Tradition and Innovation in the Internationalization of Family Business: A Case Study from the Italian Fashion Industry

The fashion industry is one of the main businesses in the global economy in terms of employment, investment, trade and revenue, and Italian companies are recognized worldwide as representative of cultural heritage, expertise and high-quality standards. The adoption of traceability technologies, such as Radio Frequency Identification (RFId), from the very early stage of the production chain, may help to obtain a more effective process as well as assure the origin of garments, a key aspect in the fashion industry. This chapter presents a case study of Oscalito, an Italian family business that has adopted RFId technology, joining tradition and innovation in its production. We adopt a qualitative case study methodology to explore this experience within its context. Oscalito applies RFId tags to each garment label to ensure complete traceability throughout the production chain for every single item (and not merely by lots), fine-tuned control over the production process, and timely and accurate shipment. Thanks to the application of RFId tags, the production chain is monitored and the Italian origin of the garments is guaranteed. This research has undoubtedly some limitations due to the applied method. Deeper studies are needed in order to check general fashion industry trends regarding the application of RFId technology.