The use of channel integration as a strategic option : a study of Hong Kong clothing manufacturers

T. S. CHAN

    Research output: Journal PublicationsJournal Article (refereed)

    Abstract

    This paper explores the changes in Hong Kong clothing manufacturing firms regarding the development of vertical and horizontal channel integration as a strategic option in international marketing. Analyses of data suggested that Hong Kong clothing manufacturers are increasingly integrating forwardly by utilizing foreign based channel intermediaries, as well as establishing internalized export departments and overseas sales offices to handle their export functions. In addition, a dominant trend of horizontal integration exists in the form of expansion of outward processing facilities in southern China. Such developments aim to take advantage of the lower cost production so as to remain competitive with low cost producers from other less developed/developing countries.
    Original languageEnglish
    Pages (from-to)36-58
    Number of pages23
    JournalAsia Pacific Journal of Marketing and Logistics
    Volume7
    Issue number3
    DOIs
    Publication statusPublished - 1 Jan 1995

    Fingerprint

    Strategic options
    Hong Kong
    Channel integration
    Production cost
    Intermediaries
    Horizontal integration
    Developing countries
    Manufacturing firms
    Costs
    China
    International marketing

    Cite this

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    abstract = "This paper explores the changes in Hong Kong clothing manufacturing firms regarding the development of vertical and horizontal channel integration as a strategic option in international marketing. Analyses of data suggested that Hong Kong clothing manufacturers are increasingly integrating forwardly by utilizing foreign based channel intermediaries, as well as establishing internalized export departments and overseas sales offices to handle their export functions. In addition, a dominant trend of horizontal integration exists in the form of expansion of outward processing facilities in southern China. Such developments aim to take advantage of the lower cost production so as to remain competitive with low cost producers from other less developed/developing countries.",
    author = "CHAN, {T. S.}",
    year = "1995",
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    The use of channel integration as a strategic option : a study of Hong Kong clothing manufacturers. / CHAN, T. S.

    In: Asia Pacific Journal of Marketing and Logistics, Vol. 7, No. 3, 01.01.1995, p. 36-58.

    Research output: Journal PublicationsJournal Article (refereed)

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