The anti-counterfeiting potential of RFID technologies in the fashion supply chain

The aim of this paper is to explore the potential of RFID technology in identifying and preventing illegitimate trade throughout the fashion supply chain via item-level traceability in the context of the Made-in-Italy Fashion Identity and Originality (MI-FIDO) project. We review the literature on illegitimate trade, fashion supply chain management, and RFID anti-counterfeiting. We introduce LISC, a supply chain-based illegitimate trade classification model that enables us to track counterfeiting, factory overruns, parallel trading, and the sale of stolen goods and to assess the impact of each such event on companies, as well as to assess the potential of RFID technology in thwarting these events. Finally, we present the case of Versace Group: the Firm recently launched an anti-counterfeiting initiative with the ultimate goal of creating a “Fashion Passport” to track and certify the authenticity their garments. The results show significant potential for RFID technology to fight illegitimate trade in the fashion industry especially for high ticket value items.