MARKETING AND CONSUMER SOCIETY

MARKETING AND CONSUMER SOCIETY

MARKETING AND CONSUMER SOCIETY

Marketing and Consumer Society

Marketing and Consumer Society

Introduction

As the world is becoming globalized, the fast pace of technological changes and the global economy have resulted in hyper competition in the nature of today's competitive landscape. As a result, growth can be seen as one of the fundamental objectives of companies and is indeed quite essential for their survival. One such source of growth is internationalization, or more specifically the development of new markets, which is an increasing trend in today's global environment (Vida & Fairhurst, 1998). Retailers are indeed no exception and can be seen worldwide in the quest for growth and an increase in their international activity can be witnessed. Where on the one hand, internationalization offers retailers the possibility to develop their business portfolio through geographic diversification (Dupuis & Prime, 1996), similarly on the other hand, it tends to allows retailers to take advantage of growth potential arising in foreign markets when the domestic market is saturated (Vida & Fairhust, 1998) (Akehurst, 1996).

Subsequently, in the current economic climate, finding avenues for growth and profitability has been more critical than ever for retailers around the world. As a result of the global financial crisis, there has been erosion in consumers' disposable income hence increasing the pressure on the retailers. Similarly, the rising costs of input and supply chain seems to be stagnating if not decreasing the top line growth in markets at home hence in turn placing an enormous amount of pressure on the retailers' margins. Deloitte (2000) As a result, the strategic focus of retailers around the world seems to be engrossed on the newly emerging economies of Asia and Eastern and Central Europe (Akehurst, 1996).

This paper embarks upon the current situation prevalent within the international retail sector, emphasizing mainly on fashion retailing. It also discusses some of the unique features observed in fashion retailing and elaborates on how these features have influenced the international expansion of fashion over the recent decades.

Fashion Retailing

Since the beginning of time, men and women have always remained fashionable in one way or the other. From clothing made out of loin to cloaked attire, from gown and coats to the fascinating accessories of the 19th century, fashion has indeed been prevalent in every season from year to year hence renovating their way of dressing from time to time.

Fashion in the past, can be also contributed to the elite fantasies held by people, right up to the mid 1850s, when the first Paris based British professional fashion designer emerged. Initially, Paris was the only place that reined the fashion industry, however soon other names such as Milan and London caught up, introducing their own line of fashion niche.

If the fashion industry remained stagnant then it would have already become unstylish and died. Subsequently, today there are endless designs and customer segments, prevalent within the fashion sector.

The 1950s, which was not even a century back underwent a massive explosion of haute couture ...