Research Proposal

Major A

Chantelle Monitto
S3334105

Table of Contents

Abstract3
1. Title..4
.
2. Introduction & Rationale5
3. Research Aim & Objectives..7
4. Literature Review8
5. Framework..19
6.1 Research Concepts..21
6.2 Proposed Research Design24
7. Gantt Chart & Budget26
8. Reference List.30
9. Appendices.33

Abstract

The purpose of the research proposal is to determine an innovative business model

for Australian fashion businesses based upon consumer preferences for Omnichannel platforms. The gathered data provides vital information for fashion brands to
implement into their business models and assist in the improvement of their
functionality. This will help them maintain a competitive advantage amongst the many
international retailers now saturated in the Australian market, who are taking market
share from the Australian retailers. The proposal investigates information for retailers
about consumer preferences, what they are looking for when purchasing and where
they are looking and External factors influencing change. The key areas researched
are the characteristics of traditional business model and how it is changing, the
affects of major fast fashion retailers entering the Australian market, the evolving
digital era, including the advancement of technology and the changing consumers,
and what they are demanding.

This information will deliver Australian fashion brands with vital information for
business model innovation, and assist in improving and growing the brand
successfully. The gathered data will most benefit to start up businesses and existing
Australian fashion brands for exactly what the market needs to maximise the
businesses processes. The research has been conducted in a literature review by
sourcing secondary data from books, articles and databases to discover information
about major influences on the drive for business model innovation.

1. What are you demanding so much from Australian fashion retailers?

3

2. Introduction & Rationale

The purpose of the research proposal is to determine an innovative business model

for Australian fashion businesses upon consumer preferences for omni-channel
platforms. The objectives are to identify the nature of traditional business models and
the impact of digital and international competition and changing consumer
preferences in the Australian fashion market. The second objective is to analyse
consumers omni-channel preferences to determine what consumers are demanding
and thirdly to evaluate the primary data collected of consumers and industry experts,
and identify key factors from the questions that provide beneficial information for
Australian brands to incorporate in their innovative business models. This information
is vital for Australian fashion businesses as they are much slower to react to trends
and Australian brands are suffering from this. The retail environment is constantly
demanding change because of the evolving external environment of things such as
technology, changing consumer expectations and also the pressures of globalisation.
In order for Australian fashion brands to maintain presence in the market they are
being urged to innovate. Innovations in business models are increasingly critical for
building sustainable advantage in a marketplace defined by unrelenting change,
escalating customer expectations, and intense competition (Sorescu, 2011) The
Australian fashion industry is in the maturity phase and currently on the decline, and
the decline in sales is partially because it is struggling to keep up with the growing
amounts of international competitors entering the market place who are taking
market share. For the Australian retail sector to improve and stay float fashion brands
need to develop successful omni-channels to maintain competitive advantage. Stated
by Craik (2014), Major changes in the retailing environment with the shift towards
omni-channeling (or seamless retailing) means increasing competition with overseas
retailers that has exacerbated declining profit margins while the cost of maintaining
physical stores has created a crisis in Australian fashion retailing. The influence of
technology and its involvement with the online shopping platform is also causing

Australian business models to enhance omni platforms as consumers are quickly

adapting to the advancements and from this, are developing high expectations
across the board, putting immense pressures on small businesses, which have fewer
resources. The age of online shopping is well and truly alive and providing a
plethora of opportunities to educate, engage and inform the shopper throughout the
purchase journey. (Nielsen, 2016)

3. Research Aim & Objectives

Aim
To determine an innovative business model for Australian fashion businesses based
upon consumer preferences for Omni-channel platforms

Objectives
1. To identify the nature of traditional models and the impact of digital/international
competition and changing consumer preferences in the Australian fashion market

2. To analyse consumers Omni-channel platform preferences in the Australian

fashion market

3. To evaluate the primary data collected of questioning consumers and industry

experts, and identify key factors that can benefit Australian brands to apply to their
business models

4. Literature Review

Introduction
The purpose of the literature review is to find out about the aim of determining a
business model for Australian businesses that will enable them to maintain success
and compete in the market by finding out consumer preferences in omni-channeling.
This includes identifying the characteristics of the traditional business model, the
effects of major fast fashion brands to the retail industry, the digital era of advanced
technology and the way the consumer is changing.

The market is changing and the traditional business model is no longer successful in
the Australian retail industry. Developments in the global economy have changed the
traditional balance between customer and supplier. These developments in turn
require businesses to re-evaluate the value propositions they present to customers e
in many sectors, the supply side driven logic of the industrial era has become no
longer viable (Teece, 2011) The traditional business model is being classed as outdated and is becoming practically abandoned. The days when traditional business
models held a sufficient competitive advantage and successfully drove year-on-year
growth are long gone (Salmon, 2014). Australian businesses need to seek out the
right data to assist them in redefining their business model and tailor it to consumer
preferences. The given secondary data will provide relevant information as to what
external factor is mainly driving business model innovation and how this impacts
omni-channel retail.