HomeSMN Digestvol. 9 no. 1 (2023)

Is Green In? A Systematic Literature Review of the Challenges and Opportunities in Sustainable Business and Management Practices in the Fashion Industry

Jeric B Bonostro | Raphael Christian N Javier | Wenzel Vaughn P Pestaño | Ruel Maningas

Discipline: management studies

 

Abstract:

The fashion industry has become a significant contributor to pollution in recent years, exacerbated by the rising demand and use of clothes. While the industry has attempted to move towards more sustainable practices, progress has been slow and hazy. This paper seeks to identify the current challenges and opportunities of the fashion industry in achieving sustainability through a literature review of articles and research from 2019 to 2022. The results are discussed and summarized into three areas: production, consumption, and adaptation systems. The production system discusses collaboration among the players in the supply chain, brands designing for the future, and defining sustainability standards. The consumption system discusses how businesses respond concerning how consumers perceive and practice sustainability. The adaptation system discusses the adapted and proposed frameworks, technological innovations, and working sustainability practices in the industry. This study contributes to business managers and policymakers looking to develop solutions following both macro and micro levels of cognizance. It informs them of the current state of the fashion industry and how they can redesign the underlying business model by looking at the interrelated systems.



References:

  1. Abdelmeguid, A., Afy-Shararah, M., & Salonitis, K. (2022). Investigating the challenges of applying the principles of the circular economy in the fashion industry: A systematic review. Sustainable Production and Consumption, 32, 505–518. https://doi.org/10.1016/j.spc.2022.05.009
  2. Adamkiewicz, J., Kochańska, E., Adamkiewicz, I., & Łukasik, R. M. (2022). Greenwashing and sustainable fashion industry. Current Opinion in Green and Sustainable Chemistry, 38, 100710. https://doi.org/10.1016/J.COGSC.2022.100710
  3. Agrawal, T. K., & Pal, R. (2019). Traceability in textile and clothing supply chains: Classifying implementation factors and information sets via Delphi study. Sustainability (Switzerland), 11(6). https://doi.org/10.3390/SU11061698
  4. Ahmed, W. A. H., & MacCarthy, B. L. (2022). Blockchain in the supply chain – A comprehensive framework for theory-driven research. Digital Business, 2(2), 100043. https://doi.org/10.1016/J. DIGBUS.2022.100043
  5. Ahmed, Z., Mahmud, S., & Acet, H. (2022). Circular economy model for developing countries: evidence from Bangladesh. Heliyon, 8(5), e09530. https://doi.org/10.1016/j.heliyon.2022.e09530
  6. Arrigo, E. (2020). Global sourcing in fast fashion retailers: Sourcing locations and sustainability considerations. Sustainability (Switzerland), 12(2). https://doi.org/10.3390/SU12020508
  7. BGMEA | About Garment Industry of Bangladesh. (n.d.). https://www.bgmea.com.bd/page/AboutGarm entsIndustry#:~:text=The%20industry%20that%20has%20been,export%20earnings%20of%20the%20 country.
  8. Barros, M. V., Salvador, R., do Prado, G. F., de Francisco, A. C., & Piekarski, C. M. (2021). Circular economy as a driver to sustainable businesses. Cleaner Environmental Systems, 2. https://doi.org/10.1016/j. cesys.2020.100006
  9. Bauwens, T., Hekkert, M., & Kirchherr, J. (2020). Circular futures: What Will They Look Like? Ecological Economics, 175, 106703. https://doi.org/10.1016/j.ecolecon.2020.106703
  10. Bruzzone, A. G., Massei, M., & Frosolini, M. (2022). Redesign of Supply Chain in Fashion Industry based on Strategic Engineering. Procedia Computer Science, 200, 1913–1918. https://doi.org/10.1016/j. procs.2022.01.392
  11. Brydges, T. (2021). Closing the loop on take, make, waste: Investigating circular economy practices in the Swedish fashion industry. Journal of Cleaner Production, 293. https://doi.org/10.1016/j. jclepro.2021.126245
  12. Brydges, T., & Hanlon, M. (2020). Garment worker rights and the fashion industry’s response to COVID-19. Dialogues in Human Geography, 10(2), 195–198. https://doi.org/10.1177/204.382.0620933851
  13. Castagna, A. C., Duarte, M., & Pinto, D. C. (2022). Slow fashion or self-signaling? Sustainability in the fashion industry. Sustainable Production and Consumption, 31, 582–590. https://doi.org/10.1016/j.spc.2022.03.024
  14. Centobelli, P., Abbate, S., Nadeem, S. P., & Garza-Reyes, J. A. (2022). Slowing the fast fashion industry: An all-round perspective. Current Opinion in Green and Sustainable Chemistry, 38, 100684. https://doi.org/10.1016/j.cogsc.2022.100684
  15. Chopin, P., Mubaya, C.P. , Descheemaeker, K. ,Öborn, I., & Bergkvist, G. . Avenues for improving farming sustainability assessment with upgraded tools, sustainability framing and indicators: a review Agron. Sustain. Dev., 41 (2) (2021), https://doi.org/10.1007/s13593.021.00674-3
  16. Coste-Maniere, I. Croizet, K., Sette, E., Fanien, A., Guezguez, H., & Lafforgue, H. (2019.6 – Circular economy: A necessary (r)evolution. Circular Economy in Textiles and Apparel, Woodhead Publishing, 123- 148. https://doi.org/10.1016/B978-0-08-102630-4.00006-6
  17. Dangelico, R. M., Alvino, L., & Fraccascia, L. (2022). Investigating the antecedents of consumer behavioral intention for sustainable fashion products: Evidence from a large survey of Italian consumers. Technological Forecasting and Social Change, 185. https://doi.org/10.1016/j.techfore.2022.122010
  18. De Aguiar Hugo, A., De Nadae, J., & Da Silva Lima, R. (2021). Can Fashion Be Circular? A Literature Review on Circular Economy Barriers, Drivers, and Practices in the Fashion Industry’s Productive Chain. Sustainability, 13(21), 12246. https://doi.org/10.3390/su132112246
  19. Dimitrova, T., Ilieva, I., & Angelova, M. (2022). Exploring Factors Affecting Sustainable Consumption Behaviour. Administrative Sciences, 12(4), 155. https://doi.org/10.3390/ADMSCI12040155
  20. Dragomir, V. D., & Dumitru, M. (2022). Practical solutions for circular business models in the fashion industry. Cleaner Logistics and Supply Chain, 4. https://doi.org/10.1016/j.clscn.2022.100040
  21. Eisenreich, A., Füller, J., Stuchtey, M., & Gimenez-Jimenez, D. (2022). Toward a circular value chain: Impact of the circular economy on a company’s value chain processes. Journal of Cleaner Production, 134375. https://doi.org/10.1016/j.jclepro.2022.134375
  22. Ellen MacArthur Foundation (2020). Vision of a circular economy for fashion. Available online: https://emf.thirdlight.com/link/nbwff6ugh01m-y15u3p/@/preview/1?o
  23. Ellen MacArthur Foundation (2021). Circular business models: redefining growth for a thriving fashion industry. Available online: https://emf.thirdlight.com/file/24/Om5sTEKOmm-fEeVOm7xNOmq6S2k/ Circular%20business%20models.pdf
  24. De Oliveira, L. F., Miranda, F., & De Paula Dias, M. A. (2022). Sustainable practices in slow and fast fashion stores: What does the customer perceive? Cleaner Engineering and Technology, 6, 100413. https://doi.org/10.1016/j.clet.2022.100413
  25. Gonçalves, A., & Silva, C. (2021). Looking for sustainability scoring in apparel: A review on environmental footprint, social impacts and transparency. Energies, 14(11). https://doi.org/10.3390/EN14113032
  26. Gossen, M., & Heinrich, A. (2021). Encouraging consumption reduction: Findings of a qualitative study with clothing companies on sufficiency-promoting communication. Cleaner and Responsible Consumption, 3. https://doi.org/10.1016/j.clrc.2021.100028
  27. Johnstone, L., & Lindh, C. (2022). Sustainably sustaining (online) fashion consumption: Using influencers to promote sustainable (un)planned behaviour in Europe’s millennials. Journal of Retailing and Consumer Services, 64. https://doi.org/10.1016/j.jretconser.2021.102775
  28. Laukkanen, M., & Tura, N. (2022). Sustainable value propositions and customer perceived value: Clothing library case. Journal of Cleaner Production, 134321. https://doi.org/10.1016/j.jclepro.2022.134321
  29. Lee, S. E., Ju, N., & Lee, K. H. (2021). Visioning the future of smart fashion factories based on media big data analysis. Applied Sciences (Switzerland), 11(16). https://doi.org/10.3390/APP11167549
  30. Levy, Y., & J. Ellis, T. (2006). A Systems Approach to Conduct an Effective Literature Review in Support of Information Systems Research. Informing Science: The International Journal of an Emerging Transdiscipline, 9, 181–212. https://doi.org/10.28945/479
  31. Lu, X., Sheng, T., Zhou, X., Shen, C., & Fang, B. (2022). How Does Young Consumers’ Greenwashing Perception Impact Their Green Purchase Intention in the Fast Fashion Industry? An Analysis from the Perspective of Perceived Risk Theory. Sustainability (Switzerland), 14(20). https://doi.org/10.3390/ SU142013473
  32. Manickam, P. & Duraisamy, G. (2019). 4 – 3Rs and circular economy. Circular Economy in Textiles and Apparel,Woodhead Publishing, 77-93. https://doi.org/10.1016/B978-0-08-102630-4.00004-2
  33. Moher, D. (2009). Preferred Reporting Items for Systematic Reviews and Meta-Analyses: The PRISMA Statement. Annals of Internal Medicine, 151(4), 264. https://doi.org/10.7326/0003-4819-151-4- 200908.180.00135
  34. Navas, R., Chang, H. J., Khan, S., & Chong, J. W. (2021). Sustainability transparency and trustworthiness of traditional and blockchain ecolabels: A comparison of generations x and y consumers. Sustainability (Switzerland), 13(15). https://doi.org/10.3390/SU13158469
  35. Nayak, R., George, M., Haq, I. U., & Pham, H. C. (2022). Sustainability benefits of RFID technology in Vietnamese fashion supply chain. Cleaner Logistics and Supply Chain, 100086. https://doi.org/10.1016/J. CLSCN.2022.100086
  36. Neves, S. A., & Marques, A. C. (2022). Drivers and barriers in the transition from a linear economy to a circular economy. Journal of Cleaner Production, 341. https://doi.org/10.1016/j.jclepro.2022.130865
  37. Okai-Mensah, C. K., Howard, E. K., & Okai-Mensah, K. (2022). Sustainable practices of the large-scale textile firms in Ghana. Cleaner and Circular Bioeconomy, 2, 100020. https://doi.org/10.1016/j.clcb.2022.100020
  38. Ornati, M., & Kalbaska, N. (2022). Looking for haptics. Touch digitalization business strategies in luxury and fashion during COVID-19 and beyond. Digital Business, 2(2), 100035. https://doi.org/10.1016/j.digbus.2022.100035
  39. Piippo, R., Niinimäki, K., & Aakko, M. (2022). Fit for the Future: Garment Quality and Product Lifetimes in a CE Context. Sustainability, 14(2), 726. https://doi.org/10.3390/su14020726
  40. Rabiu, M. K., & Jaeger-Erben, M. (2022). Appropriation and routinisation of circular consumer practices: A review of current knowledge in the circular economy literature. Cleaner and Responsible Consumption, 100081. https://doi.org/10.1016/j.clrc.2022.100081
  41. Remme, A., Stange, S., Fagerstrøm, A., & Lasrado, L. A. (2022). Blockchain-enabled Sustainability Labeling in the Fashion Industry. Procedia Computer Science, 196, 280–287. https://doi.org/10.1016/j. procs.2021.12.015
  42. Repp, L., Hekkert, M. P., & Kirchherr, J. (2021). Circular economy-induced global employment shifts in apparel value chains: Job reduction in apparel production activities, job growth in reuse and recycling activities. Resources Conservation and Recycling, 171, 105621. https://doi.org/10.1016/j. resconrec.2021.105621
  43. Aboytes, J. G. R., Barth, M., & Fischer, D. A. (2022). Evolution of entrepreneurs’ expectations using instagram as a business practice: A transformative learning perspective in the case of sustainable fashion entrepreneurs in Mexico. World Development Sustainability, 1, 100005. https://doi.org/10.1016/j. wds.2022.100005
  44. Rotimi, E. O. O., Topple, C., & Hopkins, J. (2021). Towards a conceptual framework of sustainable practices of post-consumer textile waste at garment end of lifecycle: A systematic literature review approach. Sustainability (Switzerland), 13(5). https://doi.org/10.3390/SU13052965
  45. Sandberg, E., & Hultberg, E. (2021). Dynamic capabilities for the scaling of circular business model initiatives in the fashion industry. Journal of Cleaner Production, 320. https://doi.org/10.1016/j. jclepro.2021.128831
  46. Shamsi, M. A., Chaudhary, A., Anwar, I., Dasgupta, R., & Sharma, S. (2022). Nexus between Environmental Consciousness and Consumers’ Purchase Intention toward Circular Textile Products in India: A Moderated-Mediation Approach. Sustainability (Switzerland), 14(20). https://doi.org/10.3390/ SU142012953
  47. Sull, D. N., & Turconi, S. (2008). Fast fashion lessons. Business Strategy Review, 19(2), 4–11. https://doi.org/10.1111/j.1467-8616.2008.00527.x
  48. Stegeman, H. (2015). The potential of the circular economy. https://www.rabobank.com/knowledge/ d011315542-the-potential-of-the-circular-economy [Dostęp: 15.04. 2016].
  49. Nong, N. T. (2022). An application of delphi and dea to performance efficiency assessment of retail stores in fashion industry. The Asian Journal of Shipping and Logistics, 38(3), 135–142. https://doi.org/10.1016/j. ajsl.2022.05.001
  50. Turunen, L. L. M., & Halme, M. (2021). Communicating actionable sustainability information to consumers: The Shades of Green instrument for fashion. Journal of Cleaner Production, 297. https://doi.org/10.1016/j.jclepro.2021.126605
  51. Wren, B. (2022). Sustainable supply chain management in the fast fashion Industry: A comparative study of current efforts and best practices to address the climate crisis. Cleaner Logistics and Supply Chain, 4. https://doi.org/10.1016/j.clscn.2022.100032
  52. Yap, X., & Truffer, B. (2019). Shaping selection environments for industrial catch-up and sustainability transitions: A systemic perspective on endogenizing windows of opportunity. Research Policy, 48(4), 1030–1047. https://doi.org/10.1016/j.respol.2018.10.002.
  53. Žigienė, G., Rybakovas, E., Vaitkienė, R., & Gaidelys, V. (2022). Setting the Grounds for the Transition from Business Analytics to Artificial Intelligence in Solving Supply Chain Risk. Sustainability, 14(19), 11827. https://doi.org/10.3390/su141911827