The Roles of Supply-Chain Management on Competitive Advantage: an Empirical Study in the Bangladeshi Apparel Sector

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Abstract

The purpose of this study was to examine the impacts of supply chain management (SCM) practices on competitive advantages among Bangladeshi apparel manufacturers. Using a quantitative approach, data were collected from apparel manufacturers in Bangladesh via an online survey. The SCM practices were conceptualized as a multi-dimensional construct to include strategic supplier partnership, customer relationship, information sharing, and process integration. The competitive advantages (CA) in 4 performance areas, cost, quality, delivery, and flexibility, were assessed. A total of 117 responses were analyzed. Findings included that (a) strategic supplier partnership and process integration practices were moderately related to quality CA, (b) information sharing was significantly related to delivery CA, and (c) information sharing was also significantly related to flexibility CA. The results indicate that certain dimensions of SCM practices have positive impacts on certain competitive advantages. The results suggest that implementing targeted SCM practices could achieve differentiation in a certain performance area. Given that most Bangladeshi apparel manufacturers have focused on the low-price strategy, the results provide them an opportunity to advance their competitiveness in the global market. This study is the first quantitative study that addresses SCM practice in the apparel industry in lower-middle income country. The results not only confirmed the multi-dimensionality of the SCM practices but also found their differential impacts across the areas of CA. Keywords: SCM practices, competitive advantage, apparel industry, Bangladesh, RMG industry, exporters

Author Biographies

  • Md Sadaqul Bari, Wilson College of Textiles, NC State University
    Graduate Research Assistant in the Department of Textile and Apparel, Technology and Management
  • Haesun Park-Poaps, Ohio University, Athens, Ohio
    Haesun Park-Poaps is Associate Professor in Dept. of Human and Consumer Sciences at Ohio University. Her research focuses on social responsibility, global sourcing, and supply chain issues in the T&A industries including sustainable supply chain, ethical trade, and technologies. She received her Ph.D. from the Ohio State University.

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Published

2020-12-03

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Peer Reviewed Article