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Sustainability, profitability, and resiliency of the fast fashion industries during a pandemic
Energy & Environment ( IF 3.154 ) Pub Date : 2024-03-21 , DOI: 10.1177/0958305x241239896
Meriem Meskini 1 , Tanvir S. Mahmud 1 , Sagar Ray 1 , Amy Richter 1 , Tahlima T. Sithi 1 , Kelvin Tsun Wai Ng 1
Affiliation  

The size of the global textile market was estimated at nearly one trillion USD in 2021 and the circularity of fashion items are of utmost practical and economic interests. Many postconsumer textile wastes are not recycled, and are sent to landfills for permanent disposal. This study examines the profitability of the selected fashion companies and compares the financial performance through weighted average net profit margin and business characteristics. The 10 companies are divided into 2 groups (conventional and sustainability) for analysis. The conventional fashion companies have a total sales revenue approximately 23 times higher than that of the sustainability fashion companies. The weighted average net profit ratio of the conventional fashion industry averaging +4.7 during the 5-year study period, much higher than the sustainability fashion group. Sustainability fashion industry is emerging and appears more sensitive to fluctuations in business expenses and COVID lockdowns. Net profit was negative for the sustainability group in 2022, and more aids such as government initiatives and incentive programs may be critical to the growth of the sustainability fashion sector. Both sustainability and conventional groups have positive relations between net profit and number of employees and net profit and market shares, respectively. The results suggest that fashion industry has opportunities to be more profitable by adopting socially responsible goals.

中文翻译:

大流行期间快时尚行业的可持续性、盈利能力和弹性

预计 2021 年全球纺织品市场规模将接近 1 万亿美元,时尚产品的循环性具有最大的实际和经济利益。许多消费后的纺织废料没有被回收,而是被送往垃圾填埋场进行永久处置。本研究考察了选定时装公司的盈利能力,并通过加权平均净利润率和业务特征比较了财务业绩。这 10 家公司分为 2 组(传统型和可持续型)进行分析。传统时尚公司的总销售收入比可持续时尚公司高出约23倍。 5年研究期内,传统时尚行业的加权平均净利润率为+4.7,远高于可持续时尚集团。可持续时尚行业正在兴起,并且似乎对业务支出的波动和新冠疫情封锁更加敏感。 2022年可持续发展集团的净利润为负,政府举措和激励计划等更多援助可能对可持续时尚行业的增长至关重要。可持续发展集团和传统集团分别在净利润与员工数量以及净利润与市场份额之间存在正相关关系。结果表明,时尚业有机会通过采取社会责任目标来获得更多利润。
更新日期:2024-03-21
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