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Impact of factory certifications on firm resources: a quantitative content analysis of the Bangladeshi readymade garments (RMG) industry

Impact of factory certifications on firm resources: a quantitative content analysis of the... This study aims to investigate the association between certifications in the Bangladeshi readymade garment (RMG) sector and diverse firm resources, contributing to Bangladesh’s competitive advantage.Design/methodology/approachThe study conducted a quantitative content analysis of 366 Bangladeshi RMG firm websites, using Barney’s (1991) resource-based theory (RBT) framework. Pearson correlation and linear regression analyses were used to explore the research questions.FindingsThe findings reveal significant positive impacts of certifications on all firm resource categories (physical, human, organizational knowledge and learning, general organizational and financial) under the RBT framework. Certifications correlate positively with resources, from small to medium, and with various factors, though some negative correlations were identified.Research limitations/implicationsThe study improves comprehension of apparel manufacturers’ certifications and their association with firm resources, offering valuable insights for stakeholders on long-term competitive advantages. Yet, limitations should be considered, including size-dependent variations and reliance on self-reported website data.Originality/valueThis study represents a pioneering effort, concentrating on Bangladesh’s RMG sector and offering a unique perspective on the implications of certifications for firm resources within emerging economies. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Chinese Economic and Foreign Trade Studies Emerald Publishing

Impact of factory certifications on firm resources: a quantitative content analysis of the Bangladeshi readymade garments (RMG) industry

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References (65)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
1754-4408
eISSN
1754-4416
DOI
10.1108/jcefts-01-2024-0005
Publisher site
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Abstract

This study aims to investigate the association between certifications in the Bangladeshi readymade garment (RMG) sector and diverse firm resources, contributing to Bangladesh’s competitive advantage.Design/methodology/approachThe study conducted a quantitative content analysis of 366 Bangladeshi RMG firm websites, using Barney’s (1991) resource-based theory (RBT) framework. Pearson correlation and linear regression analyses were used to explore the research questions.FindingsThe findings reveal significant positive impacts of certifications on all firm resource categories (physical, human, organizational knowledge and learning, general organizational and financial) under the RBT framework. Certifications correlate positively with resources, from small to medium, and with various factors, though some negative correlations were identified.Research limitations/implicationsThe study improves comprehension of apparel manufacturers’ certifications and their association with firm resources, offering valuable insights for stakeholders on long-term competitive advantages. Yet, limitations should be considered, including size-dependent variations and reliance on self-reported website data.Originality/valueThis study represents a pioneering effort, concentrating on Bangladesh’s RMG sector and offering a unique perspective on the implications of certifications for firm resources within emerging economies.

Journal

Journal of Chinese Economic and Foreign Trade Studies – Emerald Publishing

Published: Nov 15, 2024

Keywords: Firm resources; Certification; Bangladeshi fashion industry; Rana plaza; Correlation

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