Recent developments from the World Trade Organisation (WTO) and other international trade agreements have forced industries worldwide to face a new era of intense competition. The clothing industry sector, which has played a pivotal role in industrial development in Hong Kong, faces challenges from continued global economic restructuring and the accession of China to the WTO. Apparel manufacturers and trading firms need to review their competitive priorities and develop new business and manufacturing practices and strategies to compete. This paper presents the key findings of a recent study on the adoption of automation systems and strategy choices and discusses their relevance to the transformation of the apparel operations and businesses in Hong Kong. Two models namely, for integrated apparel business manufacture and for an apparel sourcing and coordination centre, are devised.
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