Centralized Business-to-Business Networks in the Japanese Textile and Apparel Industry: Using Network Analysis and an Agent-Based Model

Abstract

This study deals with the estimation of the changes that occur in the Business-to-Business (B2B) networks in the Japanese textile and apparel industry by applying datasets of about 2000 companies from 2011/2012 to 2015/2016. Network analysis was used to examine the properties of the B2B networks. A factor of innovation in information and communications technology (ICT) and logistics technology was introduced into an agent-based model to demonstrate changes occurring in the related structures of B2B networks. The agent-based model was designed and tested based on qualitative information on Japanese textile and apparel industries. Consequently, network analysis revealed power-law properties and the structures of centralized hub companies. Moreover, in the simulation experiments, the centralizations of the networks generated by the agent-based model due to innovation in ICT and logistics technology were illustrated. Therefore, one of the predicted cases regarding changes that occur in the B2B networks was explained as centralizations to hub companies.