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Sustainability in Fashion Luxury: an Atypical Paradox Evolving Into Reality

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Sustainability in Fashion Luxury: an Atypical Paradox Evolving Into Reality Dipartimento di IMPRESA & MANAGEMENT Laurea Magistrale in Marketing Market relationship & Customer engagement Cattedra di Web Analytics and Marketing . Sustainability in Fashion Luxury: An atypical paradox evolving into reality. Gucci wallet case study. Matteo de Angelis Maria Giovanna Devetag RELATORE CORRELATRICE 700001 Sarah Alexia Placella Anno Accademico 2018/2019 A me stessa, che accetto ed abbraccio i miei errori come chiave per il successo, accolgo le difficoltà come sfida personale e opportunità per il cambiamento e il miglioramento. A mia nonna, che da settembre mi ha insegnato la forza di lottare sempre per il bene più grande che ci hanno dato: il Dono della Vita. A tutti i miei affetti più cari, che mi sono stati vicino in questi mesi difficili, sostenendomi e incoraggiandomi, dandomi forza e agendo da luce quando il tunnel appariva troppo scuro e la strada senza via d’uscita. INTRODUCTION ....................................................................................................................................... 5 CHAPTER I: SUSTAINABILITY ........................................................................................................ 10 1.1. Literature review ...................................................................................................................... 10 1.1.1. Definition and history .................................................................................................... 10 1.1.2. Triple bottom line approach ......................................................................................... 11 1.1.3. Sustainable development: the fourth dimension of culture and politics ..................... 14 1.2. From words to actions: Sustainable Governance .................................................................... 16 1.2.1. Corporate Social Responsibility.................................................................................... 16 1.2.2. Environmental claim and Greenwashing ..................................................................... 19 1.3. Consumers perception: survey findings ................................................................................... 22 1.4. Most sustainable companies – case study examples ................................................................ 25 CHAPTER II – FASHION .................................................................................................................... 29 2.1. Fashion industry: market segmentation and business models ................................................ 29 2.2. Fast fashion vs Slow fashion ..................................................................................................... 33 2.3. Fashion industry today: an overview ....................................................................................... 35 2.4. Environmental impacts of the fashion industry ...................................................................... 38 2.4.1. Practices of sustainability throughout the supply chain .............................................. 41 2.4.2. Benchmarks and tools for fashion industries ............................................................... 43 CHAPTER III: LUXURY ...................................................................................................................... 45 3.1. Conceptualize the Luxury: Literature review ......................................................................... 45 3.1.1. Definitions and Frameworks of Luxury Brand ............................................................ 46 3.2. Luxury consumption ................................................................................................................ 54 3.2.1. Determinants of purchase intention and purchase behaviour ..................................... 54 3.2.2. Social perspective: exteriorized and interiorized luxury ............................................. 56 3.2.3. Cultural perspective ...................................................................................................... 58 3.3. Luxury market .......................................................................................................................... 60 3.3.1. Segmentation .................................................................................................................. 60 3.3.2. Situational analysis: Stages of growth and type of consumers .................................... 62 3.3.3. Future trends and Forecasting ...................................................................................... 64 CHAPTER IV: SUSTAINABILITY in FASHION LUXURY ............................................................. 69 4.1. Sustainable Fashion ................................................................................................................. 69 4.2. Sustainability and Luxury: the match .................................................................................... 70 4.2.1. Evolution of sustainable luxury ...................................................................................... 72 4.3. Sustainable Fashion Luxury ..................................................................................................... 75 4.4. Current situation all over the world ........................................................................................ 78 4.4.1. Initiatives ......................................................................................................................... 79 4.4.2. Fashion showcases ........................................................................................................... 80 4.4.3. Trend and priorities of 2020 decade ............................................................................... 81 4.4.4. Companies and customers: key findings ........................................................................ 83 4.5. Case studies: sustainable fashion brands ................................................................................. 89 4.5.1. Kering and Gucci ............................................................................................................ 90 CHAPTER V: EXPERIMENTAL RESEARCH MODEL ................................................................... 95 5.1. Research objectives and hypothesis ......................................................................................... 95 5.2. Methodology.............................................................................................................................. 95 5.2.1 Research design ................................................................................................................ 95 5.2.2. Data collection ................................................................................................................. 96 5.2.3. Questionnaire construction: procedure, measurement and scaling .............................. 97 5.3. Preparation of Analysis ............................................................................................................ 99 5.3.1. Database Preparation ..................................................................................................... 99 5.3.2. Data Cleaning and Sample ............................................................................................. 99 CHAPTER VI: EXPLORATORY DATA ANALYSIS AND RESULTS ......................................... 101 6.1. General variables emerged with descriptive analysis ............................................................ 101 6.2. Dependent Variable: WTB ..................................................................................................... 102 6.3. Mediator: Atypicality ............................................................................................................. 106 CHAPTER VII: GENERAL DISCUSSION ....................................................................................... 109 7.1. Interpretation of results .......................................................................................................... 109 7.2. Theoretical implications ......................................................................................................... 109 7.3. Managerial implications ......................................................................................................... 110 7.4. Limits and future researches .................................................................................................. 111 CONCLUSION..................................................................................................................................... 113 REFERENCES ..................................................................................................................................... 117 FIGURES .......................................................................................................................................... 135 APPENDIX: QUESTIONNAIRE ........................................................................................................ 139 SUMMARY .......................................................................................................................................... 145 References ................................................................................................................................... 155 INTRODUCTION This thesis was for me a challenge since fashion is not a sector in which I’m interested. In fact, I would rather prefer to spend all my money on travel, and this is the reason why my first intention
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