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RESEARCH CENTRE FOR INDUSTRIAL DEVELOPMENT PROBLEMS of NAS of Ukraine (KHARKIV, UKRAINE)

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ID R30-03156

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Liburkina L. M.

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Logistics of the Fashion Industry: Choice of Transport Mode, Costs, and Economic Efficiency of Supply Chains
Palant O. Y., Sheptukha A. M.

Palant, Oleksii Yu., and Sheptukha, Anna M. (2026) “Logistics of the Fashion Industry: Choice of Transport Mode, Costs, and Economic Efficiency of Supply Chains.” Business Inform 4:222–231.
https://doi.org/10.32983/2222-4459-2026-4-222-231

Section: Economic and Mathematical Modeling

Article is written in English
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UDC 330.342.3

Abstract:
The article explores the relationship between logistics in the fashion industry and the economics of freight transport under changing conditions caused by globalization processes and increasing supply chain instability. Special attention is paid to the role of transportation costs, delivery time, and uncertainty as key factors determining the efficiency of logistics solutions and the financial performance of fashion sector companies. It is substantiated that transport acts both as a cost element and as a strategic tool for revenue generation, assortment management, and risk reduction. The study analyzes modern approaches to supply chain management and examines the features of the fashion industry’s operations, associated with high seasonality, rapid product assortment renewal, and demand sensitivity to timing parameters. An economic-mathematical model has been developed that allows formalizing the task of choosing a type of transport, taking into account transportation, warehousing, and marketing costs, including losses from product markdowns. It is shown that the optimal logistical decision is determined by the balance between delivery speed and its cost, and also depends on demand parameters and uncertainty. Special attention is paid to analyzing the impact of logistical shocks caused by global crises on prices, assortment, and product availability. Using a quasi-experimental approach, it is substantiated that increased delivery times and their variability lead to a higher probability of shortages and markdowns, and also encourages companies to revise logistics strategies, including supplier diversification and the use of hybrid transport solutions. The research results prove that under conditions of high uncertainty, combined logistics strategies, which simultaneously reduce costs and increase the flexibility of supply chains, are the most efficient. It was concluded that there is a need to shift from static cost-minimization models to dynamic approaches that take into account the impact of time and risks on profit formation. The practical significance of the study lies in the development of recommendations for improving the resilience and economic efficiency of logistics systems in the fashion industry.

Keywords: fashion industry logistics; supply chain resilience; transportation costs; delivery time; economic efficiency; product markdowns; logistics shocks; hybrid logistics strategies.

Formulae: 24. Bibl.: 17.

Palant Oleksii Yu. – Doctor of Sciences (Economics), Associate Professor, Professor, Department of Entrepreneurship and Business Administration, O. M. Beketov National University of Urban Economy in Kharkiv (17 Chornohlazivska Str., Kharkіv, 61002, Ukraine)
Email: [email protected]
Sheptukha Anna M. – executive director, Jacob & Co. (47 East 57th Str., New York, United States)
Email: [email protected]

List of references in article

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