Introduction to Fashion Supply Chain Management in Asia

Abstract

Textile and apparel constitutes an important sector in the global economy and plays a key role in the national economies of many countries in the world. This is particularly true in Asia. For example, in Vietnam and Bangladesh, the textile and apparel industry contributes the majority of the countries’ foreign exchange earnings. This paper firstly introduces the concept of fashion supply chain management. The typical fashion supply chain includes raw material farmers/producers, fiber and textile producers, apparel manufacturers, transporters, warehouses and retailers. The supply chain is complex as many members are involved, and many interdependencies between them exist. To better manage supply chains and increase overall supply chain efficiency, there is a strong need for collaboration among supply chain members. This paper also analyzes and discusses the strengths and weaknesses of textile and apparel production in major Asian countries (i.e., India, Vietnam, Bangladesh and China) from a supply chain perspective. It is demonstrated that although textile and apparel production capacities in India, Bangladesh and Vietnam grow fast, China will remain the leading textile and apparel sourcing country in the world in the foreseeable future, mainly due to its well-developed supply chain systems. Furthermore, this paper examines new opportunities and challenges for Asia’s fashion supply chain, including China’s Belt and Road Initiative, the development of sustainable supply chains, and the increasing popularity of e-commerce in fashion.