Second-life retailing: A reverse supply chain perspective

Loo-See Beh, Abby Ghobadian, Qile He, David Gallear, Nicholas O’Regan

Research output: Contribution to journalArticlepeer-review

65 Citations (Scopus)
284 Downloads (Pure)

Abstract

Purpose – We examine the role of entrepreneurial business models in the reverse supply chain of apparel/fashion retailers. The paper offers an alternative approach to the “return to the point of origin” prevalent in the reverse chain of manufacturers but less technically and economically feasible in the case of apparel/fashion retailers. This approach, second-life retailing, not only reduces waste but also democratises consumption. Design/methodology/approach – The paper is based on an extensive literature review, semi-structured interviews with managers of two second-life retailers in Malaysia and observations of a number of stores. Findings – Using the Business Model Canvas we demonstrate the essential characteristics of second-life retailers. Retailers in our study, unlike retailers in the developed world, combine traditional business models with off-price retailing. There is no clear demarcation between the forward and reverse supply chain used to manage first- and second-hand retailing. Practical implications – The paper demonstrates the potential of innovative business models in the reverse supply chain. It encourages managers to look beyond the “return to the point of origin” and seek imaginative alternatives. Such alternatives potentially could result in additional revenue, enhanced sustainability and democratisation of consumption meeting triple bottom line objectives. Originality/value – This paper highlights the importance and relevance of entrepreneurial business models in addressing the reverse supply chain, demonstrating this with the aid of two Malaysian off-price retailers. It also contributes to our nascent knowledge by focusing on emerging markets.
Original languageEnglish
Pages (from-to)259 - 272
Number of pages13
JournalSupply Chain Management: An International Journal
Volume21
Issue number2
Early online date14 Mar 2016
DOIs
Publication statusPublished - 2016

Keywords

  • Reverse logistics
  • Retailing
  • Sustainability
  • Business model
  • Sustainable supply chain

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