This study highlights the impact of attaining and incorporating knowledge and building relationships with other firms in US apparel production.
Producers of apparel and sewn products operating within a US state form the sample for this mixed methods exploration. Study 1 involves a qualitative analysis of the producers highlighting knowledge in interorganizational discussions. Study 2 quantitatively measures responses from 38 producing firms. Ordinary least squares (OLS) regression was used to measure associations, and simple slopes were computed to examine interactions.
The knowledge exchanged, according to participants in study 1, was limited, thus warranting further examination. Results from study 2 revealed strong associations among knowledge absorptive capacity, social interaction and people-oriented culture with network ties. A two-way interaction effect was found for absorptive capacity and social interaction, indicating association between social interaction and network ties was more positive at higher levels of absorption capacity and vice versa.
Findings provide theoretical and applied support for building network ties. This research operationalizes complicated-to-measure constructs critical to the empirical measurement of junctions from two theoretical frameworks, in the context of a specific industry. Though acceptable for exploratory research, additional work is needed to refine reliability measures and to examine a national sample.
This study links elements of social capital- and knowledge-based views of the firm necessary for reviving US apparel production. Broader outcomes from this research include job creation providing support and growth in the US sewn apparel and goods industry that will drive US economy.