Airline and Zara
Introduction
Zara is one of the largest international fashion companies. It belongs to Inditex, one of the world’s largest distribution groups. According to its official website, Zara treated the customer as the heart of unique business model.
Ryanair is one of the world’s favorite airlines operating over 1,500 flights per day from 51 bases on 1,500 low fare routes across 28 countries, connecting over 168 destinations.
Zara and Ryanair have been a great success in their own industry. Both of them are famous in their low cost comparing to its major competitors. This research is going to investigate the position of the two companies and recommendations are made to both companies to further improve their strategic position in the market.
Zara
SWOT Analysis
Strength
ZARA has well known for its fast and low cost fashionable clothing. The success is built from its huge design team and information system linked the designers with the suppliers. ZARA has a more than 200 designers for its product development. They have to identify trends in fashion industry and design accordingly. Moreover, there is an effective information sharing system between Zara’s headquarter, its shops and its suppliers. In this way, all the three parties can gain the information, manage the inventory and make payment.
Weakness
ZARA faced a huge sum of money on compensation of plagiarism. However, consumers seem to favor the ZARA because of its high imitation ability of brand-name products.
Opportunity
China has a growing economy and more and more its citizens purchase stylish yet quality clothing. Moreover, the mainland market is more open to the foreign brand which means that China offers large growth potentials for the foreign brand names including Zara.
Threat
The increasing competition in the fashion industry is obviously the major threat. Moreover, the low-cost stylish market may face the competition from the online individual stores, which offers a niche source of
Zara is one of the largest international fashion companies. It belongs to Inditex, one of the world’s largest distribution groups. According to its official website, Zara treated the customer as the heart of unique business model.
Ryanair is one of the world’s favorite airlines operating over 1,500 flights per day from 51 bases on 1,500 low fare routes across 28 countries, connecting over 168 destinations.
Zara and Ryanair have been a great success in their own industry. Both of them are famous in their low cost comparing to its major competitors. This research is going to investigate the position of the two companies and recommendations are made to both companies to further improve their strategic position in the market.
Zara
SWOT Analysis
Strength
ZARA has well known for its fast and low cost fashionable clothing. The success is built from its huge design team and information system linked the designers with the suppliers. ZARA has a more than 200 designers for its product development. They have to identify trends in fashion industry and design accordingly. Moreover, there is an effective information sharing system between Zara’s headquarter, its shops and its suppliers. In this way, all the three parties can gain the information, manage the inventory and make payment.
Weakness
ZARA faced a huge sum of money on compensation of plagiarism. However, consumers seem to favor the ZARA because of its high imitation ability of brand-name products.
Opportunity
China has a growing economy and more and more its citizens purchase stylish yet quality clothing. Moreover, the mainland market is more open to the foreign brand which means that China offers large growth potentials for the foreign brand names including Zara.
Threat
The increasing competition in the fashion industry is obviously the major threat. Moreover, the low-cost stylish market may face the competition from the online individual stores, which offers a niche source of