Over the years, luxury has built-up a reputation as recession proof industry. Even though the industry growth has slowed down in the mid 2000s, luxury firms have managed to cope with economic contingencies and shortening traditional demand by widening their clientele base to prestige mass consumption ― the “masstige clientele”. Doing so, luxury firms have been pursuing a dual strategy by wooing aspirational consumers as well as their traditional elite customers, thus managing the challenge of handling both a differentiation strategy based on scarcity and uniqueness, and increased volumes of sales. This has been a trend in mature markets such as Europe, the United States and Japan, but was significantly fostered by expanding into emerging markets. Sector specialists thus expect China to remain a major structural growth area in the medium term, where the number of both high-end clients as well as new aspirational consumers will substantially increase and influence firms strategy.

The world market for brands and licenses is constantly growing and represents a very interesting economic field. Brands are constantly being sold, and brand ownership may change often completely unbeknown to the majority of consumers. Brands are in fact held as any other assets, either by individuals or by companies, as part of their balance sheet (Lucky & Giliberti, 2013). A multiple case study of independent luxury companies enables us to identify the following best practices: 1) Perfume = Survival Most brands achieve a long lasting market penetration once they successfully move into the fragrancies. Every case study confirms the assumption. 2) Perfume + cosmetics = survival and success It seems that the perfume business and cosmetics in general are the main boosters for a brand to keep on growing and gain if not “top of mind” at least “aided awareness”. 3) Less licensees = more business! As strange as this can be, most luxury brands that have succeeded in keeping a remarkable growth have made the decision not to expand their number of licensees, but rather to dramatically diminish them, selecting, in most of the cases, main licensing categories like: 1- Perfumes and cosmetics 2- Watches 3- Eye glasses 4- Limited ranges of accessories The cases show that massive licensing may have brought very interesting revenues obtained “the easy way” by the brands owners, but have then started a decline in revenues due to many practical reasons: The brand loses its appeal by becoming seen just about everywhere and applied to any type of possible product. The brand simply becomes less exclusive and therefore less luxury. Cases like Saint Laurent (new name used instead of Yves Saint Laurent) in France or Valentino in Italy, clearly indicate that the brands managers have decided to concentrate their core business within a very limited number of licensees making sure that the brand orientation strictly reflects the identity chosen by the (new) owners. The most impressive example of extremely massive licensing tending to pull the brand out of the luxury market is without doubt the one of Pierre Cardin.

The paper supports the idea that competition is nowadays played among supply chains rather than among companies. The competitive action has been mainly analyzed as a single actor' strategy, looking for gaining a competitive advantage over competitors (Porter, 2008). The competitive advantage is connected to distinctive resources and capabilities owned and/or controlled by the single actor and, especially, to how a company is capable to combine and connect such resources and capabilities reaching a distinctive positioning (Grant, 1991). By re-defining the most traditional view, Porter underlines how strategy has to look for uniqueness rather than to the search for being better than others in the market (Porter, 1996). Following such a view, scholars have addressed their attention to identify new sources of differential advantage, based on a at least temporary uniqueness. Such new sources mostly rely on intangible issues and on the capability to perform more efficiently and effectively market-driven processes (Day, 1994). By shifting his view from tangible to intangible issues, from products to processes, literature has focalized on the company's network relationships as fundamental sources of differential advantage (Hakansson, Snehota, 1989; Dyer, Singh, 1998). The structure and dynamics of a company's business relationships, as well as the company's relational capabilities can sensibly make the difference between one company's performance and another's in the eye of the customer. Processes of value creation and delivery capable to meet customer expectations are only in part referred to activities performed by a single supplier company. Rather, they are connected to a number of companies that interact and connect their resources and capabilities in supply chains' contexts (Christopher, 2012; Cox, Lamming 1995). The customer satisfaction (or dissatisfaction) can be addressed to a single supplier, notably the branded company that directly interfaces with the customer but it is strongly connected to how the branded company's supply chain has been able to mobilize resources, connect activities and exchange information. (Dyer, 1996; Gadde et al., 2010). In confronting and evaluating its perceptions in respect to two different brands a customer expresses his satisfaction (or not) towards the performance of two different supply chains (Hines, 2004). Taking a branded company, driving a supply chain (it is also known as strategic center or leader company), structuring, mobilizing and enabling effective and efficient business relationships with effective and efficient suppliers becomes the most important tool to gain market shares and keep customers satisfied. As network literature well explains, even if a company is a leader in a supply chain, business relationships with supplier companies can only be partially addressed and oriented, mobilized. (Ford, Hakansson, 2002). The general aim of this paper is to discuss the impact of the processes of contractual formalization in business networks on the competitiveness of the supply chains. More precisely, the paper focalizes on a new tool introduced by Italian government, named "Contratto di Rete" (Network Contract - NC)1, that can be also useful to reinforce, orient and develop efficient and effective supply chains. The NC is not simply a type of strategic business alliance as a joint venture or a consortium can be (Guercini and Woodside 2012). It is a flexible tool that companies may use and it is a legal framework within which a network of companies can experiment various opportunities to innovate and to be more competitive. The NC sustains SMEs' development and competitiveness, especially in an international context. The NC also represents a new way of response for Italian SMEs to the current economic crisis, and to the challenges posed by an increasingly globalized and competitive market. Small and medium enterprises represent a significant portion of the industry in most countries. This share is particularly relevant in the Italian reality. In Italy the weight very strong of the small business and the relative weakness of big business has recently been the focus of debate on the loss of competitiveness of the country's industrial system (Coltorti et al., 2013). Empirically, the paper studies the case of Gucci and its supply chains that have used the NC to reinforce and promote their positioning and their performance. In particular, sponsored by the Florentine brand of luxury and with the support of Confindustria Florence, three NC have been developed - P.re.Gi. , Almax and Fair – among the companies of three supply chains of small leather goods , bags and luggage . Each of the three networks includes companies that provide the complete production cycle, from cutting the skin and in one case even tanning to the final packaging of the object . The idea behind the signing of the “Contratto di rete” is come together to promote the transfer of innovation, knowledge transfer, know -how and training, but also to make economies of scale, improve access to credit, streamline costs and streamlining the supply chain, to ensure improved transparency in the flow of marginalization by the leader until the last sub-contractor. In each of the three networks, the parent company is different from Gucci that is left out of the contract. But, most interesting, Gucci will play the role of facilitator, subject to address and exchange of best practices, support and advice in the organizational, technological, financial and training issues. By studying the three NC, the paper wants to emphasize the most important issues both supporting and limiting the action of supply chains as competitive sets. Based on our preliminary study of these Network Contracts, made possible by the availability of a large secondary material and by the research conducted by the authors both on the new legislative tool leading to formalized networks and on the business networks spread since long-term in the leather industry, we formulate some propositions which can be tested as hypothesis or considered as alternatives explanations of the possible role played by the NC to support the competitiveness of companies and supply chains. The study of the Network Contract must take into account with attention to different layers it may impact and influence the competitiveness of the supply chains. At a first layer, it can be a tool of survival of present existing competitive ability and/or supporting the development of new capabilities. One aspect not mutually exclusive but complement the other. It can, however, be interesting to see logic sub-standing the formalization of existing networks and which are the objectives present in the declared intentions as well as those emerging from the observation of the behavior of the actors involved. You may recognize different levels of goal through the process of formalization. A first objective is linked to the fact that the importance of business networks makes them subject to specific policy of public policy makers. This makes the process of formalization important and useful for access policies to support networks. In this sense, a first proposition can be the following: P1. The network contract represents a tool of formalization of existing business networks that allows first to make visible, perceptible such structures and enabling policy makers to support them through appropriate policies to support their growth or survival. At a second layer, the formalization of existing networks can have organizational impacts. The recognition of a strategic center within the network, the formal creation of central coordination unit, or at least the existence of roles and shared resources can also substantially initiating organizational changes that make the network an entity able to access to larger economies and critical mass in respect to individual companies. The contractual formalization can produce effects on the roles of the individual actors involved and determine a different conduct of trials. This can allow the achievement of economies, the achievement of critical mass to trigger new initiatives, to realize innovations. Where networks emerge from declining districts the depletion of external economies can be a way to internalizing in formalized networks a part of the resources as an answer to the crisis of the external district. NC can thus support companies to benefit from the shift from external economies to internal “networks” economies In this sense, a second proposition can be the following: P2. The formalization through contracts in business networks has organizational effects that result in new processes and methods of use of the resources that can affect the operation of the business network and generate economies. At a third layer, in addition to affecting the relationship between the companies and the policy makers as well as the organizational processes in the business network, the formalization by NC can have effects on the contents of the strategy implemented by the firms involved and implemented by the whole chain. Particularly in the luxury sector competition among supply chains assumes importance in terms of exclusivity and the level of quality of the offered products. The contents of the strategy have systematically need to take account of the supply chains. This pushes systematically luxury brands (defined as actors) to search for forms of vertical control through ownership (acquisition of suppliers) and through contracts (contracts for exclusive supply). Consider the role of supply chain strategies related to issues such as: (1) ecological sustainability and social sustainability of productions from luxury brands; (2) country of origin and country of product design on which is affixed the company logo; (3) traceability and guarantees associated with the use of branded products etc. In this sense, a third proposition can be the following: P3. The formalization of contracts in business networks has effect on the strategies declared and / or emerging from the behavior of the actors, both in terms of content and dynamics in the implementation. The paper, through an in-depth analysis of the three networks connected to the Gucci’s supply chain, wants to test the hypotheses corresponding to the three propositions formulated above making a comparison between the supply networks before and after the formalization of the business relationships by the Network Contract. The paper is structured as follows: in the first section the paper emphasizes the shift from a view of competition among companies to competition among supply chains and stresses major problems emerging in supply network dynamics. It then focalizes on the NC tool and its characteristics that can support supply network dynamics. The paper thus focuses on the three networks connected to the brand Gucci. In the final section, the paper summarizes the three mail levels of impact that the NC may have on the supply chains’ competitiveness: the supportive level, the organizational level and the strategic level. A comparison between the main issues affecting supply chains competitiveness in case of their formalized or not-formalized networks structure let draw final conclusions are on the role of Network contracts as positive and negative promoter on supply chains competitiveness.

This study illuminates the inherent difficulty to manage creativity in fashion design as well as the innovation capabilities in an entire fashion firm. The paper is elaborating creative capabilities in fashion extended to the entire supply chain. In addition to manufacturers and retailers the supply chain also includes transporters, warehouses, stores, and even customers themselves. Within each stage includes all parts needed to get and satisfy customer requirements. This research is based on data from two of the most rapid growing and profit increasing fashion brands in Sweden, which are Cheap Monday and Acne Studios. The analysis has three starting points and definitions. i.e. fashion design, creativity and innovation. The results show that creative capabilities have to been spread out in the entire supply chain to be an efficient component in the building and managing an innovative firm such as it is the case in the fashion industry.

Conviviality is an interdisciplinary concept and a key phenomenon in the entrepreneurial communities. Entrepreneurial communities are social units that share values, experiences, emotions, rituals and traditions. They give rise to personal contact networks that are sets of formal or informal individual relationships. Conviviality means sharing, openness and participation; in this sense, it can be a tool to foster, animate and amalgamate a community. Thus, it can increase social relations that stably bind individuals and thus, becomes a source of business relations. Drawing from literature analysis and a case of a fashion entrepreneurial community, we propose to investigate how conviviality create an integration between social and business networks.

Fashion is primarily based on adoption of trends by consumers in textiles, clothing, footwear, jewelry and art, inter alia. As fashion is based on human preferences, it is characterized by dynamic changes throughout seasons and years, short life cycles, low predictability and high volatility of demand and impulse purchases. In the dynamic environment of apparel markets, fashion firms aim at successfully forecasting both the desirability of new collections and the volumes of each item produced and released to the market under terms of substantial levels of uncertainty. When demand for an item exceeds its supply, the firm is likely to lose additional profits that could have been collected had a sufficient volume of this item been present in the market. Alternatively, if the supply of an item surpassed its demand, it would remain unsold, thereby generating loss equal to its marginal production and distribution costs. The paper proposes a forecasting model that enhances the accuracy of fashion trend forecasting in the context of multiple variants of colour clothing. The model aims at maximizing profits of the firms, while minimizing the forecasting error and reducing the costs that result from excess capacity of production or, alternatively, from loss of potential revenues due to low demand.

Of late, the diversification and the individualization of fashion have resulted in the decline in the readership of fashion magazines in Japan. One reason for this trend is the transformation in clothing norms. This study explores the relationship between clothing consciousness and clothing norms among Japanese people.

Context – The luxury market has, in recent years, continued to grow substantially and has been helped by the boost and growing appetite of emerging economies. Indeed Luxury is one of the fastest-growing brand sectors (Berthon et al., 2009). Due to the high supply and vast choice available in the various segments including luxury goods, consumers nowadays are no longer loyal to one single brand but they prefer to choose and have a demanding and critical attitude towards exactly what they want to purchase (Okonkwo, 2007). By looking at the recent transformations in the globalised and ever more connected world, we can see that the luxury market has expanded, from a limited availability to a select group of consumers (the few who could afford the price), to a market with more people of moderate means having access to the product and all its inherent passion (Okonkwo, 2009, Silverstein and Fiske, 2003). However, the concept of luxury, although defined widely (Dubois et al., 2001 and Vickers and Renand, 2003, among the most popular definitions), does not appear to have a consensus on the definition (Choi, 2003; Wiedmann, Hennigs and Siebels, 2009). It is crucial to understand the reasons why consumers buy luxury (Kapferer and Bastien, 2009; Keller, 2009) and the perception process (Tynan, McKechnie and Chhuon, 2010; Wiedmann, Hennigs and Siebels, 2007). Learning how consumers process their knowledge from the attributes of a luxury brand and attribute them a meaning (perception process) followed by a certain conditioned response (learning process experienced due to culture or brand’s marketing strategy), appears relevant to unveil the effectiveness of luxury brands across European consumers. Moreover this understanding should be framed in a cross-cultural context in order to be relevant for the sector (Dubois, Czellar and Laurent, 2005; Shukla, Shkula and Sharma, 2009). Purpose – The aim of this study is to measure the effectiveness of luxury brands strategies, through a cross-cultural comparison. By doing so, the authors attempt to develop a framework that intends to measure the perception process alongside purchase intentions, mapping it with the marketing strategies that have been proposed by brands at different segments. Design/methodology/approach – The methodological approach followed in this paper was to systematically review the academic literature on luxury brands and identify the different concepts of luxury as well as provide an overview of the segment from a European perspective. Through the analysis of the brand strategies used by different typologies of luxury brands (inaccessible, intermediate and accessible), the researchers intended to clarify the learning process and meaning transfer that takes place in the studied markets: UK, Spain, Germany and Italy. Motivations for buying luxury were also measured from a transnational perspective to fully understand matchability in the perception process and purchase intentions. This research has used existing theories based on the areas mentioned above to create hypotheses that were statistically tested using SPSS, evaluating if hypotheses raised can be supported or not. By deductive reasoning, established theories were used to develop and examine hypotheses in contemplation of the explanation of laws (Bryman and Bell, 2011), using a deductive research approach. Through quota sampling the results can be generalized to a larger population. Originality/value – Several authors have pointed out the need for further analysis on luxury value perception (Shukla and Purani, 2012; Tynan, McKechnie and Chuon, 2010; Christodouilides, Michaelidou, N. and Li, 2009; Vigneron and Johnson, 2004; Wiedmann, Hennings and Siebels, 2009) The knowledge on consumers’ perception of luxury should be enlarged and better methodologically oriented, making a transnational research project like this of greater importance. With this in mind, the findings provide valuable strategic insights for luxury brands to use across the different EU markets. Findings –We are running the research so to have the results and provide the expected contribution with this paper.

This study sets out to examine how status consumption and prominence of brand markings influence consumer’s desire to purchase luxury fashion goods. Significant findings include emotional value’s powerful influence over purchase intention of luxury goods, and the empirical differences observed between two levels of brand prominence.

Peer pressure and popularity have always been important issues for teenagers, potentially impacting on teenagers’ attitudes towards luxury, social consumption motivation and their self-concept clarity (how clearly teens view themselves). We empirically investigate these relationships using data from a sample of Brazilian teens and find that self-concept clarity has a significant effect on peer pressure, popularity and social consumption motivation, which itself directly impacts attitudes towards luxury items. The total sample consisted of 558 teenagers between the ages of 12 and 19 (grades 7 through 12). Hypotheses were tested using structural equation modeling.

Most religious teachings support the idea that money and materialism are at the root of all evil. However, reality is not so rigorous and many times materialism seems even a blessing. The purpose of this study is to investigate and compare religious and non-religious consumer on their perspective toward materialism, and through it, luxury brand and purchase intention. The total sample consisted of 491 university Asian students. Results show that religious consumers are not necessarily against neither materialism nor luxury brand possession. Consumers’ religiosity did not influence their perspective toward materialism or luxury goods. This creates an opportunity for managers to promote luxury brand toward religious consumers especially in Asia, where religion is more prevalent.

The aim of this paper is to understand which are the most effective social media strategies for gaining customer engagement for fashion companies. The study has been conducted using the empirical research methodology and the information has been collected with the use of an online survey distributed among companies belonging to the fashion industry. 42 questionnaires have been collected and therefore discussed. The analysis led to the definition of a list of strategies used by fashion companies on the adoption of social media tools. Subsequently, activities and the social tools able to improve customer engagement have been analysed. Finally, according to the size of the companies and to their positioning on the market, a descriptive analysis of the results have been carried out, comparing companies with similar characteristics. The research shows that companies of the same segment adopt the same approach to social media as well as a similar set of social media marketing strategies. The findings of this paper confirm the growing interest both from academics and practitioners for Social Media Marketing tools and they will suggest implications to fashion brands to manage their customer engagement and their social media activity.

We are in the midst of a digital revolution, in which real-time technologies have become disruptive forces shaping the fashion industry, necessitating for a revision and re-conceptualizing of extant fashion theories about diffusion of innovations and dissemination of fashion trends.

This research examined the effect of social media marketing on college students’ behaviors toward cotton clothing. The results showed that social media marketing had a greater impact on college students than conventional marketing or no marketing. Fashion brands should utilize social media to communicate with college students more effectively.

The research examines the role of social media as a part of marketing communications strategy in the fashion industry. The aim is to develop a conceptual framework for marketing communications in the digital age, given the rise in importance of social media and the decline of traditional print media in terms of fashion influence.

New communication challenges for companies that use social media are: 1) the knowledge and control of the degree of alignment between communicated and perceived brand personality in order to measure the effectiveness of competitive positioning, and 2) the measurement of engagement among consumers who share comments about brands in online communities. Our research proposes research tools that can help fashion companies meet these challenges. In particular, we present an innovative methodological approach that combines netnography and text-mining to extract and analyze data from online communities of fashion brands.