Logistics and supply chain management in luxury fashion retail: Empirical investigation of Italian firms

The Italian industry of fashion goods is a business worth 67.6€ billion in 2006 (Il Sole 24ore, January 10, 2007), of which about 26€ billion is due to the luxury segment. Marketing gurus state that “consumers everywhere at every income level want more luxury” [Danziger, P.N., 2005. Let them Eat the Cake: Marketing Luxury to the Masses as well as the Classes. Dearborn Trade Publishing, Chicago]: therefore, companies should move brands towards a higher positioning and add more valuable features to products and services, but this cannot be obtained only by means of marketing efforts. Which is the role of operations and supply chain management in luxury fashion companies’ success? This paper presents the results of the exploratory stage of a research project ongoing at Politecnico di Milano and dealing with supply chain management in the luxury fashion industry. In total, 12 Italian luxury fashion retailers have been studied in order to describe the main features of operations and supply chain strategies in the luxury fashion segment and to identify their role with respect to the relevant critical success factors.     

Supply chain management in the luxury industry: A first classification of companies and their strategies

This paper aims at analysing the supply management strategies in the luxury industry in order to find out (1) whether different clusters of companies could be identified within the luxury industry, on the base of a set of contingent variables derived from previous research, and (2) which supply chain strategy is currently applied within each cluster. Case study methodology is used. A sample of 15 Italian luxury companies, belonging to different industrial sectors, was taken into account.On the basis of five classification variables (company size, selling volume, product complexity, product fashionableness and brand reputation) four clusters are identified; these clusters present differences in terms of Supply Chain strategy, as well as in terms of practices for managing manufacturing, sourcing and distribution processes.     

Knowledge Spillovers,ICT and Productivity Growth

This paper looks at the channels through which intangible assets affect productivity growth. The econometric analysis exploits a new data set on intangible investment (INTAN‐Invest) in conjunction with EUKLEMS productivity estimates for 10 EU member states from 1998 to 2007. We find that (a) the output elasticity of intangible capital depends upon ICT intensity, consistent with complementarities between ICT and intangible capital; (b) non‐R&D intangible capital has a higher estimated output elasticity than its factor share, as does (c) an index of labour composition. The last two findings are consistent with growth spillovers from investments in knowledge‐based/intangible capital and skills.     

Nutrition and the Mediterranean diet. A historical and sociological analysis of the concept of a “healthy diet” in Spanish society

In this paper our aim is to analyse the way the relationship between health and food has been changing at the same time as Spanish society itself. From the beginnings of the consumer society until the present day the modernization process has made its imprint on the guidelines public bodies have issued to the public on caring for their health and diet. Beginning in the sixties with a welfare idea of a healthy diet, very typical of the decade, and meant for a population with nutritional problems, today we have guidelines for an overfed population. The social trends dominant in each historical moment are shown throughout this transformation process and the dietary recommendations have been part of the social change. However, the perceptions of the administration itself on what constitutes a healthy diet have also made their mark on the criteria. The modernizing nature of the paternalistic administration of the sixties can be easily seen in contrast with the public bodies of the eighties competing with the messages from the food and agricultural businesses. As the 20th century drew to a close, dietary advice was in keeping with a background dominated by considerations on the nature of social change and in which both public bodies and citizens trusted in the truths of science as a reference point for correct action. At the beginning of the 21st century reflexivity and questioning of scientific power appear and also an increase in public preoccupation with food risks. Each stage is analysed relating historical background and dietary recommendations.     

Adaptive Bayesian Networks for quantitative risk assessment of foreign body injuries in children

Injuries due to foreign body (FB) aspiration/ingestion/insertion represent a common public health issue in paediatric patients, which causes significant morbidity and mortality. The aim of this study is to present a Bayesian Network (BN) model for the identification of risk factors for FB injuries in children and provide their quantitative assessment. Combining a priori knowledge and observed data, a BN learning algorithm was used to generate the pattern of the relationships between possible causal factors of FB injuries. Finally, the BN was used for making inference on scenarios of interest, providing, for instance, the risk that an accident caused by a spherical object swallowed by a male child aged five while playing leads to hospitalization. BNs as a tool for quantitative risk assessment may assist in determining the hazard of consumer products giving an insight into their most influential specific features on the risk of experiencing severe injuries.     

Collateralizing liquidity

I develop a dynamic model of optimal funding to understand why financial assets are used as collateral instead of being sold to raise funds. Firms need funds to invest in risky projects with nonobservable returns. Since holding these assets allows firms to raise these funds, investing firms value the asset more than noninvesting ones. When assets are less than perfectly liquid and investment opportunities are persistent, collateralized debt minimizes asset transfers from investing to noninvesting firms and thus is optimal. Frictions in asset markets lead to an illiquidity discount and a collateral premium, which increase with the asset’s illiquidity.     

UNIONS' RELATIVE CONCERNS AND STRIKES IN WAGE BARGAINING

We consider a model of wage determination with private information in an oligopoly. We investigate the effects of unions having relative concerns on the negotiated wage and the strike activity. We show that an increase of unions’ relative concerns has an ambiguous effect on the strike activity.     

What brand extensions need to fully benefit from their parental heritage

It is well established that consumer acceptance of a brand extension depends on how strongly it fits with its parental origins. Less appreciated is how this acceptance also depends on the mental association created in consumers’ minds between the extension and its parent brand. Our investigation considers the gateway role played by this association’s mental accessibility in allowing extensions to fully benefit from their parental heritage. Six studies examine the effect of reinstating an extension’s association with its parent brand on extension evaluations. When reinstatement enhances the parental association’s accessibility, it strengthens the parent brand’s influence, leading to more or less favorable extension evaluations contingent upon the extension’s fit with its parental origins. These reinstatement effects carry important implications for brand-extension managers and researchers.