The apparel and accessories industry is on the cusp of a significant reinvention. As Morningstar senior equity analyst Bridget Weishaar detailed in a recent research report, mall traffic is on the decline, e-commerce is steadily stealing apparel market share, and innovative new entrants are harnessing the power of technology to improve both the shopping experience and the products themselves. Amazon.com (AMZN) is, inevitably, the largest disruptive force. I spoke with Weishaar to learn more about how apparel companies can develop and maintain competitive advantages in this environment.
Our discussion has been edited for length and clarity.
Laura Lallos does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.