Sustainability Integration Impact on Fast Fashion Supply Chains

Abstract

The main objective of this paper is to define whether sustainable performance (environmental and social) integration in business activity and consequently supply chains of fast fashion industry has a positive impact on financial performance. Sustainability must comprise and balance all three elements: environmental, social and economic. Sustainability is strongest when it is broad, not substitutable and relative. The main sustainability integration drivers are of three categories: internal drivers, market drivers and law related drivers. The main ways for the integration of sustainability into fast fashion supply chains are: integrating sustainability into the values and strategy of the company, investing in long-term relationships with the main partners, collaboration, certification and standards. Consensus definition of sustainable fast fashion supply chain does not exist, but it may be defined as a supply chain incorporated by environmental, social and economic dimensions. The correlation analysis of fast fashion companies data which form the largest part of fast fashion industry, demonstrated that there exist positive link between sustainability and profitability of companies.