BAR: Brazilian Administration Review (Jul 2013)
From Garment to Fashion Production: An Analysis of the Evolution of the Apparel Industry in Brazil
Abstract
This study aims at contributing to the analysis of the evolution of apparel industry in Brazil by answering the following questions: (a) Does global sourcing still explain the value upgrading process in the apparel production chains?; (b) Are there new sources of value upgrading to be considered?; (c) Is the dynamics of the apparel production pervaded by a phenomenon that is strongly related to a cultural and creative know-how? Two theoretical approaches are considered to unveil the value upgrading process in the apparel production: (a) theory about global value chains and (b) studies about cultural and creative industries. To investigate the research questions we analyzed the case of the Brazilian apparel industry evolution through the use of a methodological perspective nurtured by aspects of grounded theory. The findings of this study indicate that companies are able to upgrade not only through improvements in manufacturing steps but also by means of incorporating elements of cultural distinction in the apparel production. Analysis of the Brazilian case led us to propose an integrative theoretical approach where elements of the global apparel value chains are combined with studies of cultural and creative industries. We consider that an integrative approach can better explain value creation in the apparel industry in a context of new markets, where there is not only the development of apparel manufacturing clusters but also the emergence of a unique and local fashion apparel chain.