Internalisation of Spanish Fashion Brand Zara

INTERNATIONALISATION OF SPANISH FASHION BRAND ZARA

Carmen Lopez Ying Fan Brunel Business School Brunel University Uxbridge UB8 3PH England [phone]

Key Words

Internationalisation, fashion retailing, market entry, branding, international marketing, Zara

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INTERNATIONALISATION OF SPANISH FASHION BRAND ZARA ABSTRACT Purpose Research on the internationalisation of retailing has been mainly focused on market entry issues. This paper attempts to examine the internationalisation process from a branding perspective using Spanish fashion retailer Zara as a case. Methodology/Approach An in-depth case approach was adopted based on extensive secondary research, which include literature published in English and Spanish as well as company internal documents. Findings The internationalisation of Zara seems to follow the classic “stage model” by firstly entering geographically or culturally close markets before taking opportunities in more distant markets. This global expansion was triggered by both push and pull factors. Compared with the competition, Zara has three distinctions: a) vertical integration to achieve a faster turnaround time; b) using franchise and joint ventures for rapid expansion; c) using store as the main tool for promotion with little spend on advertising. In terms of branding, the firm gives no information about its country of origin, instead aims to make the consumer to believe Zara as a local brand. Research limitations/ implications The main drawback in case studies is that of limited validity and representativeness that constrain the potential for making generalisations. However, this case is deemed sufficient to provide valuable insights and improve the understanding in this area. Originality/value Little attention has been devoted to the internationalisation process from the branding perspective. Aiming to fill in this gap in the literature this study provides important insights into Zara’s internationalisation process. Key Words

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