Internationalization of Luxury Fashion Firms: Examining the Business Models of Smes

ISBN-13: 9783030887544 / Angielski / Twarda / 2021 / 216 str.

Simone Guercini

Spis treści

CHAPTER 1. INTRODUCTION

The chapter introduces the theme of the book. In particular, the need to study luxury companies from the point of view of the business model and the relationship with internationalization is highlighted. The research gap is then discussed, highlighting how the sphere of small and medium-sized enterprises (SMEs) of luxury fashion have been substantially neglected by the academic debate, which focused mainly on large multinational brands (MNEs). The chapter then presents the structure of the text, highlighting the logical path followed by the authors, which leads to the construction of a theoretical model, the implications of which may also be useful for luxury managers.

CHAPTER 2. LUXURY AND INTERNATIONALIZATION: MOTIVES AND FEATURES

The chapter discusses the relationship between luxury and internationalization. In particular, the main features of luxury companies are outlined and the reasons that led them to face internationalization processes, often since their establishment. Among these, some relevant reasons are discussed: the size of the demand, since luxury companies seek foreign markets to obtain additional volumes; the global image, essential for obtaining legitimacy and orienting consumer preferences; the characteristics of luxury customers, such as international mobility and specificity of lifestyle; management of distribution and communication channels, especially digital.

CHAPTER 3. THE INTERNATIONALIZATION OF LUXURY FASHION

The chapter discusses how luxury is developed in the field of fashion and examines the companies of luxury fashion in terms of types, characteristics and relevance. In particular, with reference to luxury fashion companies, the main contributions of academic literature that have examined this category of companies are identified, with a particular focus on issues related to entry and expansion into foreign markets. The chapter concludes with a review of recent literature to understand what are the emerging themes and current trends in relation to luxury fashion companies, such as the relevance of social media and sustainability.

CHAPTER 4. INTERNATIONALIZATION AS A COMPONENT OF BUSINESS MODEL

This chapter considers the business model as a necessary construct to be studied for the understanding of the international development of luxury manufactures. It then proposes a systematization of the contributions of academic literature dealing with business model components. The chapter continues showing different luxury fashion business models, pointing out how internationalization may represent a relevant aspect of any business model. It specifically draws attention to how internationalization relates to the other components of the business model of a luxury fashion company. Then, the chapter specifically considers the case of SMEs compared to MNEs in luxury fashion. It ends with a discussion on how business models of luxury fashion SMEs may be put under pressure by new trends in the global scenario.

CHAPTER 5. METHODOLOGY AND EMPIRICAL SETTING

The methodology of the study is presented in detail, which concerns the construction of business cases through a process of research of the authors, who conducted in-depth interviews with managers and entrepreneurs of luxury fashion companies. Data are then presented on the empirical context of reference, the Italian fashion luxury. The specificities of made in Italy luxury fashion are also highlighted compared to the main international luxury competitors.

CHAPTER 6. CASES OF ITALIAN LUXURY FASHION MANUFACTURERS

The chapter is dedicated to the development of cases of luxury fashion companies. We examine 5 cases of small and medium-sized enterprises that have embarked on a path of internationalization. The cases concern business-to-consumer companies that deal with clothing, leather goods, and accessories. For each case, the process of expansion into foreign markets is analyzed, the difficulties encountered, and the strategies adopted to overcome them, as well as the business model.

CHAPTER 7. THE EMERGING INTERNATIONAL COMPONENTS FOR THE LUXURY FASHION BUSINESS MODEL

The chapter proposes a model that relates the internationalization of luxury fashion companies, the business model, and the overcoming of liabilities. The theoretical model is proposed considering both the main evidence emerging from the literature and with reference to the results of the empirical research process. The model refers to the case of small and medium-sized luxury companies, although the chapter discusses its applicability to luxury companies in general. In this way, we try to locate some aspects common to fashion luxury companies and others specific to SMEs.

CHAPTER 8. CONCLUSIONS AND IMPLICATIONS

The final chapter of the text addresses the main theoretical and managerial implications emerging from the research. From the theoretical point of view, the contribution in terms of response to the research gap of the literature is presented, also providing the guidelines for future research of an academic nature. From a managerial point of view, practical implications are provided that can be activated by managers and which represent food for thought for the actors of luxury fashion, and in general for the actors who propose a high-end or luxury product

O autorze

Andrea Runfola is Associate Professor of Marketing and Management at the Department of Economics of the University of Perugia. His research interests include international business, international marketing, business networks, supply chains, business models and digitalization. He has been researching fashion and luxury for about twenty years. He is the author of book chapters and two books. He published numerous articles in leading national and international academic journals.

Matilde Milanesi is Assistant Professor at the Department of Economics and Management of the University of Florence. Her research interests lie in international business and international marketing, industrial marketing, buyer-supplier relationships, and luxury and fashion marketing. Her works are published in academic refereed journals. She is also the author of chapters in edited books and has recently published a book on liabilities and networks in the internationalization of fashion retailing. 

Simone Guercini is Full Professor of Marketing and Management at the Department of Economics and Management of the University of Florence. His research interests include business marketing, international business, qualitative research, heuristics in behaviour and cognition. For over twenty years, he has investigated textile and leather goods companies. He held courses and invited talks at many universities. He authored books, chapters in books, and he was editor of edited books. He published more than 80 articles in academic journals.

Blurb

Internationalization is an essential component of the business model for luxury fashion companies. Hence, regardless of their size, luxury firms have to develop in foreign markets to seek global demand, build a global image, and manage distribution and communications effectively. Filling a gap in current literature, this book examines the motives, processes, and forms assumed for the internationalization of luxury fashion companies and the relationship between internationalization and business models, with a focus on small and medium-sized enterprises (SMEs) and the specific challenges they face. The book proposes cases of Italian SMEs, being Italy a country that is globally recognized as a key player in the luxury fashion industry. Specifically, the authors link internationalization with business models and discuss the business model of luxury fashion SMEs, characterized by "genetic internationalization". Finally, the authors address the main theoretical and managerial implications emerging from their empirical research and discuss the applicability of this model to luxury companies in general. Offering a comprehensive and in-depth view of luxury fashion SMEs, this book is targeted to students, scholars and practitioners interested in luxury firms, internationalization, and business models.

Andrea Runfola is Associate Professor of Marketing and Management at the Department of Economics of the University of Perugia. His research interests include international business, international marketing, business-to-business marketing, business models, and luxury and fashion marketing

Matilde Milanesi is Assistant Professor of Marketing and Management at the Department of Economics and Management of the University of Florence. Her research interests include international business, international marketing, industrial marketing and luxury and fashion marketing. 

Simone Guercini is Full Professor of Marketing and Management at the Department of Economics and Management of the University of Florence. His research interests include business marketing, international business, qualitative research, heuristics in behaviour and cognition, and luxury and fashion marketing