Continue Growth For Zara And Inditex
Continue Growth for Zara and Inditex
Jacki DiSanto
Cleveland State University
Inditex ensure “fast fashion” is truly fast is logistics. Inditex makes two-thirds of its goods in Spain and nearby countries such as Portugal, Morocco and Turkey. The higher labor costs are offset by the flexibility of having production close to its warehouses and distribution centers, which are all in Spain. This saves on transportation with faster delivery times. The CEO Pablo Isla also installed a system that monitors sales and ordering merchandise. Stores often restock as often as twice a week. Store managers also use new hand-held computers that show how garments rank by sales, so clerks can re-order bestsellers in less than an hour. This process previously took about three hours. These orders arrive, together with new pieces, two days later. The company has added new shipping routes to ensure managers get their merchandise quickly. New fashions arrive at the stores a lot quicker than their competitors. The company is also expanding quickly. Mr. Isla is attempting one of the fastest global expansions the fashion world has ever seen, opening hundreds of new stores and entering new markets.
The important attributes to the customer is that Inditex is proving the latest fashion as soon as it comes out. Costumers want to get the latest trends first and do not want last season’s clothing. It is also important to the costumer that the retailer knows their taste and they have what they are looking for. Since the company is able to deliver the merchandise very quickly and customers accepts the latest trends, therefore the store means to always be cutting edge. Important attributes of a “fast fashion’ to the manager are similar. The company ensures that all shipments are small and sell with a few weeks. This means the new merchandise needs to be order on a regular basis. Since the company is always coming up with new designs and trends and the company can ship new merchandise from
Jacki DiSanto
Cleveland State University
Inditex ensure “fast fashion” is truly fast is logistics. Inditex makes two-thirds of its goods in Spain and nearby countries such as Portugal, Morocco and Turkey. The higher labor costs are offset by the flexibility of having production close to its warehouses and distribution centers, which are all in Spain. This saves on transportation with faster delivery times. The CEO Pablo Isla also installed a system that monitors sales and ordering merchandise. Stores often restock as often as twice a week. Store managers also use new hand-held computers that show how garments rank by sales, so clerks can re-order bestsellers in less than an hour. This process previously took about three hours. These orders arrive, together with new pieces, two days later. The company has added new shipping routes to ensure managers get their merchandise quickly. New fashions arrive at the stores a lot quicker than their competitors. The company is also expanding quickly. Mr. Isla is attempting one of the fastest global expansions the fashion world has ever seen, opening hundreds of new stores and entering new markets.
The important attributes to the customer is that Inditex is proving the latest fashion as soon as it comes out. Costumers want to get the latest trends first and do not want last season’s clothing. It is also important to the costumer that the retailer knows their taste and they have what they are looking for. Since the company is able to deliver the merchandise very quickly and customers accepts the latest trends, therefore the store means to always be cutting edge. Important attributes of a “fast fashion’ to the manager are similar. The company ensures that all shipments are small and sell with a few weeks. This means the new merchandise needs to be order on a regular basis. Since the company is always coming up with new designs and trends and the company can ship new merchandise from