sourcing very actively and women's wear firms were followers. The major benefit of the global sourcing was the cost reduction. The firms that had made inroads into the global market find much satisfaction in global sourcing. These early adopters expected their sourcing countries as a future consumer market. The threatening elements of the global sourcing were the difficulties of quality control and labor cost rising. Cost and technical ability were considered importantly in selecting the global sourcing partners. The firms started the global sorucing before 2000 were greatly depended on offshore production. They concerned for the problems related to the global sourcing.

• Journal of the Korean Society of Clothing and Textiles
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• v.31 no.6 s.165
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• pp.902-910
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• 2007

The purpose of this study was to suggest future marketing strategy for Korean textile and apparel industry so that they could find a way to maintain a major sourcing site in the global market place. This study identified international buyers' visiting purposes and the items they were most interested in sourcing from Korea according to their firm types and home country regions. This study analyzed the survey results obtained fiom international buyers who visited the international textile and apparel trade show in Seoul, Korea. The data was analyzed using frequency and ${\chi}^2$-test analysis. The results showed that there was a significant relationship between buyers' country regions and their interests. There was also a significant relationship between buyers' firm types and their visiting purposes. The results indicated that decision making for what Korean industry should focus their marketing efforts on should be different according to the buyers' country regions and firm types. This study was conducted to present an effective marketing strategy for how Korean textile and apparel industries could survive in the competitive global marketplace.

• International Commerce and Information Review
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• v.15 no.4
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• pp.509-532
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• 2013

This paper analyzed the functional global entry process of firms by real business cases. We reviewed the global firm Zara and Uniqlo's functional global entry process by Malnight (1995) four-step model which is composed of appendage, participation, contribution, integration stages. We found that both Zara and Uniqlo made successful internationalization using integrated global value chain. However, Zara maintained the home-initiated internationalization strategy on whole value chain, Uniqlo operated subsidiary-initiated functional strategy in specific value chain activities. This study suggests that internationalization occurs at the level of the function, rather than the firm. In addition, this study suggests practical implication to Korean fashion firms that global firms should maintain the functional global entry strategy basing on firm's internationalization steps.

• Journal of the Korean Society of Clothing and Textiles
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• v.32 no.3
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• pp.474-485
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• 2008

The purpose of this study is to examine the determinants and elements to enhance Korean international competitiveness, employing Porter's(1998) Diamond Model. Half of the 500 leading apparel exporters that were members of the Korea Apparel Industry Association in 2003 were selected as the target of this research. From May to June of 2003, survey questionnaires were sent to executives of these 250 companies in person or by telephone, e-mail, or fax. Seventy questionnaires were used for the final data anlysis. The items used were Reliability, Categorical Regression, and Frequency, using SPSS 11.5. The results were as follows: First, as a result of analyzing the influence of international competitiveness in Korean apparel industry, the firm's strategy, structure, and rivalry was the most influential factor. Others were related and supporting industries, government, chance, demand conditions, and factor conditions. Also, the elements that affect Korean international competitiveness were listed as the level of price competition in foreign markets, the level of labor cost, export marketing capacity, and exchange fluctuation. The most important element to improve the international competitiveness of the Korean apparel industry was a demand growth rate of the overseas markets(Demand Conditions), followed by the level of the labor costs(Factor Conditions), the capability of internationalization(Firm Strategy, Structure, and Rivalry), the change of currency(Chance), the quality and management of products(Demand Conditions), the capability of planning products(Firm Strategy, Structure, and Rivalry), free trade from 2005(Chance), and global sourcing strategy(Firm Strategy, Structure, and Rivalry). Korea's main rival country in apparel related and supporting industry factors is China. However, Korea has a higher level of technology development, quality, and price level than China.

• Journal of the Korean Society of Clothing and Textiles
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• v.33 no.11
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• pp.1719-1732
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• 2009

A firm seeking to enter a foreign market must make an important strategic decision of which market entry mode to use. Because entry modes involve resource commitments, the initial choice by a firm on a particular entry mode is difficult to change without a considerable loss of time and money. Substantial prior research has been undertaken to explain why firms select a particular entry mode into global markets. However, there exists limited research on this area in the field of foreign apparel brands in Korea, although some research has analyzed influential entry mode factors when Korean textile and clothing companies went overseas. This study reviews prior research on the entry mode choice and analyzes the factors that influence the entry mode choice for 510 foreign clothing brands in Korea. Price range, clothing types, distribution strategy, and cultural distance were considered as influential determinants for different entry mode choices. Crosstabs with a chi-square test and logistic regression are used for analysis. This study shows that high-priced brands and luxury brands are associated with the export orientated entry mode in the Korean market. Brands that pursued the strategy of multiple distribution channels showed a preference for a licensing mode or direct investment over other entry modes, and brands from higher-cultural-distance countries entered the Korean clothing market by licensing mode. The findings of this study are appropriate for the strategic planning of foreign apparel intent on entering the Korean market or for Korean apparel firms planning to enter the global market.

• Journal of the Korean Society of Clothing and Textiles
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• v.31 no.4 s.163
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• pp.507-518
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• 2007

This study aimed to investigate the competitive advantages of Chinese fashion industry and firms to Korean fashion industry by applying the generalized double-diamond theory. Data collection was done by internet and fax survey. Questionnaires were distributed to the Korean textiles and apparel firms who entered China for production anuor distribution. List of firms were provided by KOFOTI, KOTRA, and Korea Apparel Industry Association. Total 198 questionnaires were distributed, and 77 questionnaires were used for final analysis. The results were follows. Korea's competitiveness scores of double-diamond model were higher in every aspects, such as demand condition, infra/supportive industry, firms's strategy and competition except factor condition. Glottalization score in double diamond model measured by the degree of glottalization which was determined by international diamond factors which make firm's multinational/international activities possible. Chinese fashion industry's globalization score of factor condition was significantly higher than Korea, but for the rest of aspects, Korean fashion industry showed higher scores. Therefore, Korean fashion firms can overcome comparative disadvantage of factor condition by utilizing Chinese fashion industry no matter what type of entry. In addition, considering the growth rate of Chinese fashion industry and its power of influence in the world market, the entry to the global market of the Korean fashion industry can be possible.

• Journal of the Korean Society of Clothing and Textiles
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• v.32 no.12
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• pp.1903-1914
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• 2008

The purpose of this study was to propose an efficient and feasible global market entry strategy for the Korean apparel industry by analyzing the Italian fashion industry. In particular, the study investigated the role of foreign exhibitions and showrooms supported and organized by Italian fashion organizations. The methodology for this study was to analyze industrial reports, review previous studies and conduct in-depth interviews with 23 industry experts in Italy, Korea and LA. The results indicated that the most prominent factor in the Italian fashion industry was the fashion cluster, which is a strong and organic network of diverse fashion related areas No matter the size of the enterprise, firms can get practical, prompt and efficient support from diverse associations. The network operated by the associations provides strong support to each firm by organizing collections and exhibitions, and providing promotional activities. Showrooms and agents are another supportive "gate keeper", directly related to an enterprise's sales. However, Korean fashion firms did not have enough information or knowledge for foreign exhibitions, nor did they make aggressive promotional efforts in the global market. Despite the many fashion-related associations exist in Korea, their programs are too focused on visible accomplishments and are too oriented on "big company" and "big voice", rather than many "small firms". In conclusion, the Korean fashion industry-particularly the fashion industry in Seoul-has strong potential to become the center of the global fashion market in the future. However, the fashion support system that can act as the channel to promote firms and to meet global buyers needs to be supplemented. To feasibly create this system, government or industry associations should develop a strong and generous support system and network, and they must recognize the need for small firms to exist.