The Competitive Performance of SMEs in the UK Clothing Industry

Abstract

DR. ELIZABETH CHELL IS Professor of management at the University of Newcastle-upon-Tyne, England, and was director, Small Business Research Centre, Salford University, England, when this paper was written. Dr. Jean Haworth was senior lecturer in the Department of Business and Management Studies, Salford university. This paper seeks to examine the strategic positioning of 25 small- to medium-sized clothing manuacturers within a 50-mile radius of Salford, in north-west England. The empirical investigation was supported by a research grant from the UK Economic and Social Research Council and began in 1987. By January 1989, each firm had been assessed in terms of its competitive environment, demand for product, financial position and strategy adopted. Two years later the firms were examined in respect of any chage in strategy, in employment, and in their perceived 'health'. The paper presents a framework for assessing the competitive position and strategic behaviour of the SME in a declining industry; the relationship between these factors and the consequent 'health' of the firm.

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