Capabilities, competitive advantages, and performance of apparel

246 Pages·2007·1.1 MB·English

HA-BROOKSHIRE, JUNG E. Ph.D. Capabilities, Competitive Advantages, and
Performance of Apparel Import Intermediaries in a Hyper-dynamic Market Environment
Directed by Dr. Barbara Dyer. 233pp.

Structural changes in the global apparel industry have led to a new market
environment in which part of the apparel channel members (specifically, apparel import
intermediaries or AIIs) have had to assume new market responsibilities and have taken
different approaches to their conventional functional activities. The purpose of this study
was to investigate the basic nature of these firms(cid:146) business operations, that is, the
relationships among AIIs(cid:146) capabilities, competitive advantages, and performance in the
hyper-dynamic market environment of the apparel industry. In order to do so, this study
(a) developed an integrative model of AIIs(cid:146) capabilities, competitive advantages, and
performance; and (b) conducted an empirical assessment of the model, using survey
methodology.
Drawing from the first phase qualitative interview studies, extant theory, and
literature in the strategy, marketing, and organizational management disciplines, the
study proposed an integrative model of AIIs(cid:146) capabilities, competitive advantages, and
performance. A survey was developed to test the causal relationships of these three major
constructs of interest. Subsequently, 807 firms were randomly drawn from
ReferenceUSA, an Internet-based firm database that includes U.S. apparel manufacturers
and wholesalers. Out of an adjusted sample of 736 firms, a total of 159 firms returned
usable surveys, resulting in a 21.6% response rate. Structural Equation Modeling was
employed for data analysis using LISREL 8.72 and tested the causal relationships among
AIIs(cid:146) capabilities, competitive advantages, and performance.
Overall, the study(cid:146)s findings supported the predicted positive impact between
AIIs(cid:146) capabilities of market interpretation, sourcing, and service and the competitive
advantages of cost, product, and service. The results also supported the predicted positive
impact between AIIs(cid:146) competitive advantages and their relationship performance with
domestic clients and foreign suppliers. Consistent with the resource-advantage theory of
competition, the study supported the role of competitive advantages as the direct
antecedents of AII performance and the role of functional capabilities as the indirect
antecedents of performance. This study concluded with research contributions and
implications, study limitations, and directions for future research.
CAPABILITIES, COMPETITIVE ADVANTAGES, AND PERFORMANCE
OF APPAREL IMPORT INTERMEDIARIES IN A
HYPER-DYNAMIC MARKET ENVIRONMENT

by
Jung E. Ha-Brookshire

A Dissertation Submitted to
the Faculty of the Graduate School at
The University of North Carolina at Greensboro
in Partial Fulfillment
of the Requirements for the Degree of
Doctor of Philosophy

Greensboro
2007

Approved by

______________________________
Committee Chair
UMI Number: 3259663
Copyright 2007 by
Ha-Brookshire, Jung E.
All rights reserved.
UMI Microform3259663
Copyright2007 by ProQuest Information and Learning Company.
All rights reserved. This microform edition is protected against
unauthorized copying under Title 17, United States Code.
ProQuest Information and Learning Company
300 North Zeeb Road
P.O. Box 1346
Ann Arbor, MI 48106-1346
' 2007 by Jung E. Ha-Brookshire
APPROVAL PAGE

This dissertation has been approved by the following committee of the Faculty of
The Graduate School at the University of North Carolina at Greensboro.

Committee Chair ____________________________________
Barbara Dyer, Ph.D.

Committee Members ____________________________________
Nancy J. Nelson Hodges, Ph.D.

____________________________________
Carl L. Dyer, Ph.D.

____________________________________
Richard M. Luecht, Ph.D.

___________________________________
Date of Acceptance by Committee

___________________________________
Date of Final Oral Examination
ii
ACKNOWLEDGEMENTS

The journey of completing this dissertation has been simply amazing. From the
planning step to the final stage, I owe enormous debt to my colleagues, teachers, advisers,
and family. Without them, I would not stand here today. My very sincere and heartfelt
thanks go to Dr. Barbara Dyer, my dissertation committee chair, for endless hours of her
time to correct, suggest, and guide my writing, thoughts, and perspectives. She has shown
me the path to take as an academician. Very special thanks, too, go to Dr. Nancy Nelson
Hodges for her consistent encouragement and support throughout my graduate study. She
has guided me to open up my eyes to the qualitative world. To Drs. Carl Dyer and
Richard Luecht, I cannot express enough how much I have learned from them to become
a successful researcher, yet honoring integrity.
In addition to my dissertation committee members, there are many people to
whom I owe deepest appreciation. I thank my new family, the Brookshires, who have
welcomed me into the family circle from the very first day. From my high school
teachers back in Korea to my graduate school colleagues at Baruch College and the
University of North Carolina at Greensboro, I send sincere appreciation for their never-
ending praise and firm support. Particularly, my earnest thanks go to my mother, Hyun
Son Nam, my grandmother, Jung Jung Myo, my uncle, Hyun Mu Hwan, and my brother
Ha Hyun Jae, who have never doubted my abilities. Without them, I could not have
pursued my life-time dream. Finally, to my dearest husband, Richard Wesley Brookshire,
I dedicate this work with immeasurable sarang and unfathomable gamsa.
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TABLE OF CONTENTS
Page
LIST OF TABLES(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).. (cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).....vii
LIST OF FIGURES(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..ix
CHAPTER
I. INTRODUCTION(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)1
Significance of the Study(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)....(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133).1
Gaps in the Research(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..4
Statement of the Research Questions(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).5
Statement of the Research Objectives(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)6
Research Assumptions(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...9
Definition of the Key Terms(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)..10
Organization of the Study(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)....14

II. REVIEW OF LITERATURE(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...(cid:133)(cid:133)(cid:133)(cid:133)...15

Theoretical Framework(cid:133)(cid:133)...(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)...15
Market Environment(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)...29
Firm Performance(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)...36
The Global Apparel Industry(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).40
Apparel Import Intermediaries(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)..44
Summary(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)62

III. RESEARCH CONCEPTUAL MODEL(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).....66

Relevant Empirical Research(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).....(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)......66
Gaps in the Research..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)74
Research Conceptual Model(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)................76
Research Hypotheses(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133).82

IV. REARCH METHODOLOGY(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...84

Research Design and Survey Instrument Development(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133).84
Sample(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133).(cid:133)(cid:133)98
Data Collection Procedures(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)101
Data Analysis Techniques(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..103

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V. RESYLTS AND ANAYSIS (cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).112

Sample Description and Response Rate(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).112
Characteristics of the Survey Respondents(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)115
Results of Testing for Non-response Bias and Measurement Differences(cid:133)(cid:133).130
Measurement Model Analysis Results.(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..132
Structural Model Analysis Results...(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..142
Testing of Research Hypotheses(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)...148
Post Hoc Model Modifications..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)157

VI. CONCLUSIONS(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).........(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)163

Summary of the Study(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)163
Research Contributions and Implications(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)..165
Study Limitations(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)...174
Future Research(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..176

REFERENCES(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...178

APPENDIX A. QUALITATIVE INTERVIEW EXPERT INFORMANTS(cid:133)(cid:133)(cid:133)..(cid:133).191

APPENDIX B. QUALITATIVE INTERVIEW SCHEDULE(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)..193

APPENDIX C. DEMOGRAPHIC QUESTIONNAIRE FOR QUALITATIVE
INTERVIEWS(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..196

APPENDIX D. SURVEY QUESTIONNAIRE(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...198

APPENDIX E. MAIL SURVEY COVER LETTER(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...210

APPENDIX F. E-MAIL SURVEY COVER LETTER(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133)(cid:133)(cid:133)(cid:133)212

APPENDIX G. PHONE OR PERSONAL RECRUITMENT MATERIAL(cid:133)...............214

APPENDIX H. APPROVAL OF INSTITUTIONAL REVIEW BOARD (IRB) FOR THE
USE OF HUMAN PARTICIPANTS IN RESEARCH: QUALITATIVE
INTERVIEWS(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133).(cid:133).(cid:133)(cid:133)(cid:133)...216

APPENDIX I. APPROVAL OF INSTITUTIONAL REVIEW BOARD (IRB) FOR THE
USE OF HUMAN PARTICIPANTS IN RESEARCH: MAIL SURVEY(cid:133).(cid:133).(cid:133)218

APPENDIX J. MEASUREMENT PURIFICATION: EXPLORATORY FACTOR
ANALYSIS AND RELIABILITY ANALYSIS(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)...(cid:133)220

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APPENDIX K. PERMISSION TO REPRINT(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)......(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)(cid:133)..232
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